Lennar initiated with a Perform at Oppenheimer

Oppenheimer analyst Tyler Batory initiated coverage of Lennar with a Perform rating and no price target. While the firm says it likes the company’s balance sheet, land book, scale, and market diversity, it thinks the company’s "price-first strategy" will weigh on financial performance compared with peers this year. It is possible Lennar was "more aggressive on price than might have been necessary" in the early part of this year to drive sales, said the firm, which also thinks this strategy presents risks if housing starts ramp and cost reductions and share gains end up more muted.