(MTH) Meritage - Overview

Sector: Consumer Cyclical | Industry: Residential Construction | Exchange: NYSE (USA) | Market Cap: 4.376m USD | Total Return: -3.3% in 12m

Homes, Land Development, Mortgage Services, Title Services
Total Rating 39
Safety 74
Buy Signal -0.75
Residential Construction
Industry Rotation: -4.0
Market Cap: 4.38B
Avg Turnover: 64.1M USD
ATR: 3.62%
Peers RS (IBD): 31.0
Risk 5d forecast
Volatility38.5%
Rel. Tail Risk-8.45%
Reward TTM
Sharpe Ratio-0.20
Alpha-30.81
Character TTM
Beta1.165
Beta Downside1.802
Drawdowns 3y
Max DD42.95%
CAGR/Max DD0.11
EPS (Earnings per Share) EPS (Earnings per Share) of MTH over the last years for every Quarter: "2021-03": 3.44, "2021-06": 4.36, "2021-09": 5.25, "2021-12": 6.25, "2022-03": 5.79, "2022-06": 6.77, "2022-09": 7.1, "2022-12": 7.09, "2023-03": 3.54, "2023-06": 5.02, "2023-09": 6, "2023-12": 5.38, "2024-03": 5.06, "2024-06": 6.31, "2024-09": 2.67, "2024-12": 4.72, "2025-03": 1.69, "2025-06": 2.04, "2025-09": 1.55, "2025-12": 1.2,
EPS CAGR: -34.27%
EPS Trend: -78.5%
Last SUE: -0.39
Qual. Beats: 0
Revenue Revenue of MTH over the last years for every Quarter: 2021-03: 1088.532, 2021-06: 1283.264, 2021-09: 1265.113, 2021-12: 1504.408, 2022-03: 1291.606, 2022-06: 1417.52, 2022-09: 1584.329, 2022-12: 1998.748, 2023-03: 1285.039, 2023-06: 1573.61, 2023-09: 1619.209, 2023-12: 1660.405, 2024-03: 1474.754, 2024-06: 1702.049, 2024-09: 1596.519, 2024-12: 1621.713, 2025-03: 1364.607, 2025-06: 1633.411, 2025-09: 1424.194, 2025-12: 1435.756,
Rev. CAGR: 2.86%
Rev. Trend: 2.2%
Last SUE: -0.62
Qual. Beats: 0
Warnings

choppy

Tailwinds

No distinct edge detected

Description: MTH Meritage

Meritage Homes Corporation (MTH) is a US-based homebuilder operating in the Homebuilding GICS Sub-Industry. The company designs and constructs single-family homes, targeting entry-level and first move-up buyers.

MTHs operations are divided into two segments: Homebuilding and Financial Services. The Homebuilding segment involves land acquisition, development, construction, marketing, and sales of homes across 12 states. The Financial Services segment provides ancillary services such as title, escrow, mortgage, and insurance to its homebuyers, a common practice among large homebuilders to streamline the purchasing process and capture additional revenue.

The company focuses on a specific demographic within the housing market, indicating a strategy to cater to growing demand from new homeowners and those upgrading their initial residences.

To gain a deeper understanding of MTHs performance and market position, consider exploring its detailed financial metrics on ValueRay.

