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Lennar (LEN) Sees a More Significant Dip Than Broader Market: Some Facts to Know
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Lennar (LEN - Free Report) closed at $86.66 in the latest trading session, marking a -5.37% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 0.38% for the day. Elsewhere, the Dow lost 0.3%, while the tech-heavy Nasdaq lost 0.74%.
The stock of homebuilder has risen by 22.68% in the past month, leading the Construction sector's gain of 1.56% and the S&P 500's loss of 3.31%.
Investors will be eagerly watching for the performance of Lennar in its upcoming earnings disclosure. The company's upcoming EPS is projected at $1.44, signifying a 29.06% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $8.61 billion, showing a 8.05% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $4.78 per share and a revenue of $31.21 billion, demonstrating changes of -40.69% and -8.7%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Lennar. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.07% decrease. Lennar presently features a Zacks Rank of #5 (Strong Sell).
In the context of valuation, Lennar is at present trading with a Forward P/E ratio of 19.15. This expresses a premium compared to the average Forward P/E of 15.21 of its industry.
Meanwhile, LEN's PEG ratio is currently 3.51. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Building Products - Home Builders was holding an average PEG ratio of 2.49 at yesterday's closing price.
The Building Products - Home Builders industry is part of the Construction sector. Currently, this industry holds a Zacks Industry Rank of 242, positioning it in the bottom 3% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
View the Zacks #1 Rank List
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Lennar (LEN) Sees a More Significant Dip Than Broader Market: Some Facts to Know
Lennar (LEN - Free Report) closed at $86.66 in the latest trading session, marking a -5.37% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 0.38% for the day. Elsewhere, the Dow lost 0.3%, while the tech-heavy Nasdaq lost 0.74%.
The stock of homebuilder has risen by 22.68% in the past month, leading the Construction sector's gain of 1.56% and the S&P 500's loss of 3.31%.
Investors will be eagerly watching for the performance of Lennar in its upcoming earnings disclosure. The company's upcoming EPS is projected at $1.44, signifying a 29.06% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $8.61 billion, showing a 8.05% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $4.78 per share and a revenue of $31.21 billion, demonstrating changes of -40.69% and -8.7%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Lennar. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.07% decrease. Lennar presently features a Zacks Rank of #5 (Strong Sell).
In the context of valuation, Lennar is at present trading with a Forward P/E ratio of 19.15. This expresses a premium compared to the average Forward P/E of 15.21 of its industry.
Meanwhile, LEN's PEG ratio is currently 3.51. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Building Products - Home Builders was holding an average PEG ratio of 2.49 at yesterday's closing price.
The Building Products - Home Builders industry is part of the Construction sector. Currently, this industry holds a Zacks Industry Rank of 242, positioning it in the bottom 3% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.