Lennar price target lowered to $108 from $125 at Argus

Argus analyst Christopher Graja lowered the firm's price target on Lennar to $108 from $125 and keeps a Buy rating on the shares. The reduction reflects the company's lower near-term earnings estimates and a slightly higher risk premium but still reflects the firm's optimism for a market recovery and compelling valuation for the shares, the analyst tells investors in a research note. In the current housing environment, the largest builders have the operating efficiency, financial strength, and access to capital to build affordable homes and still be profitable, the firm added.