Latest Ratios: P/E Ratio 10.9x · EV/EBITDA 8.3x · ROE 8.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $21.5B | $33.8B | $47.4B | $36.2B | $25.5B | $32.2B | $23.5B | $19.0B | $13.2B | $14.9B | $10.0B |
| Enterprise Value | $24.0B | $36.4B | $46.9B | $34.8B | $27.0B | $35.8B | $28.1B | $27.1B | $21.7B | $20.2B | $14.9B |
| P/E Ratio → | 10.87 | 16.45 | 12.19 | 9.32 | 5.59 | 7.36 | 9.66 | 10.39 | 7.85 | 18.57 | 11.05 |
| P/S Ratio | 0.63 | 0.99 | 1.34 | 1.06 | 0.76 | 1.19 | 1.04 | 0.85 | 0.64 | 1.18 | 0.91 |
| P/B Ratio | 1.01 | 1.53 | 1.69 | 1.36 | 1.05 | 1.53 | 1.30 | 1.18 | 0.90 | 1.86 | 1.39 |
| P/FCF | 764.19 | 1200.80 | 21.25 | 7.13 | 7.93 | 13.05 | 5.70 | 13.61 | 8.34 | 16.82 | 23.21 |
| P/OCF | 99.34 | 156.09 | 19.74 | 7.00 | 7.79 | 12.72 | 5.60 | 12.81 | 7.70 | 14.94 | 19.71 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.06 | 1.32 | 1.02 | 0.80 | 1.32 | 1.25 | 1.22 | 1.06 | 1.60 | 1.36 |
| EV / EBITDA | 8.34 | 12.60 | 9.45 | 6.27 | 3.93 | 6.86 | 8.69 | 10.53 | 10.44 | 14.37 | 11.38 |
| EV / EBIT | 8.74 | 12.86 | 9.01 | 6.67 | 4.48 | 6.13 | 8.95 | 10.93 | 10.92 | 15.08 | 11.83 |
| EV / FCF | — | 1289.91 | 21.02 | 6.86 | 8.42 | 14.52 | 6.82 | 19.42 | 13.74 | 22.82 | 34.63 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 9.9% | 9.9% | 15.5% | 17.4% | 21.4% | 20.4% | 15.4% | 12.6% | 11.3% | 12.8% | 13.7% |
| Operating Margin | 8.0% | 8.0% | 13.7% | 15.9% | 20.2% | 18.9% | 14.0% | 11.1% | 9.7% | 10.6% | 11.5% |
| Net Profit Margin | 6.1% | 6.1% | 11.1% | 11.5% | 13.7% | 16.3% | 11.0% | 8.3% | 8.2% | 6.4% | 8.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 8.3% | 8.3% | 14.4% | 15.5% | 20.4% | 22.7% | 14.4% | 12.0% | 15.0% | 10.7% | 13.9% |
| ROA | 5.5% | 5.5% | 9.8% | 10.2% | 13.0% | 14.0% | 8.3% | 6.4% | 7.2% | 4.8% | 6.1% |
| ROIC | 7.9% | 7.9% | 13.8% | 16.0% | 20.2% | 16.3% | 10.0% | 7.9% | 8.2% | 7.9% | 8.0% |
| ROCE | 8.8% | 8.8% | 14.7% | 16.8% | 22.4% | 18.6% | 11.9% | 9.8% | 9.8% | 9.2% | 10.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.29 | 0.29 | 0.16 | 0.19 | 0.26 | 0.31 | 0.42 | 0.60 | 0.69 | 1.00 | 0.87 |
| Debt / EBITDA | 2.19 | 2.19 | 0.90 | 0.93 | 0.92 | 1.25 | 2.33 | 3.72 | 4.86 | 5.67 | 4.78 |
| Net Debt / Equity | — | 0.11 | -0.02 | -0.05 | 0.06 | 0.17 | 0.26 | 0.51 | 0.58 | 0.66 | 0.68 |
| Net Debt / EBITDA | 0.87 | 0.87 | -0.11 | -0.26 | 0.23 | 0.69 | 1.43 | 3.15 | 4.10 | 3.78 | 3.76 |
| Debt / FCF | — | 89.12 | -0.24 | -0.28 | 0.49 | 1.46 | 1.12 | 5.81 | 5.40 | 6.00 | 11.43 |
| Interest Coverage | 203.82 | 203.82 | 277.22 | 338.07 | 315.44 | 289.90 | 140.20 | 140.81 | 176.79 | 186.91 | 272.88 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.12 | 3.12 | 3.44 | 4.04 | 4.83 | 5.06 | 6.49 | 6.16 | 4.91 | 5.46 | 4.56 |
| Quick Ratio | 0.96 | 0.96 | 0.85 | 1.23 | 1.10 | 0.92 | 1.19 | 0.71 | 0.65 | 1.23 | 0.85 |
| Cash Ratio | 0.69 | 0.69 | 0.64 | 0.97 | 0.82 | 0.63 | 0.90 | 0.44 | 0.39 | 1.02 | 0.54 |
| Asset Turnover | — | 0.99 | 0.86 | 0.87 | 0.89 | 0.82 | 0.75 | 0.76 | 0.72 | 0.67 | 0.71 |
| Inventory Turnover | 2.60 | 2.60 | 1.47 | 1.50 | 1.21 | 1.13 | 1.11 | 1.08 | 1.05 | 1.00 | 1.01 |
| Days Sales Outstanding | — | 15.70 | 17.02 | 18.09 | 17.50 | 17.45 | 15.23 | 14.87 | 18.49 | 15.03 | 26.00 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.3% | 1.5% | 1.2% | 1.2% | 1.7% | 1.0% | 0.8% | 0.3% | 0.4% | 0.3% | 0.4% |
| Payout Ratio | 25.1% | 25.1% | 14.0% | 10.9% | 9.5% | 7.0% | 7.9% | 2.8% | 2.9% | 4.6% | 3.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 9.2% | 6.1% | 8.2% | 10.7% | 17.9% | 13.6% | 10.3% | 9.6% | 12.7% | 5.4% | 9.1% |
| FCF Yield | 0.1% | 0.1% | 4.7% | 14.0% | 12.6% | 7.7% | 17.5% | 7.3% | 12.0% | 5.9% | 4.3% |
| Buyback Yield | 8.4% | 5.3% | 4.8% | 3.3% | 4.1% | 4.4% | 1.4% | 2.8% | 2.3% | 0.2% | 0.2% |
