Lennar (NYSE:LEN) Sets New 52-Week Low After Earnings Miss

Lennar Co. (NYSE:LEN)’s stock price hit a new 52-week low during mid-day trading on Thursday following a weaker than expected earnings announcement. The company traded as low as $135.21 and last traded at $140.29, with a volume of 1040813 shares changing hands. The stock had previously closed at $145.93.

The construction company reported $4.03 EPS for the quarter, missing analysts’ consensus estimates of $4.15 by ($0.12). Lennar had a net margin of 11.51% and a return on equity of 15.47%. The business had revenue of $9.95 billion for the quarter, compared to analysts’ expectations of $10.06 billion. During the same quarter in the previous year, the company posted $4.82 earnings per share. The business’s quarterly revenue was down 9.3% compared to the same quarter last year.

Lennar Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, October 24th. Shareholders of record on Wednesday, October 9th were issued a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 1.45%. The ex-dividend date was Wednesday, October 9th. Lennar’s payout ratio is 13.25%.

Analyst Upgrades and Downgrades

LEN has been the topic of a number of recent analyst reports. StockNews.com downgraded Lennar from a “buy” rating to a “hold” rating in a research report on Saturday, September 28th. Wells Fargo & Company dropped their price target on Lennar from $180.00 to $165.00 and set an “equal weight” rating for the company in a research report on Tuesday. JMP Securities lifted their price objective on shares of Lennar from $170.00 to $210.00 and gave the stock a “market outperform” rating in a report on Wednesday, September 25th. UBS Group cut their target price on Lennar from $225.00 to $205.00 and set a “buy” rating for the company in a research note on Friday. Finally, Bank Of America (Bofa) raised their price objective on Lennar from $171.00 to $190.00 and gave the company a “neutral” rating in a research note on Friday, September 20th. Two investment analysts have rated the stock with a sell rating, twelve have given a hold rating and six have given a buy rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $175.94.

Insider Activity

In other news, Director Jeffrey Sonnenfeld sold 17,500 shares of the business’s stock in a transaction on Monday, October 28th. The shares were sold at an average price of $175.13, for a total transaction of $3,064,775.00. Following the sale, the director now owns 23,689 shares in the company, valued at approximately $4,148,654.57. The trade was a 42.49 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 9.36% of the company’s stock.

Institutional Investors Weigh In On Lennar

Hedge funds and other institutional investors have recently bought and sold shares of the business. The Manufacturers Life Insurance Company raised its holdings in Lennar by 1.3% in the third quarter. The Manufacturers Life Insurance Company now owns 5,903,555 shares of the construction company’s stock worth $1,106,798,000 after buying an additional 73,638 shares during the last quarter. Pacer Advisors Inc. grew its stake in shares of Lennar by 15.1% during the 2nd quarter. Pacer Advisors Inc. now owns 3,021,856 shares of the construction company’s stock valued at $452,886,000 after purchasing an additional 396,951 shares during the period. Smead Capital Management Inc. lifted its stake in shares of Lennar by 3.5% in the 3rd quarter. Smead Capital Management Inc. now owns 2,666,905 shares of the construction company’s stock worth $499,991,000 after purchasing an additional 89,896 shares during the period. D1 Capital Partners L.P. grew its position in Lennar by 428.9% during the second quarter. D1 Capital Partners L.P. now owns 2,420,000 shares of the construction company’s stock valued at $362,685,000 after buying an additional 1,962,447 shares during the period. Finally, Marshall Wace LLP increased its holdings in Lennar by 20.9% during the second quarter. Marshall Wace LLP now owns 2,015,641 shares of the construction company’s stock valued at $302,084,000 after buying an additional 348,553 shares during the last quarter. Hedge funds and other institutional investors own 81.10% of the company’s stock.

Lennar Stock Down 0.2 %

The company has a current ratio of 4.90, a quick ratio of 0.98 and a debt-to-equity ratio of 0.08. The firm has a market cap of $37.45 billion, a PE ratio of 9.14, a PEG ratio of 1.31 and a beta of 1.61. The company’s 50 day moving average price is $168.98 and its two-hundred day moving average price is $169.43.

Lennar Company Profile

Lennar Corporation, together with its subsidiaries, operates as a homebuilder primarily under the Lennar brand in the United States. It operates through Homebuilding East, Homebuilding Central, Homebuilding Texas, Homebuilding West, Financial Services, Multifamily, and Lennar Other segments. The company’s homebuilding operations include the construction and sale of single-family attached and detached homes, as well as the purchase, development, and sale of residential land; and development, construction, and management of multifamily rental properties.