Lennar Corporation (LEN)vsToll Brothers Inc (TOL)
LEN
Lennar Corporation
$90.54
+5.03%
CONSUMER CYCLICAL · Cap: $21.79B
TOL
Toll Brothers Inc
$141.60
+3.15%
CONSUMER CYCLICAL · Cap: $13.24B
Smart Verdict
WallStSmart Research — data-driven comparison
Lennar Corporation generates 195% more annual revenue ($33.17B vs $11.25B). TOL leads profitability with a 12.3% profit margin vs 5.4%. LEN appears more attractively valued with a PEG of 0.56. TOL earns a higher WallStSmart Score of 73/100 (B).
LEN
Buy57
out of 100
Grade: C
TOL
Strong Buy73
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+29.1%
Fair Value
$170.78
Current Price
$90.54
$80.24 discount
Margin of Safety
-34.2%
Fair Value
$120.36
Current Price
$141.60
$21.24 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
Growing faster than its price suggests
Attractively priced relative to earnings
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Reasonable price relative to book value
15.4% revenue growth
Earnings expanding 25.1% YoY
Areas to Watch
5.4% margin — thin
Operating margin of 3.6%
Weak financial health signals
Revenue declined 13.3%
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : LEN
The strongest argument for LEN centers on Price/Book, Altman Z-Score, Debt/Equity. PEG of 0.56 suggests the stock is reasonably priced for its growth.
Bull Case : TOL
The strongest argument for TOL centers on P/E Ratio, Altman Z-Score, Price/Book. Revenue growth of 15.4% demonstrates continued momentum. PEG of 1.01 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 : TOL
The primary concerns for TOL are Piotroski F-Score, Free Cash Flow.
Key Dynamics to Monitor
LEN profiles as a value stock while TOL is a growth play — different risk/reward profiles.
LEN carries more volatility with a beta of 1.49 — expect wider price swings.
TOL is growing revenue faster at 15.4% — sustainability is the question.
TOL generates stronger free cash flow (-12M), providing more financial flexibility.
Bottom Line
TOL scores higher overall (73/100 vs 57/100) and 15.4% revenue growth. LEN offers better value entry with a 29.1% margin of safety. Both earn "Strong Buy" and "Buy" 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
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