"It makes you wonder what people are seeing out there in the construction environment," he says. The bearish thesis on Vulcan is that the downturn in government-funded construction -- due to slowing property tax and sales tax revenues -- has only yet begun, which will hurt future earnings. I highlighted Vulcan -- along with HNI ( HNI) and Perini ( PCR) -- back in January as a bearish stock pick, when Vulcan shares traded around $69. About 17% of the stock is being sold short -- meaning investors are betting on a decline. The bearish thesis on Vulcan is still in place today, since historically 40% of the firm's business is tied to publicly funded construction projects, as the firm itself cites in its annual report. The company's heaviest exposure is to Florida and California, which are both facing brutal housing markets and state budget deficits not set to ease anytime soon.