Lennar (NYSE:LEN) Sets New 1-Year Low Following Analyst Downgrade

Lennar Co. (NYSE:LEN)’s stock price reached a new 52-week low on Wednesday after Wells Fargo & Company lowered their price target on the stock from $145.00 to $130.00. Wells Fargo & Company currently has an equal weight rating on the stock. Lennar traded as low as $117.90 and last traded at $121.07, with a volume of 259321 shares changing hands. The stock had previously closed at $122.50.

LEN has been the subject of a number of other reports. The Goldman Sachs Group decreased their target price on shares of Lennar from $190.00 to $162.00 and set a “neutral” rating for the company in a research report on Monday, December 23rd. Royal Bank of Canada cut their target price on shares of Lennar from $130.00 to $125.00 and set a “sector perform” rating for the company in a report on Thursday, February 6th. Wedbush restated a “neutral” rating and set a $164.00 price target on shares of Lennar in a research report on Thursday, December 19th. UBS Group dropped their target price on Lennar from $205.00 to $192.00 and set a “buy” rating on the stock in a research report on Wednesday, January 8th. Finally, Citigroup dropped their price objective on Lennar from $196.00 to $150.00 and set a “neutral” rating on the stock in a report on Monday, January 6th. One investment analyst has rated the stock with a sell rating, fourteen have issued a hold rating and six have assigned a buy rating to the company. According to data from MarketBeat, Lennar currently has an average rating of “Hold” and a consensus price target of $163.88.

Institutional Investors Weigh In On Lennar

Large investors have recently added to or reduced their stakes in the business. Foundations Investment Advisors LLC acquired a new position in Lennar in the third quarter valued at approximately $228,000. Oakworth Capital Inc. acquired a new position in Lennar in the third quarter valued at $27,000. Sequoia Financial Advisors LLC grew its holdings in shares of Lennar by 10.3% during the third quarter. Sequoia Financial Advisors LLC now owns 4,890 shares of the construction company’s stock worth $917,000 after buying an additional 456 shares during the last quarter. Symphony Financial Ltd. Co. increased its position in Lennar by 9.8% in the 3rd quarter. Symphony Financial Ltd. Co. now owns 4,758 shares of the construction company’s stock valued at $891,000 after acquiring an additional 424 shares during the period. Finally, Private Advisor Group LLC boosted its holdings in shares of Lennar by 17.6% in the third quarter. Private Advisor Group LLC now owns 6,683 shares of the construction company’s stock valued at $1,253,000 after acquiring an additional 998 shares in the last quarter. 81.10% of the stock is owned by hedge funds and other institutional investors.

Lennar Price Performance

The company has a quick ratio of 1.06, a current ratio of 4.71 and a debt-to-equity ratio of 0.08. The stock has a fifty day moving average of $135.18 and a two-hundred day moving average of $162.05. The stock has a market cap of $32.05 billion, a price-to-earnings ratio of 8.42, a price-to-earnings-growth ratio of 1.25 and a beta of 1.67.

Lennar (NYSE:LEN) last issued its quarterly earnings data on Wednesday, December 18th. The construction company reported $4.03 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.15 by ($0.12). The company had revenue of $9.95 billion for the quarter, compared to analyst estimates of $10.06 billion. Lennar had a return on equity of 13.93% and a net margin of 11.10%. The company’s revenue for the quarter was down 9.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $4.82 earnings per share. On average, equities research analysts anticipate that Lennar Co. will post 12.48 earnings per share for the current year.

Lennar Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, February 12th. Investors of record on Wednesday, January 29th were given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a yield of 1.66%. The ex-dividend date was Wednesday, January 29th. Lennar’s dividend payout ratio (DPR) is 13.95%.

About Lennar

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.