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IHG vs LEN-B

IHG
InterContinental Hotels Group PLC
NEUTRAL
Price
$144.47
Market Cap
$21.53B
Sector
Consumer Cyclical
AI Confidence
85%
LEN-B
Lennar Corporation
NEUTRAL
Price
$89.93
Market Cap
$22.15B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
IHG
29.67
LEN-B
12.94
Forward P/E
IHG
21.7
LEN-B
5.55
P/B Ratio
IHG
-47.59
LEN-B
1.01
P/S Ratio
IHG
4.15
LEN-B
0.67
EV/EBITDA
IHG
20.3
LEN-B
7.59

Profitability

Gross Margin
IHG
61.94%
LEN-B
16.87%
Operating Margin
IHG
22.21%
LEN-B
3.64%
Profit Margin
IHG
14.61%
LEN-B
5.39%
ROE
IHG
--
LEN-B
8.08%
ROA
IHG
15.02%
LEN-B
4.3%

Growth

Revenue Growth
IHG
2.7%
LEN-B
-13.3%
Earnings Growth
IHG
7.7%
LEN-B
-52.6%

Financial Health

Debt/Equity
IHG
--
LEN-B
0.25
Current Ratio
IHG
0.98
LEN-B
8.33
Quick Ratio
IHG
0.93
LEN-B
3.54

Dividends

Dividend Yield
IHG
1.28%
LEN-B
2.22%
Payout Ratio
IHG
35.56%
LEN-B
28.78%

AI Verdict

IHG NEUTRAL

IHG demonstrates strong operational health with a Piotroski F-Score of 7/9, indicating a robust financial foundation. However, the stock is significantly overvalued, trading at $144.47 against an intrinsic value of $90.34 and an analyst target of $137.50. While margins remain healthy and the dividend is sustainable, the technical trend is heavily bearish (10/100) and recent earnings performance has been weak, with only one beat in the last four quarters. The company's asset-light strategy is evident in the negative Price/Book ratio, but sluggish revenue growth (2.7%) limits the catalyst for further price appreciation.

Strengths
Strong operational health (Piotroski F-Score 7/9)
High gross margins (61.94%) and operating margins (22.21%)
Sustainable dividend payout ratio (35.56%)
Risks
Significant valuation premium over intrinsic value ($144.47 vs $90.34)
Severely bearish technical trend (10/100)
Stagnant revenue growth (2.7% YoY)
LEN-B NEUTRAL

Lennar Corporation exhibits a strong deterministic health profile with a Piotroski F-Score of 7/9 and an exceptionally clean balance sheet (Debt/Equity 0.25). While the stock is significantly undervalued relative to its Graham Number ($117.86), it is currently plagued by severe fundamental deterioration, with earnings plummeting over 50% YoY. The disconnect between strong solvency and crashing growth, coupled with a 0/100 technical trend, suggests a value trap scenario in the short term despite long-term defensive viability.

Strengths
Strong financial health indicated by a Piotroski F-Score of 7/9
Exceptional liquidity with a Current Ratio of 8.33 and Quick Ratio of 3.54
Very low leverage with a Debt/Equity ratio of 0.25
Risks
Severe earnings contraction with YoY growth at -52.60%
Negative revenue growth trends (-13.30% YoY and -13.26% Q/Q)
Strongly bearish technical momentum (Technical Trend: 0/100)

Compare Another Pair

IHG vs LEN-B: Head-to-Head Comparison

This page compares InterContinental Hotels Group PLC (IHG) and Lennar Corporation (LEN-B) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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