Meritage Homes’ (MTH) “Neutral” Rating Reiterated at Bank of America

Bank of America restated their neutral rating on shares of Meritage Homes (NYSE:MTH) in a report published on Friday morning, MarketBeat reports. The brokerage currently has a $82.00 price target on the construction company’s stock, up from their previous price target of $75.00.

Several other equities analysts have also commented on MTH. The Goldman Sachs Group reaffirmed a “buy” rating and set a $90.00 price target on shares of Meritage Homes in a research report on Tuesday, January 13th. Citigroup started coverage on shares of Meritage Homes in a research note on Wednesday, January 7th. They set an “outperform” rating for the company. Citizens Jmp began coverage on Meritage Homes in a research report on Wednesday, January 7th. They issued a “market outperform” rating and a $90.00 target price on the stock. UBS Group reissued a “buy” rating and set a $104.00 price target (up previously from $101.00) on shares of Meritage Homes in a research report on Tuesday, January 6th. Finally, Evercore ISI set a $77.00 price target on Meritage Homes and gave the stock an “in-line” rating in a research note on Thursday, December 4th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, seven have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, Meritage Homes has a consensus rating of “Hold” and a consensus target price of $84.63.

Meritage Homes Stock Performance

Meritage Homes stock opened at $76.19 on Friday. The stock has a fifty day moving average price of $69.84 and a 200 day moving average price of $71.79. Meritage Homes has a 52 week low of $59.27 and a 52 week high of $84.74. The firm has a market capitalization of $5.36 billion, a P/E ratio of 7.74 and a beta of 1.48. The company has a current ratio of 1.95, a quick ratio of 1.95 and a debt-to-equity ratio of 0.35.

Meritage Homes (NYSE:MTH) last issued its quarterly earnings results on Tuesday, October 28th. The construction company reported $1.39 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.71 by ($0.32). The business had revenue of $1.42 billion during the quarter, compared to analyst estimates of $1.48 billion. Meritage Homes had a return on equity of 10.37% and a net margin of 8.96%.The firm’s quarterly revenue was down 11.8% on a year-over-year basis. During the same period in the previous year, the business posted $5.34 earnings per share. Meritage Homes has set its Q4 2025 guidance at 1.510-1.700 EPS. Equities research analysts anticipate that Meritage Homes will post 9.44 earnings per share for the current year.

Meritage Homes Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, December 31st. Shareholders of record on Wednesday, December 17th were given a $0.43 dividend. The ex-dividend date of this dividend was Wednesday, December 17th. This represents a $1.72 annualized dividend and a yield of 2.3%. Meritage Homes’s dividend payout ratio (DPR) is 17.48%.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in MTH. Norges Bank purchased a new stake in Meritage Homes during the 2nd quarter worth $75,148,000. Capital World Investors lifted its position in shares of Meritage Homes by 44.3% during the third quarter. Capital World Investors now owns 1,987,850 shares of the construction company’s stock worth $143,980,000 after purchasing an additional 609,866 shares during the last quarter. Balyasny Asset Management L.P. increased its holdings in Meritage Homes by 58.9% in the second quarter. Balyasny Asset Management L.P. now owns 1,423,013 shares of the construction company’s stock valued at $95,299,000 after buying an additional 527,265 shares during the last quarter. Vaughan Nelson Investment Management L.P. acquired a new stake in Meritage Homes during the third quarter valued at approximately $37,477,000. Finally, Groupama Asset Managment lifted its holdings in Meritage Homes by 100.0% during the 2nd quarter. Groupama Asset Managment now owns 1,000,000 shares of the construction company’s stock worth $66,970,000 after buying an additional 500,000 shares during the last quarter. 98.44% of the stock is owned by institutional investors and hedge funds.

About Meritage Homes

Meritage Homes Corporation is a national homebuilder and residential developer headquartered in Scottsdale, Arizona. Founded in 1985 as Winchester Homes and later rebranded to Meritage Homes, the company specializes in designing, constructing and selling single‐family detached and attached homes. With a focus on energy efficiency and sustainable building practices, Meritage Homes markets its properties under the GreenSmart program, which integrates high‐performance features aimed at reducing long‐term energy and water consumption for homebuyers.

The company’s core activities encompass land acquisition, residential community planning, home design, construction management and real estate sales.