LEN vs. OTIS, URI, CRH, DHI, PWR, VMC, MLM, WY, NVR, and HWM
Should you be buying Lennar stock or one of its competitors? The main competitors of Lennar include Otis Worldwide (OTIS), United Rentals (URI), CRH (CRH), D.R. Horton (DHI), Quanta Services (PWR), Vulcan Materials (VMC), Martin Marietta Materials (MLM), Weyerhaeuser (WY), NVR (NVR), and Howmet Aerospace (HWM). These companies are all part of the "construction" sector.
Otis Worldwide (NYSE:OTIS) and Lennar (NYSE:LEN) are both large-cap construction companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, dividends, valuation, media sentiment, analyst recommendations, community ranking, institutional ownership, profitability and earnings.
In the previous week, Lennar had 7 more articles in the media than Otis Worldwide. MarketBeat recorded 25 mentions for Lennar and 18 mentions for Otis Worldwide. Otis Worldwide's average media sentiment score of 0.70 beat Lennar's score of 0.49 indicating that Lennar is being referred to more favorably in the news media.
Otis Worldwide has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500. Comparatively, Lennar has a beta of 1.48, meaning that its share price is 48% more volatile than the S&P 500.
Otis Worldwide pays an annual dividend of $1.36 per share and has a dividend yield of 1.7%. Lennar pays an annual dividend of $1.50 per share and has a dividend yield of 1.3%. Otis Worldwide pays out 42.9% of its earnings in the form of a dividend. Lennar pays out 11.1% 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. Otis Worldwide has raised its dividend for 3 consecutive years and Lennar has raised its dividend for 1 consecutive years. Otis Worldwide is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Lennar has a net margin of 11.66% compared to Lennar's net margin of 9.59%. Otis Worldwide's return on equity of 16.41% beat Lennar's return on equity.
Lennar received 834 more outperform votes than Otis Worldwide when rated by MarketBeat users. Likewise, 68.52% of users gave Lennar an outperform vote while only 22.39% of users gave Otis Worldwide an outperform vote.
85.5% of Otis Worldwide shares are owned by institutional investors. Comparatively, 79.9% of Lennar shares are owned by institutional investors. 0.2% of Otis Worldwide shares are owned by insiders. Comparatively, 9.5% of Lennar shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Otis Worldwide currently has a consensus target price of $87.86, suggesting a potential upside of 10.12%. Lennar has a consensus target price of $134.25, suggesting a potential upside of 19.10%. Given Otis Worldwide's stronger consensus rating and higher possible upside, analysts plainly believe Lennar is more favorable than Otis Worldwide.
Lennar has higher revenue and earnings than Otis Worldwide. Lennar is trading at a lower price-to-earnings ratio than Otis Worldwide, indicating that it is currently the more affordable of the two stocks.
Summary
Lennar beats Otis Worldwide on 15 of the 21 factors compared between the two stocks.
Get Lennar News Delivered to You Automatically
Sign up to receive the latest news and ratings for LEN and its competitors with MarketBeat's FREE daily newsletter.
This chart shows the number of new MarketBeat users adding LEN and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Related Companies and Tools
