Lennar downgraded to Underperform from In Line at Evercore ISI

Evercore ISI downgraded Lennar (LEN) to Underperform from In Line with a price target of $92, down from $114. The company reported a weaker than anticipated fiscal Q4 and Q1 guidance, the analyst tells investors in a research note. The firm says demand conditions in the quarter were softer than anticipated and incentives remained elevated. Evercore believes Lennar has not yet reached the inflection point where its overhead savings can outweigh technology investments. There is still downside risk to the company’s earnings if market conditions do not improve in 2026, the firm adds.