Warren Buffett's Berkshire Now Owns 12% of This Homebuilder — Just as America's Housing Market Deteriorates

Impact · against what's priced in

Berkshire's increased stake provides a valuation floor for Lennar, but this is offset by mortgage rates rising to 7.4%, well above the 6.8% assumed in Q4 guidance. The core risk is now whether the current price, which assumes margin stability near 15.5%, can hold as affordability deteriorates further.

LEN−0.40

Challenges what's priced in

The price assumes