Headlines to Watch Out For
  • Mortgage interest rates impact homebuyer demand
  • Land acquisition costs affect homebuilding margins
  • Housing market conditions dictate sales volume
  • Labor and material costs influence construction expenses
  • Regulatory changes impact land development timelines
Piotroski VR‑10 (Strict) 5.0
Net Income: 453.0m TTM > 0 and > 6% of Revenue
FCF/TA: 0.01 > 0.02 and ΔFCF/TA 4.79 > 1.0
NWC/Revenue: 113.4% < 20% (prev 97.46%; Δ 15.99% < -1%)
CFO/TA 0.02 > 3% & CFO 118.3m > Net Income 453.0m
Net Debt (1.11b) to EBITDA (589.5m): 1.89 < 3
Current Ratio: 12.12 > 1.5 & < 3
Outstanding Shares: last quarter (69.8m) vs 12m ago -4.82% < -2%
Gross Margin: 19.80% > 18% (prev 0.25%; Δ 1.95k% > 0.5%)
Asset Turnover: 79.08% > 50% (prev 89.28%; Δ -10.20% > 0%)
Interest Coverage Ratio: 189.5 > 6 (EBITDA TTM 589.5m / Interest Expense TTM 2.98m)
Altman Z'' 10.00
A: 0.87 (Total Current Assets 7.24b - Total Current Liabilities 597.6m) / Total Assets 7.65b
B: 0.68 (Retained Earnings 5.19b / Total Assets 7.65b)
C: 0.08 (EBIT TTM 564.2m / Avg Total Assets 7.41b)
D: 2.11 (Book Value of Equity 5.20b / Total Liabilities 2.46b)
Altman-Z'' Score: 10.64 = AAA
Beneish M -2.55
DSRI: 1.31 (Receivables 307.0m/256.3m, Revenue 5.86b/6.40b)
GMI: 1.26 (GM 19.80% / 24.99%)
AQI: 1.00 (AQ_t 0.04 / AQ_t-1 0.04)
SGI: 0.92 (Revenue 5.86b / 6.40b)
TATA: 0.04 (NI 453.0m - CFO 118.3m) / TA 7.65b)
Beneish M-Score: -2.55 (Cap -4..+1) = A
What is the price of MTH shares? As of April 06, 2026, the stock is trading at USD 62.16 with a total of 749,094 shares traded.
Over the past week, the price has changed by +3.48%, over one month by -9.15%, over three months by -6.34% and over the past year by -3.34%.
Is MTH a buy, sell or hold? Meritage has received a consensus analysts rating of 3.83. Therefore, it is recommended to buy MTH.
  • StrongBuy: 4
  • Buy: 2
  • Hold: 6
  • Sell: 0
  • StrongSell: 0
What are the forecasts/targets for the MTH price?
Wallstreet Target Price 83 33.5%
Analysts Target Price 83 33.5%
MTH Fundamental Data Overview as of 06 April 2026
P/E Trailing = 9.789
P/E Forward = 10.7181
P/S = 0.7471
P/B = 0.7992
P/EG = 0.5394
Revenue TTM = 5.86b USD
EBIT TTM = 564.2m USD
EBITDA TTM = 589.5m USD
Long Term Debt = 1.83b USD (from longTermDebt, last quarter)
Short Term Debt = 60.5m USD (from shortTermDebt, last quarter)
Debt = 1.89b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.11b USD (from netDebt column, last quarter)
Enterprise Value = 5.49b USD (4.38b + Debt 1.89b - CCE 775.2m)
Interest Coverage Ratio = 189.5 (Ebit TTM 564.2m / Interest Expense TTM 2.98m)
EV/FCF = 59.32x (Enterprise Value 5.49b / FCF TTM 92.6m)
FCF Yield = 1.69% (FCF TTM 92.6m / Enterprise Value 5.49b)
FCF Margin = 1.58% (FCF TTM 92.6m / Revenue TTM 5.86b)
Net Margin = 7.73% (Net Income TTM 453.0m / Revenue TTM 5.86b)
Gross Margin = 19.80% ((Revenue TTM 5.86b - Cost of Revenue TTM 4.70b) / Revenue TTM)
Gross Margin QoQ = 16.39% (prev 19.36%)
Tobins Q-Ratio = 0.72 (Enterprise Value 5.49b / Total Assets 7.65b)
Interest Expense / Debt = 0.06% (Interest Expense 1.13m / Debt 1.89b)
Taxrate = 18.52% (19.1m / 103.1m)
NOPAT = 459.7m (EBIT 564.2m * (1 - 18.52%))
Current Ratio = 12.12 (Total Current Assets 7.24b / Total Current Liabilities 597.6m)
Debt / Equity = 0.36 (Debt 1.89b / totalStockholderEquity, last quarter 5.20b)
Debt / EBITDA = 1.89 (Net Debt 1.11b / EBITDA 589.5m)
Debt / FCF = 12.04 (Net Debt 1.11b / FCF TTM 92.6m)
Total Stockholder Equity = 5.24b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.12% (Net Income 453.0m / Total Assets 7.65b)
RoE = 8.65% (Net Income TTM 453.0m / Total Stockholder Equity 5.24b)
RoCE = 7.99% (EBIT 564.2m / Capital Employed (Equity 5.24b + L.T.Debt 1.83b))
RoIC = 6.51% (NOPAT 459.7m / Invested Capital 7.07b)
WACC = 7.06% (E(4.38b)/V(6.27b) * Re(10.08%) + D(1.89b)/V(6.27b) * Rd(0.06%) * (1-Tc(0.19)))
Discount Rate = 10.08% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -2.81%
[DCF] Terminal Value 75.25% ; FCFF base≈92.6m ; Y1≈60.8m ; Y5≈27.8m
 [DCF] Fair Price = N/A (negative equity: EV 667.1m - Net Debt 1.11b = -447.3m; debt exceeds intrinsic value)
 EPS Correlation: -78.52 | EPS CAGR: -34.27% | SUE: -0.39 | # QB: 0
Revenue Correlation: 2.18 | Revenue CAGR: 2.86% | SUE: -0.62 | # QB: 0
EPS next Quarter (2026-06-30): EPS=1.62 | Chg7d=+0.013 | Chg30d=-0.167 | Revisions Net=-4 | Analysts=8
EPS current Year (2026-12-31): EPS=5.89 | Chg7d=+0.037 | Chg30d=-0.453 | Revisions Net=-6 | Growth EPS=-7.2% | Growth Revenue=-0.8%
EPS next Year (2027-12-31): EPS=7.53 | Chg7d=+0.027 | Chg30d=-0.311 | Revisions Net=-4 | Growth EPS=+27.8% | Growth Revenue=+9.9%
[Analyst] Revisions Ratio: -1.00 (0 Up / 4 Down within 30d for Next Quarter)
[Growth] Implied Growth Rate = -0.1% (Discount Rate 10.1% - Earnings Yield 10.2%)
[Growth] Growth Spread = -3.8% (Analyst -3.9% - Implied -0.1%)
External Resources
Dataroma Stockcircle