WallStSmart

DR Horton Inc (DHI)vsLennar Corporation (LEN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

DR Horton Inc generates 1% more annual revenue ($33.52B vs $33.17B). DHI leads profitability with a 9.9% profit margin vs 5.4%. DHI appears more attractively valued with a PEG of 1.09. DHI earns a higher WallStSmart Score of 55/100 (C).

DHI

Buy

55

out of 100

Grade: C

Growth: 4.7Profit: 6.0Value: 7.3Quality: 7.3
Piotroski: 3/9Altman Z: 5.10

LEN

Hold

47

out of 100

Grade: D+

Growth: 4.7Profit: 5.0Value: 4.7Quality: 8.5
Piotroski: 3/9Altman Z: 3.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DHISignificantly Overvalued (-119.0%)

Margin of Safety

-119.0%

Fair Value

$74.80

Current Price

$133.12

$58.32 premium

UndervaluedFair: $74.80Overvalued
LENSignificantly Overvalued (-164.8%)

Margin of Safety

-164.8%

Fair Value

$45.70

Current Price

$90.55

$44.85 premium

UndervaluedFair: $45.70Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DHI3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
5.1010/10

Safe zone — low bankruptcy risk

P/E RatioValuation
12.1x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

LEN5 strengths · Avg: 9.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.6610/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.299/10

Conservative balance sheet, low leverage

P/E RatioValuation
13.5x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.67B8/10

Generating 1.7B in free cash flow

Areas to Watch

DHI3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-9.5%2/10

Revenue declined 9.5%

EPS GrowthGrowth
-22.2%2/10

Earnings declined 22.2%

LEN4 concerns · Avg: 2.8/10
Profit MarginProfitability
5.4%3/10

5.4% margin — thin

Operating MarginProfitability
3.7%3/10

Operating margin of 3.7%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.102/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : DHI

The strongest argument for DHI centers on Altman Z-Score, P/E Ratio, Price/Book. PEG of 1.09 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 Profit Margin, Operating Margin, Piotroski F-Score.

Key Dynamics to Monitor

DHI carries more volatility with a beta of 1.41 — expect wider price swings.

DHI is growing revenue faster at -9.5% — sustainability is the question.

LEN generates stronger free cash flow (1.7B), providing more financial flexibility.

Monitor RESIDENTIAL CONSTRUCTION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DHI scores higher overall (55/100 vs 47/100). 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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