Lennar Corp Fourth Quarter Earnings Preview

S&P 500 (NYSE:SPY) component Lennar Corp (NYSE:LEN) will unveil its latest earnings on Wednesday, January 11, 2012. Lennar builds affordable move-up and retirement homes primarily under the Lennar brand name throughout the United States.

Lennar Corp Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 18 cents per share, a rise of 5.9% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 19 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 18 cents during the last month. Analysts are projecting profit to rise by 0% versus last year to 51 cents.

Past Earnings Performance: Last quarter, the company met expectations by reporting net income of 11 cents per share last quarter. In the previous second quarter, the company beat estimates by 3 cents.

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Wall St. Revenue Expectations: On average, analysts predict $914 million in revenue this quarter, a rise of 6.3% from the year ago quarter. Analysts are forecasting total revenue of $3.06 billion for the year, a decline of 0.3% from last year’s revenue of $3.07 billion.

Analyst Ratings: Analysts are bullish on this stock with 12 analysts rating it as a buy, none rating it as a sell and four rating it as a hold.

A Look Back: In the third quarter, profit fell 31% to $20.7 million (11 cents a share) from $30 million (16 cents a share) the year earlier, meeting analyst expectations. Revenue fell 0.6% to $820.2 million from $825 million.

Key Stats:

Revenue has fallen in the past four quarters. Revenue declined 6.1% in the second quarter from the year earlier, dropped 2.9% in first quarter from the year-ago quarter and 5.9% in the fourth quarter of the last fiscal year.

Competitors to Watch: PulteGroup, Inc. (NYSE:PHM), KB Home (NYSE:KBH), D.R. Horton, Inc. (NYSE:DHI), Standard Pacific Corp. (NYSE:SPF), Meritage Homes Corporation (NYSE:MTH), Toll Brothers, Inc. (NYSE:TOL), M.D.C. Holdings, Inc. (NYSE:MDC), Orleans Homebuilders (OHBIQ), The Ryland Group, Inc. (NYSE:RYL), and Comstock Homebuilding Companies, Inc. (NASDAQ:CHCI).

Stock Price Performance: During October 10, 2011 to January 5, 2012, the stock price had risen $5.82 (38.9%) from $14.95 to $20.77. The stock price saw one of its best stretches over the last year between August 23, 2011 and August 31, 2011 when shares rose for seven-straight days, rising 15.6% (+$1.98) over that span. It saw one of its worst periods between May 31, 2011 and June 8, 2011 when shares fell for seven-straight days, falling 11.6% (-$2.19) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com