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Lennar

NYSE:LEN
Snowflake Description

Good value with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
LEN
NYSE
$17B
Market Cap
  1. Home
  2. US
  3. Consumer Durables
Company description

Lennar Corporation, together with its subsidiaries, operates as a homebuilder primarily under the Lennar brand in the United States. The last earnings update was 68 days ago. More info.


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LEN Share Price and Events
7 Day Returns
0.4%
NYSE:LEN
0.6%
US Consumer Durables
0.5%
US Market
1 Year Returns
1.4%
NYSE:LEN
1.2%
US Consumer Durables
0.8%
US Market
LEN Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Lennar (LEN) 0.4% -0.2% 12.2% 1.4% 18.2% 34.3%
US Consumer Durables 0.6% 1.6% 6% 1.2% 38.4% 29.4%
US Market 0.5% 0.2% 1.1% 0.8% 37.4% 37.5%
1 Year Return vs Industry and Market
Price Volatility
LEN
Industry
5yr Volatility vs Market

Value

 Is Lennar undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Lennar to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Lennar.

NYSE:LEN Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 15 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:LEN
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Consumer Durables Unlevered Beta Simply Wall St/ S&P Global 0.87
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.875 (1 + (1- 21%) (61.45%))
1.201
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.201 * 5.96%)
9.89%

Discounted Cash Flow Calculation for NYSE:LEN using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Lennar is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:LEN DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.89%)
2019 1,122.73 Analyst x3 1,021.72
2020 1,348.07 Analyst x3 1,116.40
2021 1,530.87 Est @ 13.56% 1,153.72
2022 1,688.72 Est @ 10.31% 1,158.18
2023 1,824.44 Est @ 8.04% 1,138.68
2024 1,942.02 Est @ 6.44% 1,103.02
2025 2,045.54 Est @ 5.33% 1,057.28
2026 2,138.62 Est @ 4.55% 1,005.94
2027 2,224.25 Est @ 4% 952.09
2028 2,304.81 Est @ 3.62% 897.81
Present value of next 10 years cash flows $10,604.85
NYSE:LEN DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $2,304.81 × (1 + 2.73%) ÷ (9.89% – 2.73%)
$33,083.99
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $33,083.99 ÷ (1 + 9.89%)10
$12,887.39
NYSE:LEN Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $10,604.85 + $12,887.39
$23,492.24
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $23,492.24 / 323.17
$72.69
NYSE:LEN Discount to Share Price
Calculation Result
Value per share (USD) From above. $72.69
Current discount Discount to share price of $53.55
= -1 x ($53.55 - $72.69) / $72.69
26.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Lennar is available for.
Intrinsic value
26%
Share price is $53.55 vs Future cash flow value of $72.69
Current Discount Checks
For Lennar to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Lennar's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Lennar's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Lennar's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Lennar's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:LEN PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-02-28) in USD $5.49
NYSE:LEN Share Price ** NYSE (2019-06-14) in USD $53.55
United States of America Consumer Durables Industry PE Ratio Median Figure of 50 Publicly-Listed Consumer Durables Companies 13.83x
United States of America Market PE Ratio Median Figure of 3,091 Publicly-Listed Companies 17.68x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Lennar.

NYSE:LEN PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:LEN Share Price ÷ EPS (both in USD)

= 53.55 ÷ 5.49

9.75x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lennar is good value based on earnings compared to the US Consumer Durables industry average.
  • Lennar is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Lennar's expected growth come at a high price?
Raw Data
NYSE:LEN PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 9.75x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts
8.3%per year
United States of America Consumer Durables Industry PEG Ratio Median Figure of 37 Publicly-Listed Consumer Durables Companies 1.17x
United States of America Market PEG Ratio Median Figure of 2,125 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NYSE:LEN PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 9.75x ÷ 8.3%

1.17x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lennar is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Lennar's assets?
Raw Data
NYSE:LEN PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-02-28) in USD $45.75
NYSE:LEN Share Price * NYSE (2019-06-14) in USD $53.55
United States of America Consumer Durables Industry PB Ratio Median Figure of 70 Publicly-Listed Consumer Durables Companies 1.38x
United States of America Market PB Ratio Median Figure of 5,244 Publicly-Listed Companies 1.79x
NYSE:LEN PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:LEN Share Price ÷ Book Value per Share (both in USD)

