Lennar Stock Moves Higher on Dividend Hike

The equity sports an over 45% year-over-year lead

Digital Content Manager
Jan 13, 2022 at 10:48 AM
facebook twitter linkedin


The shares of Lennar Corporation (NYSE:LEN) are up 2.4% to trade at $110.56 at last check, after the home construction company increased its annual dividend by 50% to $1.50 per share.

The security has been volatile since notching a Dec. 13, all-time high of $117.50, pulling all the way back to the $100 level before rallying again over the past few days. Lennar stock is now looking to notch its fourth-straight win, and currently sports a 45.8% year-over-year lead.

The brokerage bunch is relatively split towards LEN, with seven of the 12 in question carrying a "buy" or better rating, while the remaining five said "hold." Should some of those firms start to change their tune, the security could climb even higher. The 12-month consensus target price of $131 is already a 19% premium to current levels, though.

A shift in the options pits would also create tailwinds for Lennar stock. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), LEN sports a 10-day put/call volume ratio of 1.75, which sits higher than 98% of readings from the past year. In other words, long puts have rarely been more popular.

Lastly, the security is seeing attractively priced premiums. LEN's Schaeffer's Volatility Index (SVI) of 31% stands higher than just 15% of readings in its annual range. This means that options players are pricing in relatively low volatility expectations at the moment.

 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 


 


 
Special Offers from Schaeffer's Trading Partners