Lennar Corporation (LEN)
Return on total capital
| Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 5,149,928 | 5,474,528 | 5,430,628 | 5,327,268 | 5,177,871 | 5,135,641 | 5,487,511 | 6,088,351 | 6,110,444 | 5,951,194 | 6,057,124 | 5,506,664 | 6,153,590 | 5,836,560 | 4,863,734 | 4,421,662 | 3,482,201 | 3,203,830 | 3,011,854 | 2,887,338 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 27,870,100 | 27,412,500 | 26,877,900 | 26,647,800 | 26,580,700 | 25,656,600 | 25,015,100 | 24,418,300 | 24,100,500 | 22,977,300 | 21,598,300 | 20,679,100 | 20,816,400 | 20,650,200 | 19,576,100 | 18,896,200 | 17,994,900 | 17,172,100 | 16,542,700 | 16,044,600 |
| Return on total capital | 18.48% | 19.97% | 20.20% | 19.99% | 19.48% | 20.02% | 21.94% | 24.93% | 25.35% | 25.90% | 28.04% | 26.63% | 29.56% | 28.26% | 24.85% | 23.40% | 19.35% | 18.66% | 18.21% | 18.00% |
November 30, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $5,149,928K ÷ ($—K + $27,870,100K)
= 18.48%
Lennar Corporation's return on total capital has displayed some fluctuations over the reporting periods. The ratios have shown an upward trend from February 2020 to August 2021, indicating the company's ability to generate earnings in relation to the total capital employed. The highest return was recorded in August 2021 at 28.26%.
However, there has been a slight decline in the return on total capital figures from August 2021 to November 2024. Despite this, the company has maintained relatively high returns throughout this period, suggesting effective utilization of its capital resources. Notably, Lennar Corporation's return on total capital remained above 18% in all periods.
Overall, the trend in Lennar Corporation's return on total capital demonstrates a strong performance in generating profits relative to the total capital invested in the business, albeit with some variations in recent periods.
Peer comparison
Nov 30, 2024