Lennar stock is inching to all-time highs ahead of this week’s earnings report
Shares of homebuilder Lennar Corp (NYSE:LEN) are hitting record highs today, as they head for their sixth gain in the last seven days. At last glance, the stock was up 0.8% to trade at $187.47, earlier hitting a peak of $188.10. Since the start of 2024, LEN is up 25.7%.
Falling mortgage rates put the housing sector in focus ahead of the U.S. Federal Reserve’s interest rate decision this week, with Zillow Group (Z) receiving an upgrade earlier this morning. Lennar’s earnings report is coming up too, due out after the close on Thursday, Sept. 19.
LEN’s post-earnings history hasn’t been that great. The security closed its last four next-day sessions lower, including a 7.6% drop in March. Should the Fed choose to slash interest rates on Wednesday, however, LEN could see broader-market tailwinds. The options pits are pricing in an 8.5% post-earnings move this time around, regardless of direction, which is much larger than the 3.7% move the stock has averaged over the last two years.
Continued outperformance or an upbeat quarterly report could prompt a shift from the brokerage bunch. LEN’s consensus 12-month price target of $185.52 is a 1% discount to its current perch, and analysts are split 50% between “hold” or worse ratings and “buy” or better ratings.