Lennar Corporation (LEN)vsLGI Homes (LGIH)
LEN
Lennar Corporation
$88.38
+0.73%
CONSUMER CYCLICAL · Cap: $21.61B
LGIH
LGI Homes
$46.67
+0.82%
CONSUMER CYCLICAL · Cap: $1.08B
Smart Verdict
WallStSmart Research — data-driven comparison
Lennar Corporation generates 1882% more annual revenue ($33.17B vs $1.67B). LEN leads profitability with a 5.4% profit margin vs 4.2%. LEN appears more attractively valued with a PEG of 0.53. LEN earns a higher WallStSmart Score of 57/100 (C).
LEN
Buy57
out of 100
Grade: C
LGIH
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+29.0%
Fair Value
$170.50
Current Price
$88.38
$82.12 discount
Margin of Safety
+28.7%
Fair Value
$85.48
Current Price
$46.67
$38.81 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Areas to Watch
5.4% margin — thin
Operating margin of 3.6%
Weak financial health signals
Revenue declined 13.3%
Smaller company, higher risk/reward
ROE of 3.4% — below average capital efficiency
4.2% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : LEN
The strongest argument for LEN centers on Price/Book, Altman Z-Score, Debt/Equity. PEG of 0.53 suggests the stock is reasonably priced for its growth.
Bull Case : LGIH
The strongest argument for LGIH centers on Price/Book, Altman Z-Score, PEG Ratio. PEG of 0.69 suggests the stock is reasonably priced for its growth.
Bear Case : LEN
The primary concerns for LEN are Profit Margin, Operating Margin, Piotroski F-Score.
Bear Case : LGIH
The primary concerns for LGIH are Market Cap, Return on Equity, Profit Margin. Thin 4.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
LGIH carries more volatility with a beta of 1.90 — expect wider price swings.
LGIH is growing revenue faster at -9.0% — sustainability is the question.
LGIH generates stronger free cash flow (-56M), providing more financial flexibility.
Monitor RESIDENTIAL CONSTRUCTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LEN scores higher overall (57/100 vs 49/100). LGIH offers better value entry with a 28.7% margin of safety. 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.
Lennar Corporation
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Lennar Corporation is a home construction and real estate company based in Fontainebleau, Florida.
Visit Website →LGI Homes
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
LGI Homes, Inc. designs, builds and sells homes in the United States. The company is headquartered in The Woodlands, Texas.
Visit Website →Compare with Other RESIDENTIAL CONSTRUCTION Stocks
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