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Lennar (LEN) Gains But Lags Market: What You Should Know
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Lennar (LEN - Free Report) closed at $114.05 in the latest trading session, marking a +0.01% move from the prior day. The stock lagged the S&P 500's daily gain of 0.63%. Meanwhile, the Dow gained 0.62%, and the Nasdaq, a tech-heavy index, added 0.84%.
Coming into today, shares of the homebuilder had lost 10.75% in the past month. In that same time, the Construction sector lost 3.92%, while the S&P 500 lost 3.37%.
Investors will be hoping for strength from Lennar as it approaches its next earnings release. In that report, analysts expect Lennar to post earnings of $3.47 per share. This would mark a year-over-year decline of 33.01%. Our most recent consensus estimate is calling for quarterly revenue of $8.53 billion, down 4.57% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.65 per share and revenue of $32.68 billion, which would represent changes of -27.92% and -2.94%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Lennar. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Lennar currently has a Zacks Rank of #2 (Buy).
Investors should also note Lennar's current valuation metrics, including its Forward P/E ratio of 9.02. This represents a premium compared to its industry's average Forward P/E of 8.72.
It is also worth noting that LEN currently has a PEG ratio of 1.5. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Building Products - Home Builders industry currently had an average PEG ratio of 0.73 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 4, which puts it in the top 2% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Lennar (LEN) Gains But Lags Market: What You Should Know
Lennar (LEN - Free Report) closed at $114.05 in the latest trading session, marking a +0.01% move from the prior day. The stock lagged the S&P 500's daily gain of 0.63%. Meanwhile, the Dow gained 0.62%, and the Nasdaq, a tech-heavy index, added 0.84%.
Coming into today, shares of the homebuilder had lost 10.75% in the past month. In that same time, the Construction sector lost 3.92%, while the S&P 500 lost 3.37%.
Investors will be hoping for strength from Lennar as it approaches its next earnings release. In that report, analysts expect Lennar to post earnings of $3.47 per share. This would mark a year-over-year decline of 33.01%. Our most recent consensus estimate is calling for quarterly revenue of $8.53 billion, down 4.57% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.65 per share and revenue of $32.68 billion, which would represent changes of -27.92% and -2.94%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Lennar. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Lennar currently has a Zacks Rank of #2 (Buy).
Investors should also note Lennar's current valuation metrics, including its Forward P/E ratio of 9.02. This represents a premium compared to its industry's average Forward P/E of 8.72.
It is also worth noting that LEN currently has a PEG ratio of 1.5. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Building Products - Home Builders industry currently had an average PEG ratio of 0.73 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 4, which puts it in the top 2% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.