LennarLEN +0.98%75 Current Ratio is 8.75 as of Feb. 2026, which is 53% below its 10-year median of 18.72. GuruFocus rates LEN with a GF Score™ of 75/100 and a GF Value™ of $126.26 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 95 Homebuilding & Construction companies, Lennar ranks better than 90.53% on this metric.
The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Lennar's current ratio for the quarter that ended in Feb. 2026 was 8.75.
Lennar has a current ratio of 8.75. It indicates the company may not be efficiently using its current assets or its short-term financing facilities. This may also indicate problems in working capital management.
The historical rank and industry rank for Lennar's Current Ratio or its related term are showing as below:
LEN'
s Current Ratio Range Over the Past 10 Years
Min: 8.52 Med: 18.72 Max: 22.26
Current: 8.52
During the past 13 years, Lennar's highest Current Ratio was 22.26. The lowest was 8.52. And the median was 18.72.
LEN's Current Ratio is ranked better than 90.53% of 95
companies
in the Homebuilding & Construction industry
Industry Median: 2.46
vs LEN: 8.52
Lennar (NYSE:LEN) Current Ratio Explanation
The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.
Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.
The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.
If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.
Lennar Current Ratio Related Terms
Lennar Current Ratio Historical Data
* Premium members only.
The historical data trend for Lennar's Current Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Residential Construction subindustry, Lennar's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lennar Current Ratio vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Lennar's Current Ratio distribution charts can be found below:
* The bar in red indicates where Lennar's Current Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Lennar (LEN) has a Current Ratio of 8.75 as of Feb. 2026. This is 53% below median its historical median of 18.72. Over the past decade, Lennar's Current Ratio has ranged from 8.52 to 22.26. According to the industry distribution chart, Lennar ranks #9 out of 95 companies in the Homebuilding & Construction industry, placing it in the top 9.5%.
Is Lennar's Current Ratio too high?
Lennar's current Current Ratio of 8.75 is 53% below median its 10-year median of 18.72. Over the past 10 years, this metric has ranged from a low of 8.52 to a high of 22.26. The Homebuilding & Construction industry median Current Ratio is 2.46. Lennar's value of 8.75 is 255.7% above this industry median. Based on the distribution chart, Lennar ranks #9 out of 95 companies in the Homebuilding & Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Lennar has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lennar's Current Ratio compare to PHM and NVR?
According to the Homebuilding & Construction industry distribution chart, Lennar ranks #9 out of 95 companies for Current Ratio. This places Lennar in the top 10% of its industry — outperforming the majority of peers. The industry median Current Ratio is 2.46. Lennar's value of 8.75 is 255.7% above this benchmark. Historically, Lennar's own Current Ratio has ranged from 8.52 to 22.26 over the past decade. While the company's 10-year median is 18.72 vs. the industry median of 2.46, Lennar has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for a Homebuilding & Construction company?
The median Current Ratio among Homebuilding & Construction companies is 2.46, based on 95 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lennar's current Current Ratio of 8.75 is 255.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Homebuilding & Construction industry, the median Current Ratio is 2.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lennar's current Current Ratio is 8.75, which is 53% below median its own 10-year median of 18.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lennar stock overvalued right now?
Based on GuruFocus' analysis, Lennar (LEN) is currently considered Modestly Undervalued. The stock's GF Value™ is $126.26, compared to a current price of $93.86 — trading 25.7% below its estimated fair value. The current Current Ratio is 8.75, which is 53% below median its 10-year median of 18.72 and 255.7% above the Homebuilding & Construction industry median of 2.46. Lennar's overall GF Score™ is 75/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For Lennar (LEN), the current Current Ratio is 8.75 as of Feb. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lennar (LEN) Overvalued in 2026?
Based on GuruFocus' analysis, Lennar stock appears to be undervalued.
The current stock price of $93.86 is trading 25.7% below its estimated GF Value™ of $126.26.
GuruFocus considers Lennar to be Modestly Undervalued.
Key valuation signals for LEN:
Current Ratio: 8.75 (53% below median its 10-year median of 18.72)
GF Value™: $126.26 vs. price of $93.86 (25.7% below fair value)
Industry Position: 255.7% above the Homebuilding & Construction median (#9 of 95)
No single metric tells the full story. See the LEN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lennar is the second-largest public homebuilder in the United States, behind D.R. Horton, operating in 26 states. The company's homebuilding operations target first-time, move-up, and active adult homebuyers mainly under the Lennar brand name. Lennar's financial-services segment provides mortgage financing and related services to its homebuyers. Miami-based Lennar is also involved in multifamily construction and has invested in numerous housing-related technology startups.
75GF Score
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