LEN First Look: 2Q In-line, 3Q Guidance Modestly Below Expectations

Research evidence excerpt

LEN First Look: 2Q In-line, 3Q Guidance Modestly Below Expectations

Homebuilders & Building Products

FLASH

FLASH: LENNAR CORPORATION (LEN) June 11, 2026

LEN First Look: 2Q In-line, 3Q Guidance Modestly Below Rating:

Expectations Peer Perform

Price:

LEN reported in-line 2Q results with Orders splitting our estimate and Consensus $94.95

while Gross Margin matched our estimate and slightly missed Consensus. Net, Price Target:

NAAdjusted EPS of $1.31 was modestly above our $1.27 estimate and the $1.29

Consensus forecast. 2Q was very much the status quo for LEN with relatively in- Source: FactSet, Wolfe Research

line volumes despite conservative guidance from a historical seasonality perspective Priced as of 06/11/26

while Gross Margin was below the midpoint of guidance but in-line with sell side

expectations. 3Q Orders and Closings guidance is modestly below our estimates

leading into the print while Gross Margin is a touch better than our forecast but in-

line with the street. 3Q guidance implies flattish Orders sequentially, which is better

than the -7% average historical decline but comes on an easy comp as 2Q Orders Trevor Allinson, CFA

increased only 17.6% versus the +22% QoQ average the last 3 years while 1Q also tallinson@wolferesearch.com

represented an easy sequential comp. The company is lowering full year Closings (636) 338-1466 View Trevor’s Research

expectations to 82K to 83K from the prior 85K guide, although we note our estimate View LEN Model

was only 82.7K entering the print. Positively, specs per community declined to 2.1 View Comp Table

from 3.0 as LEN is the latest builder to successfully work down inventory this Paul Przybylski

spring while construction costs continue moving lower, down 2% sequentially as LEN pprzybylski@wolferesearch.com