Lennar gains as Berkshire Hathaway buys more shares

Berkshire Hathaway purchased approximately $212.4 million worth of Lennar Corporation shares between September 17 and September 21, according to a Form 4 filing with the Securities and Exchange Commission. Lennar stock climbed 5.6% in morning trading on Tuesday following the disclosure.

The filing showed Berkshire acquired 2.67 million Class A shares and 75,021 Class B shares during the three-day period. The purchases brought Berkshire's total holdings to 23.72 million Class A shares and 528,217 Class B shares. Berkshire is now required to disclose transactions under SEC Section 16 rules because it owns more than 10% of Lennar.

The investment comes after Lennar reported quarterly results that prompted several analysts to reduce their price targets. The homebuilder said new orders fell 9% to 20,879 homes and deliveries dropped 3% to 20,840 homes. Gross margin declined to 15.8% from 17.5% in the prior period.

Lennar also lowered its 2026 delivery forecast to 80,000 to 81,000 homes from a previous estimate of 82,000 to 83,000 homes.

Raymond James maintained an Underperform rating on the stock. Keefe, Bruyette & Woods reduced its price target to $75, while Truist kept a Hold rating with a $75 target. Analysts cited mortgage rate pressures and land-banking margin compression in their assessments.

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