The Housing Boom Is Over. But Housing Stocks Could Still Be Winners.

Plunging orders. Widespread price discounting. Shrinking profits. These are just some of the factors weighing on home builders after surging mortgage rates burst the pandemic-era real estate boom.

Home-building stocks, however, are looking past the current gloom. Though many of them are down 30% or more this year, they’ve gained an average of 20% off the June lows—and even the latest downbeat housing data hasn’t knocked them down.