LEN
Lennar Corporation
Is LEN Halal?
Home builder — residential construction permissible.
What You Should Know
Lennar builds homes and provides financial services. Core construction is permissible. Finance arm involves some interest. Its May 2026 Form 10-Q reports $33,701.455 million of assets, $4,047.487 million of corporate debt, $2,143.778 million of cash and restricted cash, $1,473.804 million of receivables and $7,939.872 million of quarterly revenue. Debt/assets is 12.01%, receivables-plus-cash/assets is 10.73%, and disclosed homebuilding interest income is 0.12%; mortgage, warehouse and commercial-loan activities remain qualitative concerns.
⚠️ Concerns
- •Finance subsidiary (riba)
- •Mortgage warehouse and commercial-loan funding
- •Multifamily and technology investments add non-core activities
- •Housing market dependency and consolidated VIEs
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-05-31; calculated 2026-07-14.
4,047.487 / 33,701.455
2,143.778 / 33,701.455
3,617.582 / 33,701.455
9.4 / 7,939.872
- Financial
- Pass
- Overall
- Incomplete
Debt/assets is 12.01%, liquidity/assets is 6.36%, receivables-plus-cash/assets is 10.73% and disclosed interest income/revenue is 0.12%; activity classification remains incomplete.
- Financial
- Pass
- Overall
- Incomplete
Debt, liquidity and receivables-plus-cash ratios are below the examined MSCI total-assets limits; mortgage-finance activity remains incomplete.
- Financial
- Pass
- Overall
- Incomplete
Debt/assets and identifiable conventional liquidity/assets are below the examined Malaysia limits; this is not an official SAC classification and activity remains incomplete.
- Financial
- Not calculated
- Overall
- Incomplete
A properly licensed and reproducible historical market-cap series is not stored.
Business-activity disclosure
Lennar builds homes and also operates mortgage, title, multifamily and other investment businesses. Homebuilding is the core permissible activity, but the mortgage-finance, warehouse-funding and commercial-loan activities require a separate qualitative Sharia review.
Limitation: The filing disaggregates segment revenue and financial assets but does not isolate a universal prohibited-revenue numerator for interest embedded in mortgage revenue, derivatives or all other activities.
Purification
Lennar discloses $9.4 million of second-quarter homebuilding interest income, while additional loan interest is embedded in Financial Services revenue; ZakatInvest does not prescribe a fixed scholar-approved purification percentage.
Inputs, assumptions and primary sources
- Amounts are USD millions from Lennar's May 31, 2026 Form 10-Q.
- Interest-bearing debt is $4,047.487 million of Homebuilding senior notes and other debts payable; Financial Services warehouse facilities are separately disclosed and excluded from corporate debt to avoid double-counting collateralized non-recourse funding.
- Cash includes $2,091.695 million of consolidated cash and equivalents plus $82.083 million of restricted cash.
- Accounts receivable is $1,473.804 million across Homebuilding, Financial Services and Multifamily segments; loans held for sale are not added to avoid treating inventory-like mortgage assets as ordinary receivables.
- Quarterly total revenue is $7,939.872 million. The filing discloses $9.4 million of second-quarter homebuilding interest income; Financial Services loan interest is embedded in segment revenue.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
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