WallStSmart

KB Home (KBH)vsLennar Corporation (LEN-B)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lennar Corporation generates 432% more annual revenue ($33.17B vs $6.24B). KBH leads profitability with a 6.9% profit margin vs 5.4%. LEN-B appears more attractively valued with a PEG of 3.04. KBH earns a higher WallStSmart Score of 51/100 (C-).

KBH

Buy

51

out of 100

Grade: C-

Growth: 2.0Profit: 5.5Value: 4.7Quality: 7.3
Piotroski: 2/9Altman Z: 3.66

LEN-B

Hold

42

out of 100

Grade: D

Growth: 4.7Profit: 5.0Value: 4.7Quality: 8.5
Piotroski: 3/9Altman Z: 3.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KBHSignificantly Overvalued (-81.5%)

Margin of Safety

-81.5%

Fair Value

$35.22

Current Price

$52.12

$16.90 premium

UndervaluedFair: $35.22Overvalued
LEN-BSignificantly Overvalued (-137.3%)

Margin of Safety

-137.3%

Fair Value

$47.26

Current Price

$88.33

$41.07 premium

UndervaluedFair: $47.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KBH3 strengths · Avg: 10.0/10
P/E RatioValuation
10.1x10/10

Attractively priced relative to earnings

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.6610/10

Safe zone — low bankruptcy risk

LEN-B5 strengths · Avg: 9.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.6610/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.299/10

Conservative balance sheet, low leverage

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.67B8/10

Generating 1.7B in free cash flow

Areas to Watch

KBH4 concerns · Avg: 2.5/10
Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
5.972/10

Expensive relative to growth rate

Revenue GrowthGrowth
-15.3%2/10

Revenue declined 15.3%

LEN-B4 concerns · Avg: 2.8/10
Profit MarginProfitability
5.4%3/10

5.4% margin — thin

Operating MarginProfitability
3.7%3/10

Operating margin of 3.7%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.042/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : KBH

The strongest argument for KBH centers on P/E Ratio, Price/Book, Altman Z-Score.

Bull Case : LEN-B

The strongest argument for LEN-B centers on Price/Book, Altman Z-Score, Debt/Equity.

Bear Case : KBH

The primary concerns for KBH are Profit Margin, Piotroski F-Score, PEG Ratio.

Bear Case : LEN-B

The primary concerns for LEN-B are Profit Margin, Operating Margin, Piotroski F-Score.

Key Dynamics to Monitor

KBH carries more volatility with a beta of 1.45 — expect wider price swings.

LEN-B is growing revenue faster at -13.3% — sustainability is the question.

LEN-B generates stronger free cash flow (1.7B), providing more financial flexibility.

Monitor RESIDENTIAL CONSTRUCTION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

KBH scores higher overall (51/100 vs 42/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

KB Home

CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA

KB Home is a home construction company in the United States. The company is headquartered in Los Angeles, California.

Lennar Corporation

CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA

Lennar Corporation is a home construction and real estate company based in Fontainebleau, Florida.

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