KBH vs LEN: Correlation
Measured on weekly returns over the past three years, KB Home (KBH) and Lennar (LEN) carry a correlation of 0.87, a very strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are KBH and LEN?
Across a 3-year window, the weekly returns of KBH and LEN correlate at 0.87, very strong, meaning they move nearly in lockstep. The relationship has been stable: the 1-year correlation (0.85) sits close to the 3-year figure. Stretching to 5 years gives 0.85, with an annualized covariance of 1016.5 %².
In KBH's tracked universe of 27 assets, LEN sits right near the top at #3. The last year tells two different stories: KBH led by 22.8 percentage points, -12.1% for KBH against -34.9% for LEN.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
KBH vs LEN: side by side
| KBH (KB Home) | LEN (Lennar) | |
|---|---|---|
| 1-year return | -12.1% | -34.9% |
| 5-year return | +37.4% | -11.7% |
| Volatility (ann.) | 35.8% | 32.6% |
| Beta vs S&P 500 | 0.78 | 0.84 |
| Max drawdown (3Y) | -48.3% | -54.5% |
| Market cap | – | $20.5B |
| P/E (trailing) | 13.6 | 13.7 |
| Dividend yield | 1.78% | 2.29% |
| Sector / category | US Listed | Consumer Discretionary |
Year-by-year returns
| Year | KBH | LEN |
|---|---|---|
| 2022 | -27.5% | -20.6% |
| 2023 | +99.0% | +66.9% |
| 2024 | +6.6% | -7.3% |
| 2025 | -12.7% | -20.8% |
| 2026 | -1.7% | -15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are KBH and LEN good diversifiers for each other?
No. With a correlation of 0.87, KBH and LEN move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between KBH and LEN?
As of 2026-08-27, the correlation of weekly returns between KBH and LEN is 0.87 over 3 years, 0.85 over 1 year and 0.85 over 5 years.
Is LEN a good diversifier for KBH?
No. With a correlation of 0.87, KBH and LEN move nearly in lockstep, so holding both adds very little diversification.
What does a correlation of 0.87 mean?
A reading of 0.87 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/kbh-vs-len.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/kbh-vs-len/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: KBH correlations · LEN correlations
