Lennar (LEN) Competitors

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

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 1.2%. Lennar pays an annual dividend of $2.00 per share and has a dividend yield of 1.7%. D.R. Horton pays out 12.1% of its earnings in the form of a dividend. Lennar pays out 16.5% 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. D.R. Horton has raised its dividend for 10 consecutive years and Lennar has raised its dividend for 1 consecutive years.

Is DHI or LEN more profitable?

D.R. Horton has a net margin of 12.15% compared to Lennar's net margin of 9.20%. D.R. Horton's return on equity of 16.95% beat Lennar's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
D.R. Horton	12.15%	16.95%	12.09%
Lennar	9.20%	12.73%	8.57%

Which has more risk and volatility, DHI or LEN?

D.R. Horton has a beta of 1.38, suggesting that its share price is 38% more volatile than the S&P 500. Comparatively, Lennar has a beta of 1.33, suggesting that its share price is 33% more volatile than the S&P 500.

Does the media prefer DHI or LEN?

In the previous week, Lennar had 8 more articles in the media than D.R. Horton. MarketBeat recorded 23 mentions for Lennar and 15 mentions for D.R. Horton. D.R. Horton's average media sentiment score of 1.29 beat Lennar's score of 0.81 indicating that D.R. Horton is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
D.R. Horton	13 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Lennar	12 Very Positive mention(s)	1 Positive mention(s)	9 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts prefer DHI or LEN?

D.R. Horton currently has a consensus target price of $151.15, indicating a potential upside of 8.78%. Lennar has a consensus target price of $128.85, indicating a potential upside of 11.30%. 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)	2 Buy rating(s)	1 Strong Buy rating(s)	2.24

Which has higher earnings and valuation, DHI or LEN?

D.R. Horton has higher revenue and earnings 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	$36.80B	1.16	$4.76B	$13.21	10.52
Lennar	$35.44B	0.86	$3.93B	$12.09	9.57

Do insiders and institutionals hold more shares of 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 large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

D.R. Horton beats Lennar on 15 of the 19 factors compared between the two stocks.