| Total Shareholder Yield | 10.7% | 6.9% | 5.9% | 4.5% | 5.8% | 5.4% | 2.2% | 3.0% | 2.6% | 0.4% | 0.6% |
| Shares Outstanding | — | $258M | $272M | $283M | $290M | $307M | $309M | $318M | $309M | $237M | $235M |
Margin compression and volume
According to recent market data, Lennar trades at a TTM P/E of 11.72, which appears to discount the company's historical earnings power while reflecting investor skepticism regarding the sustainability of current margins amidst a broader industry-wide contraction in new home demand and persistent affordability-related headwinds.
The forward P/E of 16.59 suggests that the market anticipates a significant earnings decline, likely driven by the ongoing margin compression observed in recent quarters. Investors should monitor whether this valuation gap relative to peers like NVR persists, as it may indicate that the market has yet to fully credit Lennar for its strategic pivot toward an asset-light operational model.
Based on reported financial statements, Lennar's ROIC has decayed to 0.7% in 2026Q1, a sharp decline from the 5.6% levels recorded in 2023Q4, suggesting that the company's ability to generate returns on its invested capital is currently being severely hampered by the prevailing macroeconomic environment.
This deterioration in ROIC appears to be driven by both contracting net margins and a slowdown in asset turnover as the company navigates a challenging housing market. The trend warrants further investigation to determine if this is a temporary cyclical trough or a structural impairment of the company's capital allocation efficiency.
As indicated by the company's quarterly filings, the cash conversion cycle has extended to 152 days in 2026Q1, reflecting a significant increase in inventory holding periods that suggests the company is struggling to rotate its capital as efficiently as it did during the 2024 fiscal year.
The rise in days inventory outstanding (DIO) to 161 days implies that finished goods are lingering on the balance sheet longer than desired, likely due to softening consumer demand. This inefficiency in inventory management is a primary contributor to the current cash flow volatility and suggests that the 'Everything's Included' model is facing friction in the current high-rate environment.
Investors frequently misapply the P/B ratio to Lennar, as the metric fails to account for the company's ongoing transition to an asset-light, land-option-heavy business model which intentionally reduces the book value of land assets while shifting risk to off-balance-sheet joint ventures and third-party developers.
Relying on P/B obscures the true economic value of the company's land-option pipeline, which provides operational flexibility without the capital intensity of traditional land ownership. Analysts should instead focus on return on equity (ROE) adjusted for the company's leverage profile and the quality of earnings derived from its financial services segment.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying LEN stock.
Lennar Corporation's current P/E ratio is 10.9x. The historical average is 12.2x. This places it at the 59th percentile of its historical range.
Lennar Corporation's current EV/EBITDA is 8.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.8x.
Lennar Corporation's return on equity (ROE) is 8.3%. The historical average is 12.2%.
Based on historical data, Lennar Corporation is trading at a P/E of 10.9x. This is at the 59th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Lennar Corporation's current dividend yield is 2.33% with a payout ratio of 25.1%.
Lennar Corporation has 9.9% gross margin and 8.0% operating margin.
Lennar Corporation's Debt/EBITDA ratio is 2.2x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.