Lennar Corporation (LEN)vsToll Brothers Inc (TOL)
LEN
Lennar Corporation
$86.09
-5.42%
CONSUMER CYCLICAL · Cap: $19.85B
TOL
Toll Brothers Inc
$149.32
-2.68%
CONSUMER CYCLICAL · Cap: $13.08B
Smart Verdict
WallStSmart Research — data-driven comparison
Lennar Corporation generates 197% more annual revenue ($31.97B vs $10.76B). TOL leads profitability with a 11.1% profit margin vs 4.1%. TOL appears more attractively valued with a PEG of 0.91. TOL earns a higher WallStSmart Score of 59/100 (C).
LEN
Hold48
out of 100
Grade: D+
TOL
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+10.3%
Fair Value
$134.84
Current Price
$86.09
$48.75 discount
Margin of Safety
-45.7%
Fair Value
$96.03
Current Price
$149.32
$53.29 premium
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
Attractively priced relative to earnings
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
ROE of 6.1% — below average capital efficiency
4.1% margin — thin
Weak financial health signals
Expensive relative to growth rate
Weak financial health signals
Revenue declined 9.7%
Earnings declined 20.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : LEN
The strongest argument for LEN centers on Price/Book, Altman Z-Score, Debt/Equity.
Bull Case : TOL
The strongest argument for TOL centers on P/E Ratio, Altman Z-Score, PEG Ratio. PEG of 0.91 suggests the stock is reasonably priced for its growth.
Bear Case : LEN
The primary concerns for LEN are Return on Equity, Profit Margin, Piotroski F-Score. Thin 4.1% margins leave little buffer for downturns.
Bear Case : TOL
The primary concerns for TOL are Piotroski F-Score, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
LEN profiles as a value stock while TOL is a declining play — different risk/reward profiles.
LEN carries more volatility with a beta of 1.38 — expect wider price swings.
LEN is growing revenue faster at -8.7% — sustainability is the question.
TOL generates stronger free cash flow (220M), providing more financial flexibility.
Bottom Line
TOL scores higher overall (59/100 vs 48/100). 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.
Lennar Corporation
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Lennar Corporation is a home construction and real estate company based in Fontainebleau, Florida.
Visit Website →Toll Brothers Inc
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Toll Brothers, Inc. designs, builds, markets, sells and manages the financing of a variety of detached and attached homes in luxury residential communities in the United States. The company is headquartered in Horsham, Pennsylvania.
Visit Website →Compare with Other RESIDENTIAL CONSTRUCTION Stocks
Want to dig deeper into these stocks?