= 53.55 ÷ 45.75

1.17x

* Primary Listing of Lennar.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lennar is good value based on assets compared to the US Consumer Durables industry average.
X
Value checks
We assess Lennar's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Durables industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Durables industry average (and greater than 0)? (1 check)
  5. Lennar has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Lennar expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Lennar expected to grow at an attractive rate?
  • Lennar's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Lennar's earnings growth is positive but not above the United States of America market average.
  • Lennar's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:LEN Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:LEN Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts 8.3%
NYSE:LEN Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 15 Analysts 4.6%
United States of America Consumer Durables Industry Earnings Growth Rate Market Cap Weighted Average 17.7%
United States of America Consumer Durables Industry Revenue Growth Rate Market Cap Weighted Average 6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:LEN Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:LEN Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-11-30 24,765 2,101 1
2020-11-30 22,683 1,680 1,904 12
2019-11-30 21,749 1,601 1,737 12
NYSE:LEN Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-02-28 21,459 1,343 1,784
2018-11-30 20,572 1,712 1,681
2018-08-31 17,898 1,405 1,199
2018-05-31 15,487 1,178 996
2018-02-28 13,290 762 900
2017-11-30 12,646 997 803
2017-08-31 12,237 839 806
2017-05-31 11,810 523 793
2017-02-28 11,294 803 798
2016-11-30 10,950 508 903
2016-08-31 10,519 666 871
2016-05-31 10,177 400 858

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Lennar's earnings are expected to grow by 8.3% yearly, however this is not considered high growth (20% yearly).
  • Lennar's revenue is expected to grow by 4.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:LEN Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below

All data from Lennar Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:LEN Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-11-30 6.34 6.57 6.10 3.00
2020-11-30 5.97 6.76 5.25 19.00
2019-11-30 5.41 6.00 5.12 18.00
NYSE:LEN Past Financials Data
Date (Data in USD Millions) EPS *
2019-02-28 5.49
2018-11-30 5.46
2018-08-31 4.19
2018-05-31 3.78
2018-02-28 3.73
2017-11-30 3.38
2017-08-31 3.42
2017-05-31 3.40
2017-02-28 3.49
2016-11-30 4.05
2016-08-31 3.99
2016-05-31 4.01

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Lennar is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Lennar's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Lennar has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Lennar performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Lennar's growth in the last year to its industry (Consumer Durables).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Lennar's year on year earnings growth rate has been positive over the past 5 years.
  • Lennar's 1-year earnings growth exceeds its 5-year average (98.3% vs 19.9%)
  • Lennar's earnings growth has exceeded the US Consumer Durables industry average in the past year (98.3% vs 24.1%).
Earnings and Revenue History
Lennar's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Lennar Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:LEN Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-02-28 21,458.92 1,784.10 2,049.74
2018-11-30 20,571.63 1,680.96 1,952.10
2018-08-31 17,897.99 1,198.55 1,751.96
2018-05-31 15,486.90 995.81 1,544.23
2018-02-28 13,289.73 899.78 1,371.99
2017-11-30 12,646.37 802.66 1,301.74
2017-08-31 12,237.42 806.32 1,259.26
2017-05-31 11,809.84 793.10 1,213.23
2017-02-28 11,293.76 797.78 1,148.68
2016-11-30 10,950.00 902.66 1,131.48
2016-08-31 10,518.94 870.91 1,115.95
2016-05-31 10,176.74 858.29 1,102.15
2016-02-29 9,823.53 823.05 1,080.80
2015-11-30 9,474.01 794.16 1,047.29
2015-08-31 9,112.38 757.91 1,014.95
2015-05-31 8,634.72 712.56 970.58
2015-02-28 8,060.86 667.63 922.78
2014-11-30 7,779.81 631.12 891.98
2014-08-31 7,111.08 550.49 831.42
2014-05-31 6,699.81 493.79 786.19
2014-02-28 6,307.95 493.31 745.23
2013-11-30 5,935.10 472.86 705.52
2013-08-31 5,370.25 433.38 658.97
2013-05-31 4,867.25 399.78 708.64
2013-02-28 4,370.52 710.18 672.74
2012-11-30 4,105.13 668.20 566.07
2012-08-31 3,707.42 575.87 537.94

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Lennar has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Lennar used its assets less efficiently than the US Consumer Durables industry average last year based on Return on Assets.
  • Lennar has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Lennar's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Durables industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Lennar has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Lennar's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Lennar's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Lennar is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Lennar's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Lennar's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 2.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Lennar Company Filings, last reported 3 months ago.

