Research Update: Shea Homes L.P. Outlook Revised To Negative From Stable; Ratings Affirmed - S&P Global Ratings’ Credit Research

Research Update: Shea Homes L.P. Outlook Revised To Negative From Stable; Ratings Affirmed

Research Update: Shea Homes L.P. Outlook Revised To Negative From Stable; Ratings Affirmed - S&P Global Ratings’ Credit Research
Research Update: Shea Homes L.P. Outlook Revised To Negative From Stable; Ratings Affirmed
Published Apr 14, 2020
8 pages (2590 words) — Published Apr 14, 2020
Price US$ 225.00  |  Buy this Report Now

About This Report

  
Abstract:

Walnut, Calif.-based Shea Homes L.P. has undergone a weakening in its credit profile due to a decline in EBITDA that S&P Global Ratings thinks will continue through 2020. We think the impacts of softer demand from key markets last year will be compounded by the negative effects from the COVID-19 pandemic this year. We are revising our outlook on Shea to negative from stable. At the same time, we are affirming our 'B+' issuer credit rating on the company and our 'BB-' issue-level rating on its senior unsecured notes. The negative outlook reflects our expectation that debt to EBITDA will edge above 5.0x in 2020 as weakening recent profit trends are further dampened by COVID-19. S&P Global Ratings revised its

  
Brief Excerpt:

...+ Walnut, Calif.-based Shea Homes L.P. has undergone a weakening in its credit profile due to a decline in EBITDA that S&P Global Ratings thinks will continue through 2020. + We think the impacts of softer demand from key markets last year will be compounded by the negative effects from the COVID-19 pandemic this year. + We are revising our outlook on Shea to negative from stable. At the same time, we are affirming our 'B+' issuer credit rating on the company and our '##-' issue-level rating on its senior unsecured notes. + The negative outlook reflects our expectation that debt to EBITDA will edge above 5.0x in 2020 as weakening recent profit trends are further dampened by COVID-19....

  
Report Type:

Research Update

Issuer
Shea Homes L.P.
GICS
Homebuilding (25201030)
Sector
Global Issuers, Structured Finance
Country
United States
Region
United States
Format:
PDF Adobe Acrobat
Buy Now

More from S&P Global Ratings’ Credit Research

S&P Global Ratings’ Credit Research—S&P Global Ratings’ credit research provides analysis on issuers and debt obligations of corporations, states and municipalities, financial institutions, insurance companies and sovereign governments. S&P Global Ratings also offers insight into the credit risk of structured finance deals, providing an independent view of credit risk associated with a growing array of debt-securitized instruments.

About the Author


Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Research Update: Shea Homes L.P. Outlook Revised To Negative From Stable; Ratings Affirmed" Apr 14, 2020. Alacra Store. May 11, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Shea-Homes-L-P-Outlook-Revised-To-Negative-From-Stable-Ratings-Affirmed-2412206>
  
APA:
S&P Global Ratings’ Credit Research. (). Research Update: Shea Homes L.P. Outlook Revised To Negative From Stable; Ratings Affirmed Apr 14, 2020. New York, NY: Alacra Store. Retrieved May 11, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Shea-Homes-L-P-Outlook-Revised-To-Negative-From-Stable-Ratings-Affirmed-2412206>
  
US$ 225.00
$  £  €
Have a Question?

Any questions about the report you're considering? Our Customer Service Team can help! Or visit our FAQs.

More Research

Search all our Residential Mortgage-Backed Securities from one place.