DR Horton Inc (DHI)vsLennar Corporation (LEN)
DHI
DR Horton Inc
$146.49
+3.50%
CONSUMER CYCLICAL · Cap: $43.70B
LEN
Lennar Corporation
$90.49
-1.51%
CONSUMER CYCLICAL · Cap: $22.24B
Smart Verdict
WallStSmart Research — data-driven comparison
DR Horton Inc generates 2% more annual revenue ($33.35B vs $32.74B). DHI leads profitability with a 9.5% profit margin vs 4.9%. DHI appears more attractively valued with a PEG of 1.28. DHI earns a higher WallStSmart Score of 55/100 (C).
DHI
Buy55
out of 100
Grade: C
LEN
Hold46
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-52.8%
Fair Value
$100.86
Current Price
$146.49
$45.63 premium
Margin of Safety
+11.0%
Fair Value
$136.01
Current Price
$90.49
$45.52 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Reasonable price relative to book value
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Areas to Watch
Weak financial health signals
Revenue declined 2.3%
Earnings declined 13.2%
Negative free cash flow — burning cash
ROE of 7.5% — below average capital efficiency
4.9% margin — thin
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : DHI
The strongest argument for DHI centers on Altman Z-Score, Debt/Equity, P/E Ratio. PEG of 1.28 suggests the stock is reasonably priced for its growth.
Bull Case : LEN
The strongest argument for LEN centers on Price/Book, Altman Z-Score, Debt/Equity.
Bear Case : DHI
The primary concerns for DHI are Piotroski F-Score, Revenue Growth, EPS Growth.
Bear Case : LEN
The primary concerns for LEN are Return on Equity, Profit Margin, Piotroski F-Score. Thin 4.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
LEN carries more volatility with a beta of 1.40 — expect wider price swings.
DHI is growing revenue faster at -2.3% — sustainability is the question.
LEN generates stronger free cash flow (-358M), providing more financial flexibility.
Monitor RESIDENTIAL CONSTRUCTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DHI scores higher overall (55/100 vs 46/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
DR Horton Inc
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
D.R. Horton, Inc. is a home construction company incorporated in Delaware and headquartered in Arlington, Texas.
Lennar Corporation
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Lennar Corporation is a home construction and real estate company based in Fontainebleau, Florida.
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