FY2026 Earnings Forecast for Lennar Issued By Zacks Research

Key Points

• Zacks Research cut Lennar’s FY2026 EPS forecast to $4.87 from $5.35 and maintains a “Strong Sell” rating. The estimate matches the current consensus forecast.
• Lennar’s latest quarter fell short of expectations, with EPS of $1.23 versus $1.29 expected and revenue of $8.05 billion versus $8.32 billion; revenue declined 8.7% year over year.
• Berkshire Hathaway purchased roughly 1.7 million additional Lennar shares, while the company declared a quarterly dividend of $0.50, equivalent to a 2.6% annualized yield.

Lennar Corporation (NYSE:LEN - Free Report) - Equities researchers at Zacks Research dropped their FY2026 EPS estimates for Lennar in a note issued to investors on Wednesday, October 7th. Zacks Research analyst Team now expects that the construction company will post earnings per share of $4.87 for the year, down from their previous forecast of $5.35. Zacks Research has a "Strong Sell" rating on the stock. The consensus estimate for Lennar's current full-year earnings is $4.87 per share. Zacks Research also issued estimates for Lennar's Q4 2026 earnings at $1.45 EPS, Q1 2027 earnings at $0.82 EPS, Q2 2027 earnings at $1.32 EPS, Q3 2027 earnings at $1.46 EPS, Q4 2027 earnings at $1.57 EPS, FY2027 earnings at $5.16 EPS, Q1 2028 earnings at $1.26 EPS, Q2 2028 earnings at $1.91 EPS, Q3 2028 earnings at $1.89 EPS and FY2028 earnings at $7.06 EPS.

Lennar (NYSE:LEN - Get Free Report) last released its earnings results on Wednesday, September 16th. The construction company reported $1.23 EPS for the quarter, missing analysts' consensus estimates of $1.29 by ($0.06). The company had revenue of $8.05 billion for the quarter, compared to analysts' expectations of $8.32 billion. Lennar had a return on equity of 6.15% and a net margin of 4.09%.The firm's revenue for the quarter was down 8.7% on a year-over-year basis. During the same period in the prior year, the firm earned $2.00 EPS.

A number of other analysts have also issued reports on LEN. Truist Financial lowered their price target on Lennar from $80.00 to $75.00 and set a "hold" rating on the stock in a research note on Wednesday, September 16th. Argus set a $108.00 price objective on Lennar in a research note on Thursday, July 9th. Keefe, Bruyette & Woods decreased their price objective on Lennar from $85.00 to $75.00 and set an "underperform" rating on the stock in a report on Tuesday, September 22nd. Bank of America dropped their target price on shares of Lennar from $77.00 to $70.00 and set an "underperform" rating for the company in a report on Monday, September 14th. Finally, JPMorgan Chase & Co. reduced their target price on shares of Lennar from $80.00 to $77.00 and set an "underweight" rating for the company in a research report on Tuesday, June 16th. One analyst has rated the stock with a Buy rating, eight have issued a Hold rating and ten have assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Reduce" and an average target price of $79.00.

Lennar Trading Up 1.7%

LEN stock opened at $77.44 on Friday. The business's 50-day moving average is $83.02 and its 200 day moving average is $86.51. Lennar has a 12-month low of $73.75 and a 12-month high of $133.76. The stock has a market cap of $18.66 billion, a price-to-earnings ratio of 14.64, a PEG ratio of 2.86 and a beta of 1.36. The company has a current ratio of 4.94, a quick ratio of 0.69 and a debt-to-equity ratio of 0.20.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. KCM Investment Advisors LLC increased its stake in shares of Lennar by 1.3% during the 1st quarter. KCM Investment Advisors LLC now owns 9,879 shares of the construction company's stock worth $858,000 after purchasing an additional 125 shares in the last quarter. Wisconsin Wealth Advisors LLC lifted its stake in Lennar by 2.2% in the 3rd quarter. Wisconsin Wealth Advisors LLC now owns 6,495 shares of the construction company's stock valued at $530,000 after buying an additional 140 shares in the last quarter. Ritholtz Wealth Management grew its holdings in Lennar by 5.4% during the 1st quarter. Ritholtz Wealth Management now owns 2,926 shares of the construction company's stock valued at $254,000 after buying an additional 150 shares during the last quarter. Unison Advisors LLC increased its position in Lennar by 0.4% during the first quarter. Unison Advisors LLC now owns 37,815 shares of the construction company's stock worth $3,284,000 after buying an additional 154 shares in the last quarter. Finally, Wedmont Private Capital raised its holdings in shares of Lennar by 4.8% in the second quarter. Wedmont Private Capital now owns 3,460 shares of the construction company's stock worth $292,000 after acquiring an additional 157 shares during the last quarter. 81.10% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at Lennar

In other news, major shareholder Berkshire Hathaway Inc purchased 1,708,095 shares of the business's stock in a transaction dated Friday, October 2nd. The stock was acquired at an average price of $79.44 per share, for a total transaction of $135,691,066.80. Following the acquisition, the insider directly owned 28,438,045 shares of the company's stock, valued at approximately $2,259,118,294.80. This represents a 6.39% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Over the last three months, insiders have purchased 7,502,276 shares of company stock valued at $595,303,287. Corporate insiders own 10.05% of the company's stock.

Lennar Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 22nd. Shareholders of record on Wednesday, October 7th will be issued a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 2.6%. The ex-dividend date is Wednesday, October 7th. Lennar's payout ratio is presently 37.81%.

Lennar News Summary

Here are the key news stories impacting Lennar this week:

• Positive Sentiment: Berkshire Hathaway continues accumulating shares. Reports indicate Berkshire purchased approximately 1.7 million additional Lennar shares, bringing its stake above 11%—and reportedly near 12%—of the homebuilder. The investment may bolster confidence in Lennar’s long-term value, particularly because the shares trade below book value. Lennar insider share purchase
• Positive Sentiment: Valuation is attracting value-oriented investors. Commentary highlights Lennar’s roughly 0.83-times book-value multiple and relatively modest earnings multiple after a steep 12-month decline. Investors may view the discount as an opportunity if housing demand and profitability recover. Lennar valuation and Berkshire purchases
• Neutral Sentiment: Lennar is emphasizing volume over margins. The company is using lower costs, faster construction cycles and pricing strategies to protect affordability and maintain home deliveries. This could support revenue and market share, but it may limit near-term margins. Lennar volume strategy
• Negative Sentiment: Several law firms announced investigations into Lennar. The inquiries follow an October 2 Hunterbrook Media report alleging potential securities-law violations. The announcements are investor-solicitation notices, and no wrongdoing has been established, but they create litigation, reputational and potential financial risks. Lennar securities-fraud investigation
• Negative Sentiment: Higher mortgage rates are pressuring housing affordability. Thirty-year mortgage rates are approaching 7.5%, forcing builders to offer incentives or accept lower margins to keep buyers engaged. Lennar’s recent quarterly results also missed analyst expectations, with revenue and earnings declining year over year. Mortgage rate pressure on homebuilders

Lennar Company Profile

Lennar Corporation NYSE: LEN is a homebuilding company that designs, constructs and sells single-family homes and, through its multifamily operations, develops apartment communities. Its residential offerings generally include homes across a range of sizes and prices, serving first-time, move-up and active-adult buyers.

The company also provides related services through businesses involved in mortgage financing, title and closing services, insurance and other real estate activities. Lennar develops residential communities and manages land acquisition, planning and construction as part of its integrated homebuilding model.

Founded in 1954, Lennar has expanded from its origins in South Florida into a national homebuilder serving numerous markets across the United States.

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