Short Term Outlook For Lennar Corporation (NYSE:LEN)


Lennar Corporation (NYSE:LEN) closed its last session at $61.23. The stock traded within a range of $59.47 and $61.76. The company operates in the Consumer Cyclical sector with a market capitalization of 14.35 Million. Trading volume for Lennar Corporation was 6.98 Million in its previous trading session. Currently, Lennar Corporation (NYSE:LEN) has an average volume of 4.39 Million.

Company Profile

Lennar Corporation is the leading builder of quality new homes in the most desirable real estate markets across the nation. The Company builds affordable, move-up and retirement homes primarily under the Lennar brand name. Lennar’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 directly and through unconsolidated entities. Lennar’s Financial Services segment provides mortgage financing, title insurance and closing services for both buyers of the Company’s homes and others. Lennar’s Rialto segment is a vertically integrated asset management platform focused on investing throughout the commercial real estate capital structure. Lennar’s Multi-family segment is a nationwide developer of high-quality multifamily rental properties. Under the Lennar Family of Builders banner, the Company includes the following brand names: Lennar Homes, U.S. Home, Greystone Homes, Village Builders etc.

Analyst Views

Lennar Corporation (NYSE:LEN) received a Buy rating from 3 analysts. 0 analysts gave its stock an Outperform rating. 3 analysts say it’s a Hold while 0 analysts provided their expert opinion as Sell.

Lennar Corporation (NYSE:LEN) touched its 1-Year High price of $72.17 on 01/22/18 and its 1-Year Low price of $45.75 on 02/17/17.

EPS & Financials

Lennar Corporation (NYSE:LEN) reported its EPS in the last quarter as $1.29/Share lagging the analyst estimate of $1.48/Share by a difference of $-0.19. This showed a surprise of -12.8% in the last quarter earnings.

For the current quarter, 3 analysts are projecting a mean EPS of $0.97/share. According to their observations and findings, the stock could provide a high EPS of $1.05/share and a low EPS of $0.91/share.

Analysts believe that the company has the potential to earn average revenue of $4.04 Billion for the current quarter. According to their predictions high & low revenue estimates are 4.3 Billion and 3.54 Billion respectively.

Technical Analysis

By taking a look at the stock’s current statistics it can gauged that the stock candle is BULLISH with HIGH volatility. Lennar Corporation (NYSE:LEN) has a 20-Day average volume of 6.23 Million. According to today’s trading volume Lennar Corporation is ABOVE its 20-Day Avg. volume with the stock showing ABOVE Abnormal volume in the past 150 days.

Moving average convergence divergence (MACD) shows that the stock is on a PRICE RELATIVITY trend. The trend for the past 10-days shows that the company was in BEARISH territory while an analysis of the last 40-Day trend shows a BEARISH signal. The 100-Day trend also shows a BULLISH trend as well.

The company currently has an insider ownership of 1.7 Percent and Institutional ownership of 95.4 Percent. The return on assets stands at 4.7%, Return on Equity currently is 10.8% and the Return on Investment value is 4.9%.

Lennar Corporation (NYSE:LEN) gross margin percentage stands at 15% while its operating margin for the past trailing twelve month is 9.4 percent and its overall profit margin (ttm) is 6.3 Percent. The stock is currently moving below its 20-Day Simple Moving Average of -5.32% with a 50-Day Simple Moving Average of -4.87 percent. As of today, the company has a SMA200 (200-day simple moving average) of 9.79 Percent. The Stock has YTD (year to date) performance of -3.18 percent.

The TTM operating margin for the company stands at 9.4%. The return on invested capital is at 4.9%, which is good, compared to its peers. The Free Cash Flow or FCF margin is 16.93.

The company’s stock is currently moving with a +ve distance from the 200 day SMA of approximately 9.79%, and has a solid year to date (YTD) performance of -3.18% which means that the stock is constantly adding to its value from the previous fiscal year end price.