because I am one.

From a recent Mad Money show:"These are all functions of housing coming back. I think housing is going higher, although I don't want to buy this one up here. "

From a recent Mad Money show:"These are all functions of housing coming back. I think housing is going higher, although I don't want to buy this one up here. "

Investors have walked all over Mohawk as the economy has soured. But the stock, now 75, could rally to 110 to 120 once the housing market -- and earnings -- start to rebound.

Question: It looks pretty cheap, trading at roughly 12 times 2008 profit estimates.

Answer: The CEO, Jeffrey Lorberbaum, has done a wonderful job of cutting costs, making some acquisitions and growing the business. They are still doing very well in a difficult environment. The stock gets pushed down, based on the residential real- estate situation. But we still believe the company has the ability to earn about $7 of free cash flow a share this year, even in a difficult time, and into the future. They can earn much more than that if things get better, and they are expanding in Europe.

Witmer: In a year or two, when housing picks up and people are happier about the economy, a stock like this could trade at a higher multiple. Our price target is 110 to 115.

Cheap

"We recently shorted carpet maker Mohawk Industries (MHK). We were short Mohawk last year at approximately the same levels. We recommended selling Mohawk in March 2006 at $87 and we closed the position in June 2006 at $70 for a 20% gain."

Mohawk is highly dependent on the new residential construction market and the remodeling market. It is in the sweet spot of where you would expect there might be problems...We think Mohawk will have down earnings in 2007. Earnings will go from the 2006 level of $6.57 a share to $5.94 a share...We see it heading to $68."

Fairholme pick.

looking to add