Should Quality Investors Include NYSE:LEN.B in Their Portfolio?

In this article we will dive into LENNAR CORP - B SHS (NYSE:LEN.B) as a possible candidate for quality investing. Investors should always do their own research, but we noticed LENNAR CORP - B SHS showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

What matters for quality investors.

• LENNAR CORP - B SHS has shown strong performance in revenue growth over the past 5 years, with a 10.72% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
• With a notable ROIC excluding cash and goodwill at 18.06%, LENNAR CORP - B SHS demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• LENNAR CORP - B SHS maintains a healthy Debt/Free Cash Flow Ratio of 0.92, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
• The Profit Quality (5-year) of LENNAR CORP - B SHS stands at 100.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• LENNAR CORP - B SHS has experienced impressive EBIT growth over the past 5 years, with 18.14% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• The EBIT 5-year growth of LENNAR CORP - B SHS has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

Fundamental Analysis Observations

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to LEN.B. LEN.B was compared to 67 industry peers in the Household Durables industry. LEN.B gets an excellent profitability rating and is at the same time showing great financial health properties. LEN.B is not valued too expensively and it also shows a decent growth rate.

Check the latest full fundamental report of LEN.B for a complete fundamental analysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.