Short 500 PHM @ 11.77. Long the PHA as they are working to improve the BS. We will see what today brings. That earnings report was miserable (sales continue to erode, the backlog continues to erode, inventory is still too high, SG&A is too high, margins sucked, and they are still impairing land, and did I mention that sales sucked). Given how poorly it compares to their peers it ought to go down but one never knows in this market. Have a stop at 12.75 in case the market overlooks all the negatives and only focuses on the fact that sequential quarterly sales were up. That is a major accomplishment given the US taxpayers are subsidized $8,5000 on new homes. Did you notice that their peers are reporting sales increases over a year ago?

Long NVR @ $500