Earnings Alerts

Lennar Corp A (LEN) Earnings: Q3 New Orders and Deliveries Miss Estimates Amid Market Challenges

  • Lennar’s third-quarter forecast for new orders is between 22,000 to 23,000, lower than the estimate of 23,348.
  • Expected deliveries for the same period are also below estimates, predicted to be between 22,000 to 23,000 compared to an estimate of 23,674.
  • Second-quarter earnings per share (EPS) decreased to $1.81 from $3.45 in the previous year.
  • Second-quarter revenue dropped by 4.4% year over year, totaling $8.38 billion, which still exceeded the estimate of $8.26 billion.
  • Net new orders increased by 6.1% year over year, reaching 22,601, but fell short of the estimate of 23,027.
  • New home deliveries decreased by 7% compared to the previous year.
  • Gross margin on home sales dropped to 17.8% from 22.6% year over year.
  • Lennar is addressing market softness due to challenges in affordability and reduced consumer confidence by maintaining a strategy focusing on starts, sales, and closings.
  • The average sales price of homes, after incentives, decreased to $389,000, reflecting softer market conditions.
  • Lennar’s approach to market conditions includes driving volume with housing starts and providing sales incentives to improve home affordability.
  • Current analyst ratings include 8 buys and 15 holds, with no sells reported.

Lennar Corp A on Smartkarma


Analyst coverage of Lennar Corp A on Smartkarma, an independent investment research network, includes a report by Baptista Research titled “Is Lennar the Netflix of Homebuilding? Inside the Strategy Turning Heads on Wall Street!“. The report discusses Lennar Corporation’s first-quarter results for 2025 in the midst of challenging economic conditions affecting the housing market. Despite these challenges, Lennar has managed to navigate through them strategically by maintaining consistent volume, efficiency, and an asset-light, land-light business model. The report highlights that Lennar’s average sales price dipped slightly to $408,000 during the quarter, with sales incentives at around 13%, indicating the pressure on margins to sustain demand amidst higher mortgage rates.



A look at Lennar Corp A Smart Scores

FactorScoreMagnitude
Value4
Dividend3
Growth3
Resilience3
Momentum3
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma



Investment analysts are eyeing a positive long-term outlook for Lennar Corp A, based on the Smartkarma Smart Scores. With a strong value score of 4, the company is seen as having solid fundamentals and attractive valuation metrics. While the dividend, growth, resilience, and momentum scores all sit at a respectable 3, indicating a balanced performance across these key factors. Lennar Corp A‘s ability to deliver value to investors while exhibiting steady growth and resilience in the face of market challenges positions it well for the future.

Lennar Corporation, known for constructing and selling a variety of residential properties, including single-family homes and multi-level buildings, has diversified its offerings by providing mortgage financing, title insurance, and other financial services. With solid Smartkarma Smart Scores across different categories, Lennar Corp A is poised for continued success in the real estate market, backed by its strong value proposition, consistent growth potential, and resilience in the face of market fluctuations.



Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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