Berkshire Hathaway has acquired nearly a 10% stake in Miami-based homebuilder Lennar, purchasing about 2.7 million Class A shares worth $1.8 billion. This move comes as Lennar reported weak third-quarter earnings and forecasted lower-than-expected guidance due to rising mortgage rates that have reduced home affordability. Despite Lennar's stock dropping over 30% in the past year, Berkshire's investment reflects a value-driven strategy, betting on the long-term potential of the housing market amid current challenges. The conglomerate has a history of investing in homebuilders and related industries, positioning itself to benefit when market conditions improve.
Lennar shares are up 6.17% at USD 82.90 on Pluang, reflecting a positive market reaction to Berkshire Hathaway's stake acquisition. Berkshire's own shares rose 0.49% to USD 504.54 as of Sep 23, 2026 02:31 WIB.
Lennar Corporation experienced a challenging third quarter, reporting $8.05 billion in revenue and a 48% year-over-year decline in adjusted EPS to $1.23. New home orders fell 9%, prompting management to lower full-year home delivery guidance. Despite...
Barclays lowered its price target for Lennar Corporation to $70 from a higher level, citing a 52% drop in Q3 net earnings to $284 million and an 8.6% revenue decline to $8.05 billion. The homebuilder faces headwinds from rising mortgage rates and wea...
