Why These 15 Real Estate Stocks Are Plunging In 2025

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11. Landsea Homes Corp (NASDAQ:LSEA)

Number of Hedge Fund Holders In Q4 2024: 23

Landsea Homes Corp (NASDAQ:LSEA) is a Dallas-based residential homebuilder.

The stock is down significantly so far in 2025 due to it reporting weaker-than-expected guidance for 2025. Gross margins are projected at 13-14% on a GAAP basis for Q1 2025.

This is significantly lower than the industry average, with full-year gross margins expected at only 15% GAAP (20% adjusted).

Moreover, Landsea’s debt-to-capital ratio increased to 51.8% by December 31, 2024, compared to 44.1% a year earlier.

Barclays then reduced its price target for Landsea Homes from $9.00 to $7.00 and maintained an “equal weight” rating. There have also been significant insider selling and activist investor pressure.

The consensus price target of $13.75 implies 88.1% upside.

LSEA stock is down 13.90% year-to-date.

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