Lennar (LEN - Free Report) closed the most recent trading day at $50.03, moving -1.63% from the previous trading session. This change lagged the S&P 500's 0.66% loss on the day. Meanwhile, the Dow lost 0.34%, and the Nasdaq, a tech-heavy index, lost 1%.
Coming into today, shares of the homebuilder had gained 6.76% in the past month. In that same time, the Construction sector gained 0.42%, while the S&P 500 lost 1.1%.
LEN will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.32, down 5.71% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.54 billion, down 2.36% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $5.31 per share and revenue of $21.61 billion, which would represent changes of -16.38% and +5.03%, respectively, from the prior year.
Any recent changes to analyst estimates for LEN should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.12% lower. LEN currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that LEN has a Forward P/E ratio of 9.57 right now. Its industry sports an average Forward P/E of 9.57, so we one might conclude that LEN is trading at a no noticeable deviation comparatively.
Also, we should mention that LEN has a PEG ratio of 1.12. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Building Products - Home Builders stocks are, on average, holding a PEG ratio of 1.14 based on yesterday's closing prices.
The Building Products - Home Builders industry is part of the Construction sector. This group has a Zacks Industry Rank of 25, putting it in the top 10% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.