LENNAR CORP-A (LEN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LEN - US5260571048 - Common Stock
121.39 USD
-1.93 (-1.57%)
120.7 USD
-0.69 (-0.57%)
Overall LEN gets a fundamental rating of 5 out of 10. We evaluated LEN against 60 industry peers in the Household Durables industry. LEN has only an average score on both its financial health and profitability. LEN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year LEN was profitable.
- LEN had a negative operating cash flow in the past year.
- In the past 5 years LEN has always been profitable.
- Of the past 5 years LEN 4 years had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of LEN (7.62%) is better than 70.00% of its industry peers.
- LEN's Return On Equity of 11.77% is in line compared to the rest of the industry. LEN outperforms 56.67% of its industry peers.
- With a decent Return On Invested Capital value of 8.53%, LEN is doing good in the industry, outperforming 61.67% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for LEN is in line with the industry average of 9.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.62% | ||
| ROE | 11.77% | ||
| ROIC | 8.53% |
ROA(3y)10.3%
ROA(5y)11.22%
ROE(3y)15.58%
ROE(5y)17.34%
ROIC(3y)10.18%
ROIC(5y)11.88%
1.3 Margins
- Looking at the Profit Margin, with a value of 7.64%, LEN is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
- In the last couple of years the Profit Margin of LEN has remained more or less at the same level.
- LEN has a better Operating Margin (10.61%) than 68.33% of its industry peers.
- LEN's Operating Margin has declined in the last couple of years.
- The Gross Margin of LEN (12.38%) is worse than 93.33% of its industry peers.
- LEN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.61% | ||
| PM (TTM) | 7.64% | ||
| GM | 12.38% |
OM growth 3Y-22.67%
OM growth 5Y-8.83%
PM growth 3Y-4.93%
PM growth 5Y1.45%
GM growth 3Y-7.29%
GM growth 5Y0.84%
2. Health
2.1 Basic Checks
- LEN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for LEN has been reduced compared to 1 year ago.
- Compared to 5 years ago, LEN has less shares outstanding
- The debt/assets ratio for LEN is higher compared to a year ago.
2.2 Solvency
- LEN has an Altman-Z score of 4.26. This indicates that LEN is financially healthy and has little risk of bankruptcy at the moment.
- LEN has a Altman-Z score of 4.26. This is in the better half of the industry: LEN outperforms 71.67% of its industry peers.
- A Debt/Equity ratio of 0.24 indicates that LEN is not too dependend on debt financing.
- With a Debt to Equity ratio value of 0.24, LEN perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.26 |
ROIC/WACC0.99
WACC8.6%
2.3 Liquidity
- A Current Ratio of 9.39 indicates that LEN has no problem at all paying its short term obligations.
- LEN has a Current ratio of 9.39. This is amongst the best in the industry. LEN outperforms 91.67% of its industry peers.
- LEN has a Quick Ratio of 1.76. This is a normal value and indicates that LEN is financially healthy and should not expect problems in meeting its short term obligations.
- LEN has a better Quick ratio (1.76) than 76.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.39 | ||
| Quick Ratio | 1.76 |
3. Growth
3.1 Past
- LEN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -44.28%.
- Measured over the past 5 years, LEN shows a small growth in Earnings Per Share. The EPS has been growing by 0.33% on average per year.
- The Revenue has decreased by -3.54% in the past year.
- The Revenue has been growing by 8.74% on average over the past years. This is quite good.
EPS 1Y (TTM)-44.28%
EPS 3Y-20.53%
EPS 5Y0.33%
EPS Q2Q%-52.46%
Revenue 1Y (TTM)-3.54%
Revenue growth 3Y0.51%
Revenue growth 5Y8.74%
Sales Q2Q%-5.82%
3.2 Future
- LEN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.99% yearly.
- The Revenue is expected to grow by 7.26% on average over the next years.
EPS Next Y-3.89%
EPS Next 2Y9.36%
EPS Next 3Y16.99%
EPS Next 5Y25.99%
Revenue Next Year0.43%
Revenue Next 2Y-0.66%
Revenue Next 3Y4.69%
Revenue Next 5Y7.26%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- LEN is valuated correctly with a Price/Earnings ratio of 15.19.
- Compared to the rest of the industry, the Price/Earnings ratio of LEN is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of LEN to the average of the S&P500 Index (27.33), we can say LEN is valued slightly cheaper.
- The Price/Forward Earnings ratio is 15.81, which indicates a correct valuation of LEN.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of LEN is on the same level as its industry peers.
- LEN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.19 | ||
| Fwd PE | 15.81 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as LEN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.08 |
4.3 Compensation for Growth
- A more expensive valuation may be justified as LEN's earnings are expected to grow with 16.99% in the coming years.
PEG (NY)N/A
PEG (5Y)46.23
EPS Next 2Y9.36%
EPS Next 3Y16.99%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.83%, LEN has a reasonable but not impressive dividend return.
- LEN's Dividend Yield is a higher than the industry average which is at 1.19.
- LEN's Dividend Yield is comparable with the S&P500 average which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
5.2 History
- The dividend of LEN is nicely growing with an annual growth rate of 65.54%!
- LEN has been paying a dividend for at least 10 years, so it has a reliable track record.
- LEN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)65.54%
Div Incr Years1
Div Non Decr Years15
5.3 Sustainability
- LEN pays out 19.91% of its income as dividend. This is a sustainable payout ratio.
