With a market cap of $25.8 billion, Lennar Corporation (LEN) primarily constructs and sells single-family homes while also purchasing, developing, and selling residential land. It operates through several segments, including Homebuilding (East, Central, South Central, and West), Financial Services, Multifamily, and Lennar Other.
Companies valued at $10 billion or more are generally classified as “large-cap” stocks, and Lennar fits this criterion perfectly. In addition to homebuilding, Lennar provides mortgage financing, title insurance, and closing services, and also develops and manages multifamily rental properties.
Shares of the Miami, Florida-based company have fallen 29.8% from its 52-week high of $144.24. Lennar’s shares have dropped 18.3% over the past three months, underperforming the broader State Street Consumer Discretionary Select Sector SPDR ETF’s (XLY) 5% decrease over the same time frame.
In the longer term, LEN stock is down 1.5% on a YTD basis, lagging behind XLY’s 4.7% decline. In addition, shares of the homebuilder have decreased 19.8% over the past 52 weeks, compared to XLY’s 10.4% gain over the same time frame.
Despite a few fluctuations, the stock has been trading below its 50-day moving average since late September 2025.
Shares of Lennar Corporation fell 4.5% following its Q4 2025 results on Dec. 16. Net earnings dropped to $490 million ($1.93 per share) from $1.1 billion ($4.06 per share) in Q4 2024, while gross margin on home sales fell to 17% from 22.1%, largely due to a 10% drop in average selling price to $386,000 (from $430,000) and continued use of incentives.
In comparison, LEN stock has performed weaker than its rival, D.R. Horton, Inc. (DHI). DHI stock has increased 8.9% over the past 52 weeks and 1.3% on a YTD basis.
Due to the stock’s underperformance over the past year, analysts remain cautious on LEN. The stock has a consensus rating of “Hold” from the 20 analysts covering the stock, and the mean price target of $107.36 is a premium of 5.9% to current levels.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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