Zacks Research Has Bearish Estimate for Lennar Q2 Earnings

Lennar Corporation (NYSE:LEN) – Research analysts at Zacks Research reduced their Q2 2027 earnings per share (EPS) estimates for Lennar in a report released on Tuesday, February 17th. Zacks Research analyst Team now forecasts that the construction company will earn $1.78 per share for the quarter, down from their previous estimate of $1.84. Zacks Research has a “Strong Sell” 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 Q3 2027 earnings at $2.63 EPS, Q4 2027 earnings at $2.89 EPS, FY2027 earnings at $8.12 EPS and FY2028 earnings at $9.55 EPS.

Other equities analysts also recently issued research reports about the company. Wells Fargo & Company decreased their target price on Lennar from $110.00 to $105.00 and set an “equal weight” rating on the stock in a research report on Tuesday, January 6th. Keefe, Bruyette & Woods lowered their price objective on shares of Lennar from $125.00 to $115.00 and set a “market perform” rating for the company in a research report on Thursday, December 18th. Evercore cut Lennar from an “in-line” rating to an “underperform” rating and cut their target price for the stock from $114.00 to $92.00 in a research note on Thursday, December 18th. Citigroup lowered their price target on Lennar from $133.00 to $113.00 and set a “neutral” rating for the company in a report on Thursday, January 8th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Lennar in a research note on Thursday, January 22nd. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Hold rating and eight have issued a Sell rating to the company. According to data from MarketBeat.com, Lennar has an average rating of “Reduce” and an average price target of $106.38.

Lennar Stock Performance

LEN opened at $116.18 on Thursday. The stock has a market cap of $28.70 billion, a price-to-earnings ratio of 14.54, a PEG ratio of 1.76 and a beta of 1.44. The business has a 50 day moving average of $113.11 and a 200-day moving average of $122.04. Lennar has a 12-month low of $98.42 and a 12-month high of $144.24. 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 (NYSE:LEN) last posted its quarterly earnings results on Tuesday, December 16th. The construction company reported $2.03 earnings per share for the quarter, missing the consensus estimate of $2.30 by ($0.27). Lennar had a return on equity of 9.27% and a net margin of 6.08%.The company had revenue of $9.37 billion for the quarter, compared to analyst estimates of $9.17 billion. During the same period last year, the firm earned $4.03 EPS. The firm’s revenue for the quarter was down 5.8% compared to the same quarter last year.

Hedge Funds Weigh In On Lennar

Institutional investors have recently modified their holdings of the business. Lazard Asset Management LLC boosted its holdings in shares of Lennar by 7.1% in the 2nd quarter. Lazard Asset Management LLC now owns 1,278 shares of the construction company’s stock worth $141,000 after buying an additional 85 shares during the last quarter. Zions Bancorporation National Association UT grew its position in Lennar by 8.3% during the third quarter. Zions Bancorporation National Association UT now owns 1,127 shares of the construction company’s stock worth $142,000 after buying an additional 86 shares in the last quarter. RFG Advisory LLC raised its stake in Lennar by 2.1% in the third quarter. RFG Advisory LLC now owns 4,255 shares of the construction company’s stock valued at $536,000 after purchasing an additional 87 shares in the last quarter. Rossby Financial LCC increased its stake in Lennar by 9.1% in the fourth quarter. Rossby Financial LCC now owns 1,059 shares of the construction company’s stock valued at $109,000 after acquiring an additional 88 shares during the last quarter. Finally, UMB Bank n.a. grew its position in Lennar by 6.2% during the third quarter. UMB Bank n.a. now owns 1,595 shares of the construction company’s stock valued at $201,000 after acquiring an additional 93 shares during the last quarter. 81.10% of the stock is owned by institutional investors.

Lennar Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, February 19th. Investors of record on Wednesday, February 4th were given a dividend of $0.50 per share. The ex-dividend date of this dividend was Wednesday, February 4th. This represents a $2.00 annualized dividend and a dividend yield of 1.7%. Lennar’s payout ratio is presently 25.03%.

Key Stories Impacting Lennar

Here are the key news stories impacting Lennar this week:

• Positive Sentiment: Lennar plans a large 1,300‑home “mini city” at San Marcos’ edge — a material development pipeline add that supports future revenue and lot inventory. Lennar Plots 1,300-Home Mini City At San Marcos Edge
• Positive Sentiment: Recent land purchases in Haw River and Winston‑Salem increase Lennar’s land bank in growth markets, supporting future community starts. Lennar purchases in Haw River, Winston-Salem are Triad’s biggest land deals for week of Feb. 13
• Neutral Sentiment: Lennar disclosed a stake in Opendoor; that investment lifted OPEN shares ahead of Opendoor’s Q4 results but is a non‑operating move that may have limited immediate earnings impact for Lennar. Lennar Stake Lifts Opendoor Stock Before Earnings
• Neutral Sentiment: Coverage of the market reaction to Lennar’s Opendoor position highlights investor interest in strategic stakes but doesn’t change Lennar’s homebuilding fundamentals. OPEN stock rallies ahead of Q4 report after Lennar bet: Can results hold the gains?
• Negative Sentiment: Local opposition is mounting against a proposed Hill Country development — community pushback can delay or increase costs for projects in key markets. Another proposed Hill Country development facing increased pushback from community members
• Negative Sentiment: Zacks Research cut multiple near‑term EPS forecasts and maintains a “Strong Sell” rating — Q2 2027 EPS trimmed to $1.78 (from $1.84), Q3 to $2.63 (from $2.64), Q4 to $2.89 (from $2.96); FY2027 down to $8.12 (from $8.27) and FY2028 to $9.55 (from $9.98). Those downgrades and the negative rating are the clearest catalyst driving today’s weakness.

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.