NEW YORK (TheStreet) -- Shares of KB Home (KBH) are higher by 2.2% to $17.04 in mid-morning trading on Wednesday as home builders get a boost from Lennar Corp.'s (LEN) strong earnings results, which were released this morning.
For the 2015 second quarter Lennar said it earned 79 cents per diluted share on revenue of $2.4 billion. Analysts polled by Thomson Reuters had forecast for earnings of 64 cents per share on 2.02 billion in revenue.
KB Home is a Los Angeles, CA.-based company that operates by constructing and selling homes.
Other home builder stocks gaining today include Hovnanian Enterprises (HOV), up by 2.76% to $2.80, M.D.C Holdings (MCD), gaining by 1.35% to $30.79, and D.R. Horton (DHI), rising by 1.52% to $28.03 this morning.
Separately, TheStreet Ratings team rates KB HOME as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate KB HOME (KBH) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and reasonable valuation levels. We feel its strengths outweigh the fact that the company has had sub par growth in net income."