NEW YORK (TheStreet) -- Shares of PulteGroup Inc. (PHM) are higher by 3.06% to $19.51 in mid-afternoon trading on Wednesday, as homebuilder stocks continue to get a boost after homebuilder confidence for September grew to 59 points, from 55 points for August, on the National Association of Home Builders/Wells Fargo (WFC) builder sentiment index.
Homebuilder confidence is at its highest level since November 2005, when it reached 61 points, Bloomberg Businessweek reports.
Additionally, homebuilder stocks may be getting an added boost following the Federal Reserve's policy announcement, in which it vowed to keep interest rates low for a "considerable time" as it ends its bond purchase program, MarketWatch reports.STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.
Separately, TheStreet Ratings team rates PULTEGROUP INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate PULTEGROUP INC (PHM) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, increase in stock price during the past year and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow."