Zacks Research Has Negative Outlook of Lennar Q1 Earnings

Lennar Corporation (NYSE:LEN) – Analysts at Zacks Research dropped their Q1 2026 earnings per share (EPS) estimates for shares of Lennar in a research note issued to investors on Tuesday, January 6th. Zacks Research analyst Team now expects that the construction company will earn $1.04 per share for the quarter, down from their previous forecast of $1.62. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Lennar’s current full-year earnings is $12.48 per share. Zacks Research also issued estimates for Lennar’s Q2 2026 earnings at $1.30 EPS, Q3 2026 earnings at $1.78 EPS, Q4 2026 earnings at $2.03 EPS, FY2026 earnings at $6.14 EPS, Q1 2027 earnings at $0.85 EPS, Q2 2027 earnings at $1.88 EPS, Q3 2027 earnings at $2.68 EPS, Q4 2027 earnings at $3.00 EPS and FY2027 earnings at $8.42 EPS.

Lennar (NYSE:LEN) last released its quarterly earnings data on Tuesday, December 16th. The construction company reported $2.03 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.30 by ($0.27). Lennar had a net margin of 6.08% and a return on equity of 9.27%. The company had revenue of $9.37 billion for the quarter, compared to the consensus estimate of $9.17 billion. During the same quarter in the previous year, the business earned $4.03 EPS. The company’s quarterly revenue was down 5.8% on a year-over-year basis.

Other equities research analysts also recently issued reports about the company. Citizens Jmp reiterated a “market perform” rating on shares of Lennar in a research report on Wednesday. Royal Bank Of Canada set a $88.00 price objective on Lennar in a report on Friday. Raymond James Financial downgraded Lennar from a “market perform” rating to an “underperform” rating in a research report on Monday, September 22nd. Wedbush restated a “neutral” rating and issued a $130.00 price target on shares of Lennar in a research report on Monday, September 22nd. Finally, Wells Fargo & Company lowered their price objective on shares of Lennar from $110.00 to $105.00 and set an “equal weight” rating for the company in a research report on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, ten have issued a Hold rating and seven have given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Reduce” and a consensus target price of $106.00.

Lennar Stock Up 8.6%

LEN opened at $118.92 on Friday. The company has a market capitalization of $30.33 billion, a PE ratio of 14.88, a price-to-earnings-growth ratio of 1.26 and a beta of 1.42. The firm has a 50-day simple moving average of $116.95 and a two-hundred day simple moving average of $121.24. The company has a quick ratio of 1.36, a current ratio of 4.89 and a debt-to-equity ratio of 0.18. Lennar has a 52 week low of $98.42 and a 52 week high of $144.24.

Hedge Funds Weigh In On Lennar

A number of large investors have recently made changes to their positions in LEN. Diversified Trust Co. grew its holdings in Lennar by 9.0% during the 4th quarter. Diversified Trust Co. now owns 3,517 shares of the construction company’s stock valued at $362,000 after purchasing an additional 291 shares during the last quarter. Gryphon Financial Partners LLC raised its holdings in shares of Lennar by 36.0% in the fourth quarter. Gryphon Financial Partners LLC now owns 5,897 shares of the construction company’s stock worth $606,000 after buying an additional 1,561 shares during the period. Tounjian Advisory Partners LLC bought a new stake in shares of Lennar during the 4th quarter worth approximately $2,599,000. Asset Management Advisors LLC grew its position in Lennar by 30.1% in the 4th quarter. Asset Management Advisors LLC now owns 71,542 shares of the construction company’s stock valued at $7,355,000 after acquiring an additional 16,560 shares during the last quarter. Finally, Catherine Avery Investment Management LLC increased its stake in Lennar by 13.3% in the fourth quarter. Catherine Avery Investment Management LLC now owns 31,545 shares of the construction company’s stock worth $3,243,000 after purchasing an additional 3,702 shares during the period. 81.10% of the stock is owned by hedge funds and other institutional investors.

Key Lennar News

Here are the key news stories impacting Lennar this week:

• Positive Sentiment: Shares rose today on heavy volume, indicating buying interest that outweighed the negative analyst headlines (volume above average; technicals show price above the 50‑day SMA).
• Neutral Sentiment: Zacks published a FY2028 EPS projection of $10.17 for Lennar, signaling a longer‑range recovery expectation even as nearer‑term estimates were cut.
• Neutral Sentiment: Citizens / JMP reaffirmed a Market Perform (neutral) rating on LEN. Citizens Jmp Reaffirms Market Perform Rating for Lennar (NYSE:LEN)
• Neutral Sentiment: TPG’s acquisition of a majority interest in Quarterra was reported; this is industry‑level M&A news that may indirectly affect builder sentiment in certain markets but has no direct confirmed impact on Lennar. TPG Buys Majority Interest in Quarterra
• Negative Sentiment: Zacks cut Lennar’s near‑term and medium‑term EPS forecasts across multiple quarters and fiscal years (examples: FY2026 cut roughly to $6.14 from prior ~ $8.77; FY2027 cut to $8.42 from ~$10.11; several quarterly downgrades). Zacks kept a “Hold” rating — the cuts reduce near‑term earnings visibility and are a clear negative for consensus‑driven valuation.
• Negative Sentiment: Major sell‑side moves: Citigroup trimmed its price target to $113 and kept a neutral view (reported via Benzinga), and Wells Fargo lowered its target to $105 — both put downward pressure on sentiment. Citigroup price target cut reported at Benzinga Wells Fargo Lowers Lennar Price Target
• Negative Sentiment: Coverage notes after Lennar’s Q4 showing: some outlets and analysts moved LEN to market‑perform/neutral following an “underwhelming” quarter (Citizens/MSN coverage), reinforcing cautious sentiment. Lennar lowered to market perform at Citizens after underwhelming Q4

About Lennar

Lennar Corporation (NYSE: LEN) is a U.S.-based homebuilder and real estate company that designs, constructs and sells residential housing. The company offers a range of product types including single-family detached homes, townhomes and condominiums, serving buyers from entry-level and first-time purchasers to move-up, active-adult and luxury segments. Lennar also develops master-planned communities and manages land acquisition and entitlement activities that support its homebuilding operations.

In addition to home construction and sales, Lennar provides a suite of ancillary services intended to streamline the purchase process and capture additional value.