NYSE:LEN Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-02-28 14,893.70 10,381.63 881.99
2018-11-30 14,682.96 10,117.06 1,372.47
2018-08-31 14,116.18 10,614.01 883.37
2018-05-31 13,698.87 11,300.24 990.86
2018-02-28 13,174.08 11,593.66 863.74
2017-11-30 7,986.13 7,972.52 2,533.46
2017-08-31 7,659.46 6,862.96 722.71
2017-05-31 7,437.01 7,343.06 876.53
2017-02-28 7,255.78 6,964.74 809.75
2016-11-30 7,211.57 6,275.54 1,205.57
2016-08-31 6,762.91 6,410.57 705.93
2016-05-31 6,362.93 6,713.71 709.88
2016-02-29 6,093.45 6,574.44 629.25
2015-11-30 5,950.07 6,656.14 1,051.67
2015-08-31 5,674.70 6,859.69 706.28
2015-05-31 5,475.72 6,786.26 817.06
2015-02-28 5,308.99 6,411.69 734.23
2014-11-30 5,251.30 5,983.86 1,191.80
2014-08-31 5,038.14 5,798.99 755.15
2014-05-31 4,891.31 5,727.63 874.08
2014-02-28 4,701.16 5,312.05 817.59
2013-11-30 4,627.47 5,024.34 897.44
2013-08-31 4,170.69 5,262.22 505.97
2013-05-31 4,044.84 5,132.97 819.14
2013-02-28 4,069.64 5,087.95 1,176.92
2012-11-30 4,001.21 5,037.53 1,252.18
2012-08-31 3,858.38 4,624.12 764.68
  • Lennar's level of debt (69.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (113% vs 69.7% today).
  • Debt is not well covered by operating cash flow (12.9%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 212.6x coverage).
X
Financial health checks
We assess Lennar's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Lennar has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Lennar's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.3%
Current annual income from Lennar dividends. Estimated to be 0.3% next year.
If you bought $2,000 of Lennar shares you are expected to receive $6 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Lennar's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.47%).
  • Lennar's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:LEN Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
United States of America Consumer Durables Industry Average Dividend Yield Market Cap Weighted Average of 20 Stocks 2.2%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:LEN Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-11-30 0.16 2.00
2020-11-30 0.16 8.00
2019-11-30 0.16 8.00
NYSE:LEN Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-04-10 0.160 0.308
2019-01-10 0.160 0.336
2018-10-04 0.160 0.382
2018-06-27 0.160 0.310
2018-04-11 0.160 0.300
2018-01-11 0.160 0.261
2017-10-04 0.157 0.264
2017-06-28 0.157 0.305
2017-04-18 0.157 0.309
2017-01-12 0.157 0.330
2016-09-21 0.157 0.375
2016-06-23 0.157 0.342
2016-04-13 0.157 0.349
2016-01-13 0.157 0.369
2015-10-07 0.157 0.325
2015-06-23 0.157 0.312
2015-04-09 0.157 0.336
2015-01-14 0.157 0.331
2014-10-02 0.157 0.366
2014-06-25 0.157 0.410
2014-04-09 0.157 0.403
2014-01-15 0.157 0.397
2013-10-03 0.157 0.447
2013-06-26 0.157 0.468
2013-04-10 0.157 0.402
2013-01-17 0.157 0.394
2012-10-01 0.157 0.421
2012-06-26 0.157 0.501
2012-04-11 0.157 0.597
2012-01-12 0.157 0.667
2011-10-05 0.157 0.907
2011-06-22 0.157 1.046
2011-04-13 0.157 0.887
2011-01-12 0.157 0.813
2010-09-30 0.157 0.975
2010-06-28 0.157 1.125
2010-04-14 0.157 0.936
2010-01-12 0.157 0.970
2009-10-06 0.157 1.187
2009-07-01 0.157 1.283

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lennar is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
  • Lennar is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Lennar's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Lennar's dividends as it is not paying a notable one for United States of America.
Future Payout to shareholders
  • No need to calculate the sustainability of Lennar's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Lennar's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Lennar afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Lennar has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Lennar's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Rick Beckwitt
COMPENSATION $17,583,466
AGE 59
TENURE AS CEO 1.2 years
CEO Bio

