Real Estate Rallies On Strong Earnings [Daily Recap]

February 20, 2020 | Hoya Capital

Real Estate Rallies On Strong Earnings [Daily Recap] Uncategorized Feb 20 Written By U.S. equity markets retreated from record-highs on another busy day of corporate earnings and M&A developments as investor attention remains focused on the economic fallout of the ongoing coronavirus outbreak. Following 0.5% gains yesterday, the S&P 500 finished lower by 0.3% and the Dow Jones Industrial Average retreated by 128 points while the 10-Year Treasury Yield declined 4 basis points to 1.53%.

Reversing yesterday's underperformance, the domestic and yield-oriented sectors were the winners today, led residential and commercial real estate. The broad-based commercial Real Estate ETF (VNQ) gained 1.2%. Zillow surged more than 15% after reporting surprisingly strong Q4 earnings with revenues rising 106% for the year, powered by a rapid expansion in their Zillow Offers business and growth in the Premier Agent business. Citing tailwinds associated with the affordable housing shortage, manufactured housing REIT Sun Communities climbed nearly 3% after reporting strong quarterly results and projected another year strong NOI and FFO growth.

Real Estate Daily Recap U.S. equity markets retreated from record-highs on another busy day of corporate earnings and M&A developments as investor attention remains focused on the economic fallout of the ongoing coronavirus outbreak. Following gains of 0.5% yesterday, the S&P 500 ETF ( SPY ) finished lower by 0.3% and the Dow Jones Industrial Average ( DIA ) retreated by 128 points while the 10-Year Treasury Yield ( IEF ) declined 4 basis points to close at 1.53%.

Reversing yesterday's underperformance, the domestic and yield-oriented sectors were the winners today, led residential and commercial real estate. The broad-based commercial Real Estate ETF ( VNQ ) gained 1.2% today as earnings results have generally topped estimates across most REIT sectors, led today by the manufactured housing, mall, and prison REITs. The Hoya Capital Housing Index , the benchmark that tracks the performance of the US Housing Industry, gained more than 1% to close ...