Meritage Homes Q3 EPS Reduced by Keefe, Bruyette & Woods

Meritage Homes Corporation (NYSE:MTH) – Analysts at Keefe, Bruyette & Woods dropped their Q3 2026 earnings per share (EPS) estimates for Meritage Homes in a report issued on Monday, February 2nd. Keefe, Bruyette & Woods analyst J. Rahmani now anticipates that the construction company will post earnings of $1.57 per share for the quarter, down from their previous forecast of $1.67. Keefe, Bruyette & Woods has a “Market Perform” rating and a $76.00 price target on the stock. The consensus estimate for Meritage Homes’ current full-year earnings is $9.44 per share. Keefe, Bruyette & Woods also issued estimates for Meritage Homes’ Q4 2026 earnings at $1.66 EPS.

Meritage Homes (NYSE:MTH) last issued its earnings results on Wednesday, January 28th. The construction company reported $1.67 EPS for the quarter, topping the consensus estimate of $1.55 by $0.12. Meritage Homes had a return on equity of 9.28% and a net margin of 7.73%.The company had revenue of $1.44 billion during the quarter, compared to analyst estimates of $1.51 billion. During the same quarter last year, the firm earned $4.72 EPS. The business’s revenue was down 11.9% on a year-over-year basis.

MTH has been the subject of several other reports. UBS Group set a $95.00 price target on shares of Meritage Homes in a report on Friday. JPMorgan Chase & Co. lifted their target price on Meritage Homes from $60.00 to $69.00 and gave the company a “neutral” rating in a research note on Tuesday, November 4th. Zacks Research cut Meritage Homes from a “hold” rating to a “strong sell” rating in a research report on Wednesday, December 10th. Citizens Jmp assumed coverage on Meritage Homes in a report on Wednesday, January 7th. They issued a “market outperform” rating and a $90.00 price target on the stock. Finally, Bank of America restated a “neutral” rating and set a $82.00 price objective (up previously from $75.00) on shares of Meritage Homes in a research report on Friday, January 16th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Meritage Homes currently has an average rating of “Hold” and a consensus price target of $83.63.

Meritage Homes Stock Up 3.5%

MTH stock opened at $72.65 on Wednesday. The firm has a market cap of $5.12 billion, a price-to-earnings ratio of 11.50, a PEG ratio of 1.09 and a beta of 1.48. Meritage Homes has a 1-year low of $59.27 and a 1-year high of $84.74. The firm has a fifty day moving average price of $70.91 and a two-hundred day moving average price of $71.86. The company has a debt-to-equity ratio of 0.35, a current ratio of 2.10 and a quick ratio of 1.95.

Institutional Trading of Meritage Homes

Hedge funds have recently added to or reduced their stakes in the business. Allspring Global Investments Holdings LLC lifted its holdings in Meritage Homes by 8.8% in the 2nd quarter. Allspring Global Investments Holdings LLC now owns 63,008 shares of the construction company’s stock valued at $4,472,000 after acquiring an additional 5,086 shares during the last quarter. Vaughan Nelson Investment Management L.P. acquired a new position in shares of Meritage Homes in the 3rd quarter worth approximately $37,477,000. Vanguard Personalized Indexing Management LLC raised its holdings in shares of Meritage Homes by 14.0% in the 2nd quarter. Vanguard Personalized Indexing Management LLC now owns 15,424 shares of the construction company’s stock worth $1,033,000 after purchasing an additional 1,898 shares in the last quarter. Ceredex Value Advisors LLC bought a new stake in shares of Meritage Homes in the 2nd quarter worth approximately $9,989,000. Finally, Connor Clark & Lunn Investment Management Ltd. lifted its stake in Meritage Homes by 348.4% during the second quarter. Connor Clark & Lunn Investment Management Ltd. now owns 13,702 shares of the construction company’s stock valued at $918,000 after purchasing an additional 10,646 shares during the last quarter. Institutional investors own 98.44% of the company’s stock.

Meritage Homes Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, December 31st. Investors of record on Wednesday, December 17th were given a $0.43 dividend. This represents a $1.72 annualized dividend and a yield of 2.4%. The ex-dividend date was Wednesday, December 17th. Meritage Homes’s dividend payout ratio (DPR) is currently 27.22%.

Meritage Homes News Summary

Here are the key news stories impacting Meritage Homes this week:

• Positive Sentiment: Citizens Jmp raised several near‑term quarterly EPS forecasts (Q2 2026 to $1.38 from $1.37; Q3 2026 to $1.46 from $1.44; Q4 2026 to $1.54 from $1.51; Q4 2027 to $1.66 from $1.60), and keeps a Market Outperform rating with a $90 target — signals that that firm sees operational resilience in upcoming quarters.
• Neutral Sentiment: Citizens Jmp trimmed one quarter (Q2 2027 to $1.44 from $1.48) — a small quarterly downgrade that appears offset by the other upward revisions and the firm’s continued bullish price target.
• Negative Sentiment: Citizens Jmp reduced its FY2026 EPS to $5.38 (from $5.63) and FY2027 EPS to $5.67 (from $6.03), lowering full‑year earnings expectations by a material amount — a negative for longer‑term growth expectations.
• Negative Sentiment: Keefe, Bruyette & Woods cut Q3 and Q4 2026 EPS estimates (Q3 to $1.57 from $1.67; Q4 to $1.66 from $1.79) and lowered its price target to $76 with a Market Perform rating, which reduces near‑term analyst upside. KBW price target cut report

Meritage Homes Company Profile

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.