Mr. Richard Beckwitt, also known as Rick, has been the Chief Executive Officer of Lennar Corporation since April 12, 2018. Mr. Beckwitt served as the President of Lennar Corporation since January 12, 2011 until April 12, 2018. His extensive executive experience gained through his service as the President and executive officer of public companies within the homebuilding industry, as well as finance-related experience with a major investment banking firm. From March 2000 to April 2003, Mr. Beckwitt was the Owner and Principal of EVP Capital, L.P., a General Partner of Encore Venture Partners II (Texas), L.P. Mr. Beckwitt was Managing General Partner of Encore Venture Partners, L.P. and Encore Venture Partners II. From 1993 to March 2000, he held various executive officer positions at D.R. Horton. From July 1996 to November 1998, Mr. Beckwitt served as President of D.R. Horton's Investments Division. From November 1998 to March 2000, he served as President of D.R. Horton Inc. He served as an Executive Vice President of Lennar Corp. from March 2006 to January 12, 2011. He served as an Executive Vice President of D.R. Horton Inc. from March 1993 to November 1998. From 1986 to 1993, Mr. Beckwitt worked in the Mergers and Acquisitions and Corporate Finance Departments at Lehman Brothers Inc., specializing in the homebuilding and building products industries. He has been a Director of Lennar Corporation since April 12, 2018. He has been a Director of Eagle Materials Inc. since September 2014 and Five Point Holdings, LLC since May 2016. He served as a Director of DR Horton Inc. from 1993 to November 25, 2003. He served as a Director of Vectrix Business Solutions, Inc.

CEO Compensation
  • Rick's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Rick's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Lennar management team in years:

1.2
Average Tenure
58
Average Age
  • The average tenure for the Lennar management team is less than 2 years, this suggests a new team.
Management Team

Stuart Miller

TITLE
Executive Chairman
COMPENSATION
$20M
AGE
60

Rick Beckwitt

TITLE
CEO & Director
COMPENSATION
$18M
AGE
59
TENURE
1.2 yrs

Jon Jaffe

TITLE
President & Director
COMPENSATION
$16M
AGE
58
TENURE
1.2 yrs

Diane Bessette

TITLE
VP, CFO & Treasurer
COMPENSATION
$3M
AGE
57
TENURE
1.2 yrs

Mark Sustana

TITLE
VP, General Counsel & Secretary
COMPENSATION
$2M
AGE
56
TENURE
14.4 yrs

Jeff McCall

TITLE
Senior Vice President
COMPENSATION
$6M
AGE
47
TENURE
1.3 yrs

Bruce Gross

TITLE
Chief Executive Officer of Lennar Financial Services
COMPENSATION
$6M
AGE
59
TENURE
1.2 yrs

Fred Rothman

TITLE
Chief Operating Officer
TENURE
0.4 yrs

Laura Lete

TITLE
Chief Information Officer

Allison Bober

TITLE
Senior Manager of Investor Relations
Board of Directors Tenure

Average tenure and age of the Lennar board of directors in years:

10.2
Average Tenure
61.5
Average Age
  • The average tenure for the Lennar board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Stuart Miller

TITLE
Executive Chairman
COMPENSATION
$20M
AGE
60
TENURE
1.2 yrs

Rick Beckwitt

TITLE
CEO & Director
COMPENSATION
$18M
AGE
59
TENURE
1.2 yrs

Jon Jaffe

TITLE
President & Director
COMPENSATION
$16M
AGE
58
TENURE
1.2 yrs

Sid Lapidus

TITLE
Lead Director
COMPENSATION
$328K
AGE
80
TENURE
14.4 yrs

Steven Gerard

TITLE
Director
COMPENSATION
$299K
AGE
72
TENURE
19.1 yrs

Jeff Sonnenfeld

TITLE
Director
COMPENSATION
$268K
AGE
63
TENURE
13.8 yrs

Sherrill Hudson

TITLE
Director
COMPENSATION
$299K
AGE
75
TENURE
11.4 yrs

Irving Bolotin

TITLE
Director
COMPENSATION
$281K
AGE
85
TENURE
45.4 yrs

Tig Gilliam

TITLE
Director
COMPENSATION
$301K
AGE
54
TENURE
9 yrs

Teri McClure

TITLE
Director
COMPENSATION
$273K
AGE
54
TENURE
6 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Lennar's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Lennar has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Does Lennar Corporation (NYSE:LEN) Create Value For Shareholders?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Lennar: 12% = US$1.8b ÷ US$15b (Based on the trailing twelve months to February 2019.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … The Importance Of Debt To Return On Equity Companies usually need to invest money to grow their profits. … Conservative use of debt to boost returns is usually a good move for shareholders, though it does leave the company more exposed to interest rate rises.

