Wedbush Has Negative Outlook of Meritage Homes Q2 Earnings

Meritage Homes Co. (NYSE:MTH - Free Report) - Investment analysts at Wedbush decreased their Q2 2025 earnings per share estimates for shares of Meritage Homes in a research report issued on Monday, February 3rd. Wedbush analyst J. Mccanless now forecasts that the construction company will post earnings of $2.05 per share for the quarter, down from their prior estimate of $2.80. Wedbush has a "Neutral" rating and a $103.00 price target on the stock. The consensus estimate for Meritage Homes' current full-year earnings is $10.02 per share. Wedbush also issued estimates for Meritage Homes' Q3 2025 earnings at $2.56 EPS, FY2025 earnings at $9.56 EPS, Q1 2026 earnings at $1.84 EPS, Q2 2026 earnings at $2.30 EPS, Q3 2026 earnings at $2.70 EPS and FY2026 earnings at $10.60 EPS.

A number of other equities research analysts also recently weighed in on the company. The Goldman Sachs Group dropped their price objective on Meritage Homes from $117.50 to $100.00 and set a "buy" rating on the stock in a research report on Tuesday, January 14th. JPMorgan Chase & Co. reaffirmed a "neutral" rating and issued a $98.50 price objective (down previously from $110.00) on shares of Meritage Homes in a research report on Friday, December 13th. Raymond James cut shares of Meritage Homes from an "outperform" rating to a "market perform" rating in a research report on Thursday, November 7th. Keefe, Bruyette & Woods cut their price target on shares of Meritage Homes from $97.00 to $90.00 and set a "market perform" rating on the stock in a report on Thursday. Finally, StockNews.com lowered Meritage Homes from a "hold" rating to a "sell" rating in a report on Saturday, January 11th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and five have assigned a buy rating to the stock. According to MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $106.25.

Meritage Homes Stock Up 0.9 %

NYSE:MTH traded up $0.69 during trading hours on Thursday, reaching $74.45. The company's stock had a trading volume of 611,092 shares, compared to its average volume of 1,004,388. The stock has a 50 day moving average price of $83.81 and a two-hundred day moving average price of $91.63. The company has a debt-to-equity ratio of 0.26, a quick ratio of 1.75 and a current ratio of 1.61. The company has a market capitalization of $5.39 billion, a P/E ratio of 5.69 and a beta of 1.88. Meritage Homes has a 12 month low of $73.05 and a 12 month high of $106.99.

Meritage Homes (NYSE:MTH - Get Free Report) last announced its quarterly earnings data on Wednesday, January 29th. The construction company reported $4.72 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.55 by $0.17. Meritage Homes had a net margin of 12.29% and a return on equity of 15.90%.

Hedge Funds Weigh In On Meritage Homes

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Intech Investment Management LLC raised its position in shares of Meritage Homes by 65.7% during the 3rd quarter. Intech Investment Management LLC now owns 17,259 shares of the construction company's stock worth $3,539,000 after purchasing an additional 6,843 shares during the last quarter. Allspring Global Investments Holdings LLC raised its holdings in shares of Meritage Homes by 32.1% during the third quarter. Allspring Global Investments Holdings LLC now owns 47,546 shares of the construction company's stock valued at $9,750,000 after acquiring an additional 11,558 shares during the last quarter. SG Americas Securities LLC lifted its position in shares of Meritage Homes by 47.3% in the third quarter. SG Americas Securities LLC now owns 1,364 shares of the construction company's stock valued at $280,000 after acquiring an additional 438 shares in the last quarter. Signaturefd LLC boosted its stake in shares of Meritage Homes by 125.2% in the third quarter. Signaturefd LLC now owns 509 shares of the construction company's stock worth $104,000 after acquiring an additional 283 shares during the last quarter. Finally, CWM LLC increased its position in shares of Meritage Homes by 15.5% during the third quarter. CWM LLC now owns 433 shares of the construction company's stock worth $89,000 after purchasing an additional 58 shares in the last quarter. 98.44% of the stock is owned by hedge funds and other institutional investors.

Meritage Homes Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, December 31st. Investors of record on Tuesday, December 17th were issued a $0.375 dividend. This represents a $1.50 annualized dividend and a yield of 2.01%. The ex-dividend date of this dividend was Tuesday, December 17th. Meritage Homes's payout ratio is presently 11.48%.

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.