Lennar (LEN) Gains But Lags Market: What You Should Know

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In the latest trading session, Lennar (LEN) closed at $105.70, marking a +0.13% move from the previous day. The stock lagged the S&P 500's daily gain of 0.82%.

Coming into today, shares of the homebuilder had gained 2.1% in the past month. In that same time, the Construction sector gained 6.11%, while the S&P 500 gained 2.31%.

Investors will be hoping for strength from LEN as it approaches its next earnings release. In that report, analysts expect LEN to post earnings of $2.34 per share. This would mark year-over-year growth of 56%. Our most recent consensus estimate is calling for quarterly revenue of $6.06 billion, up 14.65% from the year-ago period.

LEN's full-year Zacks Consensus Estimates are calling for earnings of $10.98 per share and revenue of $26.51 billion. These results would represent year-over-year changes of +39.87% and +17.87%, respectively.

Investors should also note any recent changes to analyst estimates for LEN. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. LEN is holding a Zacks Rank of #2 (Buy) right now.

Investors should also note LEN's current valuation metrics, including its Forward P/E ratio of 9.62. This represents a premium compared to its industry's average Forward P/E of 8.81.

Investors should also note that LEN has a PEG ratio of 0.99 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Building Products - Home Builders stocks are, on average, holding a PEG ratio of 0.74 based on yesterday's closing prices.

The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 27, which puts it in the top 11% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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