(LEN-B) Lennar - Overview
Sector: Consumer Cyclical | Industry: Residential Construction | Exchange: NYSE (USA) | Market Cap: 19.783m USD | Total Return: -12.1% in 12m
Avg Turnover: 5.99M
EPS Trend: -79.9%
Rev. Trend: 6.0%
Qual. Beats: -1
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Lennar Corporation is a diversified real estate company and one of the largest homebuilders in the United States by volume. The company operates across multiple geographic segments, focusing on the construction and sale of single-family attached and detached homes for first-time, move-up, active adult, and luxury buyers.
The business model integrates home construction with a full suite of financial services, including mortgage financing, title insurance, and closing services. This vertical integration allows the company to capture additional revenue streams throughout the home-buying lifecycle while managing the closing process more efficiently.
In addition to residential sales, Lennar develops and manages multifamily rental properties and engages in residential land development. The homebuilding sector is highly sensitive to interest rate fluctuations and labor availability, which directly impact construction costs and buyer affordability. You can review more detailed financial metrics on ValueRay to further evaluate the companys performance.
Founded in 1954 and headquartered in Miami, Florida, Lennar also manages investment funds and originates commercial mortgage loans for securitization. The company maintains a broad national footprint, categorized into East, Central, South Central, and West operating segments.
- Federal Reserve interest rate pivots dictate housing demand and mortgage affordability
- Strategic shift toward asset-light land model improves return on invested capital
- Mortgage and title service margins fluctuate with home closing volume volatility
- Persistent national housing inventory shortage supports elevated new home sales pricing
- Rising construction material and labor costs impact homebuilding gross profit margins
| Net Income: 1.79b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.00 > 0.02 and ΔFCF/TA -4.51 > 1.0 |
| NWC/Revenue: 29.90% < 20% (prev 35.84%; Δ -5.94% < -1%) |
| CFO/TA 0.01 > 3% & CFO 177.4m > Net Income 1.79b |
| Net Debt (3.60b) to EBITDA (2.33b): 1.55 < 3 |
| Current Ratio: 3.74 > 1.5 & < 3 |
| Outstanding Shares: last quarter (244.4m) vs 12m ago -6.96% < -2% |
| Gross Margin: 16.77% > 18% (prev 0.22%; Δ 1.66k% > 0.5%) |
| Asset Turnover: 97.18% > 50% (prev 102.3%; Δ -5.17% > 0%) |
| Interest Coverage Ratio: 25.31 > 6 (EBITDA TTM 2.33b / Interest Expense TTM 86.5m) |
| A: 0.30 (Total Current Assets 13.5b - Total Current Liabilities 3.61b) / Total Assets 33.2b |
| B: 0.68 (Retained Earnings 22.6b / Total Assets 33.2b) |
| C: 0.06 (EBIT TTM 2.19b / Avg Total Assets 34.1b) |
| D: 2.02 (Book Value of Equity 22.6b / Total Liabilities 11.2b) |
| Altman-Z'' = 6.73 = AAA |
| DSRI: 0.68 (Receivables 960.9m/1.53b, Revenue 33.1b/35.8b) |
| GMI: 1.31 (GM 16.77% / 21.95%) |
| AQI: 0.83 (AQ_t 0.39 / AQ_t-1 0.47) |
| SGI: 0.93 (Revenue 33.1b / 35.8b) |
| TATA: 0.05 (NI 1.79b - CFO 177.4m) / TA 33.2b) |
| Beneish M = -3.12 (Cap -4..+1) = AA |
As of May 23, 2026, the stock is trading at USD 87.03 with a total of 51,217 shares traded.
Over the past week, the price has changed by +8.09%,
over one month by -5.46%,
over three months by -18.97% and
over the past year by -12.08%.
Lennar has no consensus analysts rating.
P/E Forward = 14.0449
P/S = 0.5963
P/B = 0.9691
P/EG = 0.7239
Revenue TTM = 33.1b USD
EBIT TTM = 2.19b USD
EBITDA TTM = 2.33b USD
Long Term Debt = 5.26b USD (from longTermDebt, last quarter)
Short Term Debt = 429.0m USD (from shortTermDebt, last quarter)
Debt = 5.69b USD (corrected: LT Debt 5.26b + ST Debt 429.0m)
Net Debt = 3.60b USD (calculated: Debt 5.69b - CCE 2.09b)
Enterprise Value = 23.4b USD (19.8b + Debt 5.69b - CCE 2.09b)
Interest Coverage Ratio = 25.31 (Ebit TTM 2.19b / Interest Expense TTM 86.5m)
EV/FCF = 1000.0x (Enterprise Value 23.4b / FCF TTM 14.8m)
FCF Yield = 0.06% (FCF TTM 14.8m / Enterprise Value 23.4b)
FCF Margin = 0.04% (FCF TTM 14.8m / Revenue TTM 33.1b)
Net Margin = 5.40% (Net Income TTM 1.79b / Revenue TTM 33.1b)
Gross Margin = 16.77% ((Revenue TTM 33.1b - Cost of Revenue TTM 27.6b) / Revenue TTM)
Gross Margin QoQ = 15.23% (prev 16.29%)
Tobins Q-Ratio = 0.70 (Enterprise Value 23.4b / Total Assets 33.2b)
Interest Expense / Debt = 1.52% (Interest Expense 86.5m / Debt 5.69b)
Taxrate = 22.84% (69.1m / 302.5m)
NOPAT = 1.69b (EBIT 2.19b * (1 - 22.84%))
Current Ratio = 3.74 (Total Current Assets 13.5b / Total Current Liabilities 3.61b)
Debt / Equity = 0.26 (Debt 5.69b / totalStockholderEquity, last quarter 21.9b)
Debt / EBITDA = 1.55 (Net Debt 3.60b / EBITDA 2.33b)
Debt / FCF = 243.7 (Net Debt 3.60b / FCF TTM 14.8m)
Total Stockholder Equity = 22.2b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.24% (Net Income 1.79b / Total Assets 33.2b)
RoE = 8.04% (Net Income TTM 1.79b / Total Stockholder Equity 22.2b)
RoCE = 7.96% (EBIT 2.19b / Capital Employed (Equity 22.2b + L.T.Debt 5.26b))
RoIC = 5.95% (NOPAT 1.69b / Invested Capital 28.4b)
WACC = 7.34% (E(19.8b)/V(25.5b) * Re(9.11%) + D(5.69b)/V(25.5b) * Rd(1.52%) * (1-Tc(0.23)))
Discount Rate = 9.11% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -5.77%
[DCF] Terminal Value 73.10% ; FCFF base≈645.6m ; Y1≈566.2m ; Y5≈457.4m
[DCF] Fair Price = 120.5 (EV 7.34b - Net Debt 3.60b = Equity 3.74b / Shares 31.1m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: -79.93 | EPS CAGR: -20.45% | SUE: N/A | # QB: 0
Revenue Correlation: 6.02 | Revenue CAGR: 0.20% | SUE: -1.43 | # QB: -1