Good news for housing investors.
It looks like home improvement stocks should experience a bullish tailwind for at least three years, according to Hedgeye housing analyst Josh Steiner.
While supply conditions have remained tight (for example, see lumber prices skyrocketing in 2018) the data suggests there is still a significant amount of growth remaining in this current housing cycle.
A key beneficiary of that should be home improvement stocks.
“As long as construction levels are below where they should be, and what would be needed to alleviate supply constraint, you have an embedded tailwind in home improvement,” Steiner explains.
Watch the full clip for more insight.