Shares of Lennar Corp (NYSE:LEN) rose Tuesday morning after reporting strong second-quarter numbers. While profit was off from the prior year, the company reported strong orders and deliveries for its recent quarter. Gross margins on home sales rose, as well. Things also looked good in the broader housing market. New-home sales hit their highest point in almost five years in May, rising 2.1% from the previous month. In other housing news, the Case-Shiller index of home prices in 10 major markets increased 1.8% in April. In this installment of Stock of the Day, Motley Fool analyst Matt Koppenheffer discusses how investors should analyze the housing market, and what he thinks of Lennar.

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