Meritage Homes (NYSE:MTH) Hits New 12-Month Low - Here's Why

Meritage Homes Co. (NYSE:MTH - Get Free Report) hit a new 52-week low during trading on Monday . The company traded as low as $68.71 and last traded at $70.10, with a volume of 25621 shares trading hands. The stock had previously closed at $70.33.

Analysts Set New Price Targets

Several research firms have commented on MTH. Wedbush reaffirmed a "neutral" rating and set a $103.00 price objective on shares of Meritage Homes in a report on Tuesday, February 4th. UBS Group decreased their target price on shares of Meritage Homes from $126.00 to $118.00 and set a "buy" rating on the stock in a report on Wednesday, January 8th. Keefe, Bruyette & Woods dropped their price objective on Meritage Homes from $97.00 to $90.00 and set a "market perform" rating for the company in a research note on Thursday, February 6th. StockNews.com downgraded Meritage Homes from a "hold" rating to a "sell" rating in a research report on Monday, March 24th. Finally, Seaport Res Ptn upgraded shares of Meritage Homes from a "strong sell" rating to a "hold" rating in a research report on Thursday, March 6th. One analyst has rated the stock with a sell rating, five have assigned a hold rating and four have given a buy rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $106.25.

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Meritage Homes Price Performance

The firm has a market capitalization of $4.96 billion, a P/E ratio of 5.28 and a beta of 1.69. The company has a quick ratio of 1.75, a current ratio of 1.61 and a debt-to-equity ratio of 0.26. The business's 50-day simple moving average is $73.99 and its 200 day simple moving average is $85.50.

Meritage Homes (NYSE:MTH - Get Free Report) last issued its earnings results on Wednesday, January 29th. The construction company reported $4.72 EPS for the quarter, topping analysts' consensus estimates of $4.55 by $0.17. Meritage Homes had a net margin of 12.29% and a return on equity of 15.90%. Sell-side analysts forecast that Meritage Homes Co. will post 9.44 earnings per share for the current year.

Meritage Homes Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, March 31st. Stockholders of record on Monday, March 17th were issued a $0.43 dividend. This is a boost from Meritage Homes's previous quarterly dividend of $0.38. The ex-dividend date of this dividend was Monday, March 17th. This represents a $1.72 annualized dividend and a dividend yield of 2.49%. Meritage Homes's dividend payout ratio (DPR) is currently 13.16%.

Insider Buying and Selling

In other Meritage Homes news, CAO Alison Sasser sold 676 shares of the business's stock in a transaction dated Wednesday, February 19th. The shares were sold at an average price of $72.03, for a total value of $48,692.28. Following the transaction, the chief accounting officer now owns 5,933 shares in the company, valued at approximately $427,353.99. The trade was a 10.23 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Chairman Steven J. Hilton bought 11,000 shares of the company's stock in a transaction dated Monday, February 10th. The shares were purchased at an average price of $74.51 per share, with a total value of $819,610.00. Following the completion of the acquisition, the chairman now owns 811,192 shares of the company's stock, valued at $60,441,915.92. This trade represents a 1.37 % increase in their position. The disclosure for this purchase can be found here. Insiders have sold a total of 1,683 shares of company stock valued at $122,547 over the last three months. 2.00% of the stock is owned by company insiders.

Institutional Investors Weigh In On Meritage Homes

A number of large investors have recently made changes to their positions in MTH. Versant Capital Management Inc boosted its holdings in Meritage Homes by 77.7% in the first quarter. Versant Capital Management Inc now owns 606 shares of the construction company's stock valued at $43,000 after acquiring an additional 265 shares in the last quarter. Greenhaven Associates Inc. grew its holdings in shares of Meritage Homes by 94.1% during the 1st quarter. Greenhaven Associates Inc. now owns 1,434,368 shares of the construction company's stock worth $101,668,000 after acquiring an additional 695,355 shares during the period. Wealth Enhancement Advisory Services LLC raised its position in shares of Meritage Homes by 8.6% in the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 13,279 shares of the construction company's stock worth $2,042,000 after acquiring an additional 1,050 shares in the last quarter. Phocas Financial Corp. raised its position in shares of Meritage Homes by 25.9% in the 4th quarter. Phocas Financial Corp. now owns 23,848 shares of the construction company's stock worth $3,668,000 after acquiring an additional 4,911 shares in the last quarter. Finally, Universal Beteiligungs und Servicegesellschaft mbH purchased a new position in shares of Meritage Homes in the 4th quarter valued at approximately $7,151,000. 98.44% of the stock is currently owned by institutional investors.

About Meritage Homes

Meritage Homes Corporation, together with its subsidiaries, designs and builds single-family attached and detached homes in the United States. The company operates through two segments, Homebuilding and Financial Services. It acquires and develops land; and constructs, markets, and sells homes for entry-level and first move-up buyers in Arizona, California, Colorado, Utah, Texas, Florida, Georgia, North Carolina, South Carolina, and Tennessee.