D.R. Horton (DHI) Competitors

D.R. Horton (NYSE:DHI) and Lennar (NYSE:LEN) are both large-cap construction companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, community ranking, earnings, profitability, risk, media sentiment and valuation.

Does the media favor DHI or LEN?

In the previous week, D.R. Horton had 77 more articles in the media than Lennar. MarketBeat recorded 94 mentions for D.R. Horton and 17 mentions for Lennar. Lennar's average media sentiment score of 0.97 beat D.R. Horton's score of 0.32 indicating that Lennar is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
D.R. Horton	27 Very Positive mention(s)	7 Positive mention(s)	25 Neutral mention(s)	20 Negative mention(s)	4 Very Negative mention(s)	Neutral
Lennar	9 Very Positive mention(s)	3 Positive mention(s)	4 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Does the MarketBeat Community prefer DHI or LEN?

Lennar received 223 more outperform votes than D.R. Horton when rated by MarketBeat users. Likewise, 66.32% of users gave Lennar an outperform vote while only 59.55% of users gave D.R. Horton an outperform vote.

Company	Underperform	Outperform
D.R. Horton	Outperform Votes 667 59.55%	Underperform Votes 453 40.45%
Lennar	Outperform Votes 890 66.32%	Underperform Votes 452 33.68%

Do institutionals & insiders believe in DHI or LEN?

90.6% of D.R. Horton shares are held by institutional investors. Comparatively, 81.1% of Lennar shares are held by institutional investors. 0.5% of D.R. Horton shares are held by insiders. Comparatively, 10.0% of Lennar shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Do analysts recommend DHI or LEN?

D.R. Horton currently has a consensus price target of $154.85, indicating a potential upside of 28.04%. Lennar has a consensus price target of $150.07, indicating a potential upside of 44.56%. Given Lennar's higher probable upside, analysts plainly believe Lennar is more favorable than D.R. Horton.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
D.R. Horton	2 Sell rating(s)	6 Hold rating(s)	6 Buy rating(s)	1 Strong Buy rating(s)	2.40
Lennar	0 Sell rating(s)	14 Hold rating(s)	4 Buy rating(s)	1 Strong Buy rating(s)	2.32

Which has more volatility and risk, DHI or LEN?

D.R. Horton has a beta of 1.61, indicating that its stock price is 61% more volatile than the S&P 500. Comparatively, Lennar has a beta of 1.51, indicating that its stock price is 51% more volatile than the S&P 500.

Is DHI or LEN more profitable?

D.R. Horton has a net margin of 12.69% compared to Lennar's net margin of 11.10%. D.R. Horton's return on equity of 18.48% beat Lennar's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
D.R. Horton	12.69%	18.48%	13.23%
Lennar	11.10%	13.93%	9.60%

Which has higher valuation & earnings, DHI or LEN?

D.R. Horton has higher earnings, but lower revenue than Lennar. Lennar is trading at a lower price-to-earnings ratio than D.R. Horton, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
D.R. Horton	$35.32B	1.08	$4.76B	$13.21	9.16
Lennar	$35.76B	0.77	$3.93B	$13.73	7.56

Is DHI or LEN a better dividend stock?

D.R. Horton pays an annual dividend of $1.60 per share and has a dividend yield of 1.3%. Lennar pays an annual dividend of $2.00 per share and has a dividend yield of 1.9%. D.R. Horton pays out 12.1% of its earnings in the form of a dividend. Lennar pays out 14.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Summary

D.R. Horton beats Lennar on 12 of the 20 factors compared between the two stocks.