The Globe and Mail reports in its Saturday, Oct. 1, edition that the U.S. housing market is in the Fed's crosshairs as it seeks to cool the economy. The Globe's guest columnist Ted Dixon writes in the Who Is Buying and Selling column that as a result of the Fed action he decided to visit Doman Building Materials Group because of its exposure to the U.S. forest-products market. Mr. Dixon notes that Doman's second quarter earnings per share were 24 cents versus 64 cents a year earlier. The company attributed the setback to higher interest rates and a slowing housing market. Nevertheless, Mr. Dixon reports that Doman insiders are buying. In September, chief financial officer James Code bought 8,000 common shares and chairman and chief executive officer Amar Doman bought 40,000 shares, both at an average price of $5.90. The Globe reported on April 26 and June 7 that Stifel analyst Ian Gillies had reaffirmed his "buy" call for Doman when it was going for $7.24 and $6.69. The Globe reported on July 19 that RBC Capital had cut Doman to "sector perform" from "outperform." It was then worth $6.27. The Globe reported on Aug. 3 that Raymond James had cut Doman to "sector perform" from "outperform." It was then worth $6.44.
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