Definitive Analysis
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Definitive Analysis

Financial Statements

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Ticker

Industry

Sector

Lennar Corporation (LEN)

Company Dividend Discount ModelIndustry: Residential ConstructionSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$175.91 - $429.63$262.04
Multi-Stage$123.62 - $135.02$129.21
Blended Fair Value$195.63
Current Price$130.23
Upside50.22%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS60.55%32.55%2.131.671.701.200.760.200.190.150.140.13
YoY Growth--27.47%-1.71%41.40%58.82%279.06%4.67%30.71%6.47%6.42%1.27%
Dividend Yield--1.63%1.39%1.07%1.24%0.84%0.24%0.32%0.30%0.24%0.26%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)2,078.18
(-) Cash Dividends Paid (M)529.01
(=) Cash Retained (M)1,549.17
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)415.64259.77155.86
Cash Retained (M)1,549.171,549.171,549.17
(-) Cash Required (M)-415.64-259.77-155.86
(=) Excess Retained (M)1,133.531,289.391,393.30
(/) Shares Outstanding (M)258.05258.05258.05
(=) Excess Retained per Share4.395.005.40
LTM Dividend per Share2.052.052.05
(+) Excess Retained per Share4.395.005.40
(=) Adjusted Dividend6.447.057.45
WACC / Discount Rate9.36%9.36%9.36%
Growth Rate5.50%6.50%7.50%
Fair Value$175.91$262.04$429.63
Upside / Downside35.08%101.21%229.90%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)2,078.182,213.262,357.122,510.342,673.512,847.292,932.70
Payout Ratio25.46%38.36%51.27%64.18%77.09%90.00%92.50%
Projected Dividends (M)529.01849.111,208.581,611.192,061.042,562.562,712.75

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.36%9.36%9.36%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)769.11776.40783.69
Year 2 PV (M)991.591,010.471,029.54
Year 3 PV (M)1,197.381,231.751,266.78
Year 4 PV (M)1,387.401,440.751,495.63
Year 5 PV (M)1,562.491,637.961,716.31
PV of Terminal Value (M)25,991.2527,246.6428,550.07
Equity Value (M)31,899.2233,343.9834,842.03
Shares Outstanding (M)258.05258.05258.05
Fair Value$123.62$129.21$135.02
Upside / Downside-5.08%-0.78%3.68%

High-Yield Dividend Screener

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