Lennar (NYSE:LEN) Cut to “Strong Sell” at Zacks Research

Zacks Research lowered shares of Lennar (NYSE:LEN) from a hold rating to a strong sell rating in a report published on Thursday,Zacks.com reports. Zacks Research also issued estimates for Lennar’s Q1 2026 earnings at $1.04 EPS, 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, FY2027 earnings at $8.42 EPS and FY2028 earnings at $10.17 EPS.

Several other equities research analysts have also recently commented on LEN. Weiss Ratings restated a “hold (c)” rating on shares of Lennar in a research note on Wednesday, October 8th. The Goldman Sachs Group reiterated a “neutral” rating and set a $120.00 target price on shares of Lennar in a research report on Thursday, December 18th. Wedbush reissued a “neutral” rating and issued a $130.00 price target on shares of Lennar in a report on Monday, September 22nd. Bank of America reaffirmed an “underperform” rating and set a $95.00 price objective (down previously from $125.00) on shares of Lennar in a report on Thursday, December 18th. Finally, Raymond James Financial downgraded Lennar from a “market perform” rating to an “underperform” rating in a report on Monday, September 22nd. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, nine have assigned a Hold rating and eight have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Lennar presently has a consensus rating of “Reduce” and a consensus price target of $106.00.

Lennar Trading Up 8.6%

NYSE LEN opened at $118.92 on Thursday. The firm’s fifty day moving average is $116.95 and its two-hundred day moving average is $121.31. Lennar has a one year low of $98.42 and a one year high of $144.24. The company has a debt-to-equity ratio of 0.18, a quick ratio of 1.36 and a current ratio of 4.89. The firm has a market cap of $30.33 billion, a PE ratio of 14.88, a P/E/G ratio of 1.38 and a beta of 1.42.

Lennar (NYSE:LEN) last released its quarterly earnings results on Tuesday, December 16th. The construction company reported $2.03 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.30 by ($0.27). The company had revenue of $9.37 billion for the quarter, compared to analysts’ expectations of $9.17 billion. Lennar had a return on equity of 9.27% and a net margin of 6.08%.The business’s quarterly revenue was down 5.8% compared to the same quarter last year. During the same period in the prior year, the business earned $4.03 EPS. Analysts expect that Lennar will post 12.48 earnings per share for the current year.

Hedge Funds Weigh In On Lennar

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Kingstone Capital Partners Texas LLC purchased a new position in shares of Lennar during the 2nd quarter worth approximately $424,950,000. Viking Global Investors LP raised its holdings in shares of Lennar by 86.7% in the second quarter. Viking Global Investors LP now owns 2,523,594 shares of the construction company’s stock worth $279,135,000 after acquiring an additional 1,172,068 shares during the last quarter. Barrow Hanley Mewhinney & Strauss LLC lifted its position in shares of Lennar by 14.6% in the third quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 4,732,654 shares of the construction company’s stock valued at $596,504,000 after acquiring an additional 603,004 shares in the last quarter. Migdal Insurance & Financial Holdings Ltd. purchased a new stake in Lennar during the 2nd quarter worth about $25,440,000. Finally, Todd Asset Management LLC acquired a new position in Lennar in the 3rd quarter valued at about $26,371,000. Institutional investors and hedge funds own 81.10% of the company’s stock.

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

Lennar Company Profile

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.