Simply Wall St -

Are Investors Undervaluing Lennar Corporation (NYSE:LEN) By 26%?

by projecting its future cash flows and then discounting them to today's value. … We generally believe that a company's value is the present value of all of the cash it will generate in the future. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

When Should You Buy Lennar Corporation (NYSE:LEN)?

saw a double-digit share price rise of over 10% in the past couple of months on the NYSE. … As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Let’s examine Lennar’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.

Simply Wall St -

Should You Be Holding Lennar Corporation (NYSE:LEN)?

I've been keeping an eye on Lennar Corporation (NYSE:LEN) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe LEN has a lot to offer. … company with a

Simply Wall St -

Lennar (NYSE:LEN) Shareholders Have Enjoyed A 23% Share Price Gain

Furthermore, you'd generally like to see the share price rise faster than the market. … Unfortunately for shareholders, while the Lennar Corporation (NYSE:LEN) share price is up 23% in the last five years, that's less than the market return. … Unfortunately the share price is down 18% in the last year.

Simply Wall St -

Lennar Corporation (NYSE:LEN): What Can We Expect From This High Growth Stock?

The most recent earnings update Lennar Corporation's (NYSE:LEN) released in November 2018a … suggested

Simply Wall St -

What Lennar Corporation's (NYSE:LEN) ROE Can Tell Us

This article is for those who would like to learn about Return On Equity (ROE). … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.12 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Are Lennar Corporation's (NYSE:LEN) Interest Costs Too High?

the key to their continued success lies in its financial health. … This article will examine Lennar’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. … Note that this commentary is very high-level and solely focused on financial health, so I suggest you dig deeper yourself

Simply Wall St -

Lennar Corporation (NYSE:LEN): Is It A Smart Long Term Opportunity?

As Lennar Corporation (NYSE:LEN) released its earnings announcement on 30 November 2018, … as a 10% rise in profits is expected in the upcoming year, … the higher past 5-year average growth rate of 18%.

Simply Wall St -

How Do Lennar Corporation’s (NYSE:LEN) Returns Compare To Its Industry?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Company Info

Description

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, Lennar Financial Services, Lennar Multifamily, and Rialto 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. It primarily sells single-family attached and detached homes in communities targeted to first-time homebuyers, move-up homebuyers, active adult homebuyers, and luxury homebuyers. The company also offers mortgage financing, title insurance, and closing services for home buyers and others. In addition, it is involved in raising, investing, and managing third party capital; and originating and selling into securitizations commercial mortgage loans, as well as investing in real estate related mortgage loans, properties, and related securities. Further, the company develops, constructs, and manages multifamily rental properties. Lennar Corporation was founded in 1954 and is based in Miami, Florida.

Details
Name: Lennar Corporation
LEN
Exchange: NYSE
Founded: 1954
$16,893,070,601
323,174,325
Website: http://www.lennar.com
Address: Lennar Corporation
700 Northwest 107th Avenue,
Miami,
Florida, 33172,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE LEN Class A Common Stock New York Stock Exchange US USD 23. Jun 1971
DB LNN Class A Common Stock Deutsche Boerse AG DE EUR 23. Jun 1971
LSE 0JU0 Class A Common Stock London Stock Exchange GB USD 23. Jun 1971
BMV LEN * Class A Common Stock Bolsa Mexicana de Valores MX MXN 23. Jun 1971
NYSE LEN.B Class B Common Stock New York Stock Exchange US USD 09. Apr 2003
Number of employees
Current staff
Staff numbers
11,626
Lennar employees.
Industry
Homebuilding
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/15 23:40
End of day share price update: 2019/06/14 00:00
Last estimates confirmation: 2019/06/13
Last earnings filing: 2019/04/08
Last earnings reported: 2019/02/28
Last annual earnings reported: 2018/11/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.