Meritage Homes is upgraded to buy as shares now trade at 0.8x book value, offering attractive downside support. MTH demonstrates strong execution in procurement cost savings, community count growth, and a strategic shift toward first-time move-up buyers. Accretive share repurchases below book value and a >3% dividend yield enhance medium- to long-term shareholder returns.
Meritage (MTH) reported earnings 30 days ago. What's next for the stock?
Meritage Homes NYSE: MTH reported lower second-quarter sales, revenue and earnings as affordability pressures and economic uncertainty contributed to a slower-than-normal spring selling season. Still, management said demand was broadly stable sequentially, construction costs improved and the company maintained its full-year outlook for community growth while raising its expectations for 2026 closings and revenue.
Meritage Homes Corporation (MTH) Q2 2026 Earnings Call Transcript
Although the revenue and EPS for Meritage (MTH) give a sense of how its business performed in the quarter ended June 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Meritage Homes (MTH) came out with quarterly earnings of $1.42 per share, beating the Zacks Consensus Estimate of $1.3 per share. This compares to earnings of $2.04 per share a year ago.
Investors looking for stocks in the Building Products - Home Builders sector might want to consider either Meritage Homes (MTH) or NVR (NVR). But which of these two stocks is more attractive to value investors?
Meritage (MTH) reported earnings 30 days ago. What's next for the stock?
Meritage Homes Corporation (MTH) Shareholder/Analyst Call Prepared Remarks Transcript
MTH's downward earnings per share revisions since its first quarter release on April 22 earn the homebuilder a Zacks Rank #5 (Strong Sell).
Meritage Homes (MTH) remains rated Hold due to persistent weak demand and declining absorption, despite management's efforts on inventory control and the quick-close model. MTH's Q1 2026 saw home closing revenue fall 17% y/y, gross margin drop 450 bps to 17.5%, and net earnings decline 55% y/y. Incentive usage remains elevated, margins are pressured by higher lot costs, and order value fell 10% y/y despite a 17% increase in community count.
Meritage Homes Corporation (MTH) Q1 2026 Earnings Call Transcript