Lennar (NYSE:LEN) Downgraded to Strong Sell Rating by Zacks Research

Lennar (NYSE:LEN) was downgraded by equities research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research report issued to clients and investors on Thursday,Zacks.com reports. Zacks Research also issued estimates for Lennar’s Q1 2026 earnings at $1.04 EPS, Q2 2026 earnings at $1.30 EPS, Q3 2026 earnings at $1.78 EPS, Q4 2026 earnings at $2.03 EPS, FY2026 earnings at $6.14 EPS, Q1 2027 earnings at $0.85 EPS, Q2 2027 earnings at $1.88 EPS, Q3 2027 earnings at $2.68 EPS, Q4 2027 earnings at $3.00 EPS, FY2027 earnings at $8.42 EPS and FY2028 earnings at $10.17 EPS.

LEN has been the topic of a number of other research reports. Wall Street Zen lowered shares of Lennar from a “hold” rating to a “sell” rating in a report on Monday, December 8th. JMP Securities raised their price target on Lennar from $130.00 to $140.00 and gave the company a “market outperform” rating in a research report on Monday, September 22nd. Wells Fargo & Company cut their price objective on Lennar from $110.00 to $105.00 and set an “equal weight” rating for the company in a report on Tuesday. UBS Group cut Lennar from a “buy” rating to a “neutral” rating and decreased their price objective for the company from $137.00 to $122.00 in a report on Tuesday. Finally, Barclays cut their target price on Lennar from $98.00 to $88.00 and set an “underweight” rating for the company in a research note on Thursday, December 18th. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, nine have issued a Hold rating and eight have given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Reduce” and a consensus target price of $106.00.

Lennar Price Performance

Shares of NYSE LEN opened at $118.92 on Thursday. The stock’s 50-day simple moving average is $116.95 and its two-hundred day simple moving average is $121.24. Lennar has a twelve month low of $98.42 and a twelve month high of $144.24. The firm has a market capitalization of $30.33 billion, a P/E ratio of 14.88, a P/E/G ratio of 1.26 and a beta of 1.42. The company has a quick ratio of 1.36, a current ratio of 4.89 and a debt-to-equity ratio of 0.18.

Lennar (NYSE:LEN) last issued its quarterly earnings data on Tuesday, December 16th. The construction company reported $2.03 EPS for the quarter, missing the consensus estimate of $2.30 by ($0.27). The business had revenue of $9.37 billion for the quarter, compared to analysts’ expectations of $9.17 billion. Lennar had a return on equity of 9.27% and a net margin of 6.08%.The firm’s revenue for the quarter was down 5.8% compared to the same quarter last year. During the same period in the previous year, the firm posted $4.03 EPS. As a group, equities analysts anticipate that Lennar will post 12.48 EPS for the current fiscal year.

Hedge Funds Weigh In On Lennar

A number of large investors have recently bought and sold shares of the stock. Guerra Advisors Inc purchased a new stake in shares of Lennar during the third quarter valued at approximately $25,000. Redmont Wealth Advisors LLC bought a new stake in Lennar during the 3rd quarter valued at $26,000. KERR FINANCIAL PLANNING Corp purchased a new stake in Lennar during the 3rd quarter valued at $25,000. FNY Investment Advisers LLC bought a new stake in Lennar in the 2nd quarter worth $33,000. Finally, Rexford Capital Inc. purchased a new position in shares of Lennar in the second quarter valued at about $36,000. 81.10% of the stock is owned by hedge funds and other institutional investors.

Lennar News Summary

Here are the key news stories impacting Lennar this week:

• Positive Sentiment: Shares rose today on heavy volume, indicating buying interest that outweighed the negative analyst headlines (volume above average; technicals show price above the 50?day SMA).
• Neutral Sentiment: Zacks published a FY2028 EPS projection of $10.17 for Lennar, signaling a longer?range recovery expectation even as nearer?term estimates were cut.
• Neutral Sentiment: Citizens / JMP reaffirmed a Market Perform (neutral) rating on LEN. Citizens Jmp Reaffirms Market Perform Rating for Lennar (NYSE:LEN)
• Neutral Sentiment: TPG’s acquisition of a majority interest in Quarterra was reported; this is industry?level M&A news that may indirectly affect builder sentiment in certain markets but has no direct confirmed impact on Lennar. TPG Buys Majority Interest in Quarterra
• Negative Sentiment: Zacks cut Lennar’s near?term and medium?term EPS forecasts across multiple quarters and fiscal years (examples: FY2026 cut roughly to $6.14 from prior ~ $8.77; FY2027 cut to $8.42 from ~$10.11; several quarterly downgrades). Zacks kept a “Hold” rating — the cuts reduce near?term earnings visibility and are a clear negative for consensus?driven valuation.
• Negative Sentiment: Major sell?side moves: Citigroup trimmed its price target to $113 and kept a neutral view (reported via Benzinga), and Wells Fargo lowered its target to $105 — both put downward pressure on sentiment. Citigroup price target cut reported at Benzinga Wells Fargo Lowers Lennar Price Target
• Negative Sentiment: Coverage notes after Lennar’s Q4 showing: some outlets and analysts moved LEN to market?perform/neutral following an “underwhelming” quarter (Citizens/MSN coverage), reinforcing cautious sentiment. Lennar lowered to market perform at Citizens after underwhelming Q4

Lennar Company Profile

Lennar Corporation (NYSE: LEN) is a U.S.-based homebuilder and real estate company that designs, constructs and sells residential housing. The company offers a range of product types including single-family detached homes, townhomes and condominiums, serving buyers from entry-level and first-time purchasers to move-up, active-adult and luxury segments. Lennar also develops master-planned communities and manages land acquisition and entitlement activities that support its homebuilding operations.

In addition to home construction and sales, Lennar provides a suite of ancillary services intended to streamline the purchase process and capture additional value.