Lennar Corporation (LEN) Stock

Lennar Corporation (LEN) is a Industrials stock trading at $83.60 (as of 2026-09-02), with a market capitalization of $20.13B and a trailing P/E of 12.5. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Lennar Corporation, together with its subsidiaries, operates as a homebuilder primarily under the Lennar brand in the United States. It operates through Homebuilding East, Homebuilding Central, Homebuilding Texas, Homebuilding West, Financial Services, Multifamily, and Lennar Other segments. The company's homebuilding operations include the construction and sale of single-family attached and detached homes, as well as the purchase, development, and sale of residential land; and development, construction, and management of multifamily rental properties. It also offers residential mortgage financing, title insurance, and closing services for home buyers and others, as well as originates and sells securitization commercial mortgage loans. In addition, the company is involved in the fund investment activity. It primarily serves first-time, move-up, active adult, and luxury homebuyers. Lennar Corporation was founded in 1954 and is based in Miami, Florida.

Understand Lennar Corporation: how it makes money

Lennar builds and sells single-family homes across four US regions, and earns a smaller stream from mortgage lending and multifamily rentals. The bulk of revenue comes from home sales, with pricing and volume highly sensitive to mortgage rates and buyer traffic.

The 5% operating margin means every dollar of construction-cost inflation or price discount hits the bottom line nearly one-for-one, so the cost curve and the asset-light land model determine whether Lennar prints profit or absorbs the spread.

Business quality (Weak): Grade: Weak. Operating margin at 5% and a P/E 44% below the construction peer set signal a cyclical business whose current earnings power is compressed by rate headwinds.

Valuation: At 13× earnings, LEN trades 44% below the Construction average (23×). Note: the low multiple may reflect one-time earnings items.

Bull case

Cost deflation widens spread: Construction costs hit $81 per square foot, down 13% from two years ago, meaning the gap between what Lennar pays to build and what it charges buyers is mechanically wider even before any price increase.
Asset-light land keeps risk low: Management emphasized that the asset-light land model limits balance-sheet land ownership, so a prolonged rate pause or soft market does not force Lennar to carry depreciating land inventory on its books.
Valuation leaves room for recovery: At 13.1x earnings versus a 24x construction-industry average, the stock is 44% below peers, implying the market already prices in sustained weakness that a rate cut cycle would quickly reverse.

Bear case

Rates keep buyers priced out: Mortgage rates remain elevated, and management flagged that housing affordability is still challenged, which caps the pool of qualified buyers regardless of any inventory Lennar can supply.
Traffic signals weak demand: Management described showroom traffic as inconsistent and noted buyers are slow to commit, a leading indicator that order momentum has not yet turned back to Lennar's favor.
Thin margin offers no cushion: With operating margin at just 5%, even a modest further uptick in commodity or labor costs, or a small price concession to clear inventory, can wipe out most of the pre-tax profit.

Valuation — source: SEC EDGAR (first-party)
Price	$83.60
Market Cap	$20.13B
P/E Ratio	12.5
EV / EBITDA	7.7
Price / Book	0.92
Price / Sales	0.61
FCF Yield	0.1%
DCF Value (model)	$115.69
DCF Upside vs Price	38.4%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$34.19B
Net Margin	6.1%
Revenue Growth (YoY)	-5.2%
EPS Growth (YoY)	-31.5%
FCF Growth (YoY)	-72.7%

Valuation vs Sector & Industry
Stock P/E	12.5
Sector P/E (Industrials)	25.7
Industry P/E (Construction)	22.8
vs Sector	-51.6%
vs Industry	-45.4%

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	VANGUARD GROUP INC ($2.52B)
Institutional Holders Tracked	10
Congressional Trades (recent)	10

Company
Sector	Industrials
Industry	Construction
CEO	Stuart A. Miller
Employees	13,265
Country	US
IPO Date	1980-03-17

Lennar Corporation earnings call transcripts

LEN Q2 FY26 earnings call transcript (reported 2026-06-11) · analysis
LEN Q1 FY26 earnings call transcript (reported 2026-03-12) · analysis
LEN Q3 FY25 earnings call transcript (reported 2025-09-18) · analysis

All LEN earnings calls

Related Companies (Construction; 8 comparable construction companies)

Data as of 2026-09-02.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.