Lennar price target raised to $161 from $153 at Evercore ISI

Evercore ISI analyst Stephen Kim raised the firm’s price target on Lennar to $161 from $153 and keeps an Outperform rating on the shares after the company reported Q2 adjusted EPS ahead of the firm’s and Street consensus estimate and confirmed that housing demand continued to strengthen throughout the quarter. “Somewhat surprisingly,” the stock rallied only about 4.5%, which the firm sees as suggesting that “investors are inclined to fade the homebuilders after their powerful run.” However, Evercore believes the results demonstrate that second half and FY24 fundamentals are on track to “dramatically exceed the Street’s prior expectations on virtually every salient metric” and it has raised its “Street-high estimates” and price target accordingly.