This week’s Momentum Trader Alert recommendation in the red-hot housing sector is Lennar Corporation (LEN).
Founded in 1954 and based in Miami, Florida, Lennar Corporation is the leading builder of quality new homes under the Lennar brand name. Lennar’s Financial Services segment provides mortgage financing, title insurance and closing services for both buyers of the company’s homes and others.
Under the Lennar Family of Builders banner, the company includes the following brand names: Lennar Homes, U.S. Home, Greystone Homes and Village Builders.
Lennar Corporation (LEN) versus the S&P 500 over the past Six Months
Momentum Trader Alert Analysis
Buy Lennar Corporation (LEN) at market today and place a 10% trailing stop.
Public Service Enterprise Group (PEG) stopped out on Jan. 4 at $48.00 at a loss.
Finally, I am pursuing new opportunities, and this will be the last issue of Momentum Trader Alert. Your publisher, Eagle Financial Publications, will update you with further information about how your subscription will be fulfilled. To protect your remaining positions but still benefit from additional share-price appreciation, I recommend that you set a 10% trailing stop on all positions, except for the following four:
Cigna Corp. (CI) — currently 4.70% above its stop price;
Verisign (VRSN) — currently 8.83% above its stop price;
Texas Instruments (TXN) — currently 4.86% above its stop price; and
Diageo plc (DEO) — currently 3.40% above its stop price
Remember that any related options positions should be sold once a stock hits or falls below its stop price.
Nicholas A. Vardy