- The dividend of LEN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP19.91%
EPS Next 2Y9.36%
EPS Next 3Y16.99%
121.39
-1.93 (-1.57%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)12-16 2025-12-16/amc
Earnings (Next)03-18 2026-03-18/amc
Inst Owners96.66%
Inst Owner Change0.19%
Ins Owners1.22%
Ins Owner Change0.31%
Market Cap30.96B
Revenue(TTM)34.19B
Net Income(TTM)2.66B
Analysts54.81
Price Target118.3 (-2.55%)
Short Float %5.42%
Short Ratio1.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
Yearly Dividend2
Dividend Growth(5Y)65.54%
DP19.91%
Div Incr Years1
Div Non Decr Years15
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.1%
Min EPS beat(2)-7.71%
Max EPS beat(2)7.91%
EPS beat(4)2
Avg EPS beat(4)2.19%
Min EPS beat(4)-7.71%
Max EPS beat(4)11.86%
EPS beat(8)6
Avg EPS beat(8)6.21%
EPS beat(12)9
Avg EPS beat(12)9.23%
EPS beat(16)11
Avg EPS beat(16)5.39%
Revenue beat(2)1
Avg Revenue beat(2)-0.69%
Min Revenue beat(2)-3.05%
Max Revenue beat(2)1.66%
Revenue beat(4)2
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-3.05%
Max Revenue beat(4)1.66%
Revenue beat(8)5
Avg Revenue beat(8)0.71%
Revenue beat(12)8
Avg Revenue beat(12)2.24%
Revenue beat(16)11
Avg Revenue beat(16)1.82%
PT rev (1m)-8.71%
PT rev (3m)-12.2%
EPS NQ rev (1m)-0.32%
EPS NQ rev (3m)-2.12%
EPS NY rev (1m)-14.56%
EPS NY rev (3m)-19.78%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-0.5%
Revenue NY rev (1m)-2.68%
Revenue NY rev (3m)-2.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.19 | ||
| Fwd PE | 15.81 | ||
| P/S | 0.89 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.37 | ||
| P/tB | 1.63 | ||
| EV/EBITDA | 9.08 |
EPS(TTM)7.99
EY6.58%
EPS(NY)7.68
Fwd EY6.33%
FCF(TTM)-2.8
FCFYN/A
OCF(TTM)-2.23
OCFYN/A
SpS136.33
BVpS88.5
TBVpS74.26
PEG (NY)N/A
PEG (5Y)46.23
Graham Number126.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.62% | ||
| ROE | 11.77% | ||
| ROCE | 11.15% | ||
| ROIC | 8.53% | ||
| ROICexc | 8.99% | ||
| ROICexgc | 14.18% | ||
| OM | 10.61% | ||
| PM (TTM) | 7.64% | ||
| GM | 12.38% | ||
| FCFM | N/A |
ROA(3y)10.3%
ROA(5y)11.22%
ROE(3y)15.58%
ROE(5y)17.34%
ROIC(3y)10.18%
ROIC(5y)11.88%
ROICexc(3y)11.92%
ROICexc(5y)13.71%
ROICexgc(3y)18.83%
ROICexgc(5y)18.96%
ROCE(3y)13.3%
ROCE(5y)15.53%
ROICexgc growth 3Y-1.59%
ROICexgc growth 5Y11.09%
ROICexc growth 3Y-22.05%
ROICexc growth 5Y-3.19%
OM growth 3Y-22.67%
OM growth 5Y-8.83%
PM growth 3Y-4.93%
PM growth 5Y1.45%
GM growth 3Y-7.29%
GM growth 5Y0.84%
F-Score4
Asset Turnover1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.41 | ||
| Cap/Depr | 111.6% | ||
| Cap/Sales | 0.42% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 9.39 | ||
| Quick Ratio | 1.76 | ||
| Altman-Z | 4.26 |
F-Score4
WACC8.6%
ROIC/WACC0.99
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.28%
EPS 3Y-20.53%
EPS 5Y0.33%
EPS Q2Q%-52.46%
EPS Next Y-3.89%
EPS Next 2Y9.36%
EPS Next 3Y16.99%
EPS Next 5Y25.99%
Revenue 1Y (TTM)-3.54%
Revenue growth 3Y0.51%
Revenue growth 5Y8.74%
Sales Q2Q%-5.82%
Revenue Next Year0.43%
Revenue Next 2Y-0.66%
Revenue Next 3Y4.69%
Revenue Next 5Y7.26%
EBIT growth 1Y-34.32%
EBIT growth 3Y-22.28%
EBIT growth 5Y-0.86%
EBIT Next Year-17.91%
EBIT Next 3Y12.63%
EBIT Next 5Y18.06%
FCF growth 1Y-118.56%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-114.14%
OCF growth 3YN/A
OCF growth 5YN/A
LENNAR CORP-A / LEN FAQ
What is the ChartMill fundamental rating of LENNAR CORP-A (LEN) stock?
ChartMill assigns a fundamental rating of 5 / 10 to LEN.
What is the valuation status for LEN stock?
ChartMill assigns a valuation rating of 3 / 10 to LENNAR CORP-A (LEN). This can be considered as Overvalued.
How profitable is LENNAR CORP-A (LEN) stock?
LENNAR CORP-A (LEN) has a profitability rating of 5 / 10.
How financially healthy is LENNAR CORP-A?
The financial health rating of LENNAR CORP-A (LEN) is 6 / 10.
Is the dividend of LENNAR CORP-A sustainable?
The dividend rating of LENNAR CORP-A (LEN) is 6 / 10 and the dividend payout ratio is 19.91%.