Citizens Jmp Has Negative View of Meritage Homes Q3 Earnings

Key Points

• Meritage Homes missed Q3 expectations: EPS was $1.11 versus the $1.17 consensus, while revenue of $1.18 billion fell short of $1.29 billion and declined 17.5% year over year.
• Citizens JMP cut its Q3 2027 EPS forecast to $1.26 from $1.47 and estimates Q3 2028 EPS at $1.61.
• Analyst sentiment is mixed but averages to a Hold, with a $72.44 consensus price target; four analysts rate the stock Buy, eight Hold, and two Sell.

Meritage Homes Corporation (NYSE:MTH - Free Report) - Analysts at Citizens Jmp decreased their Q3 2027 earnings per share estimates for shares of Meritage Homes in a research report issued on Friday, October 30th. Citizens Jmp analyst J. Mccanless now expects that the construction company will earn $1.26 per share for the quarter, down from their previous forecast of $1.47. The consensus estimate for Meritage Homes' current full-year earnings is $4.86 per share. Citizens Jmp also issued estimates for Meritage Homes' Q3 2028 earnings at $1.61 EPS.

Meritage Homes (NYSE:MTH - Get Free Report) last posted its quarterly earnings results on Wednesday, October 28th. The construction company reported $1.11 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.17 by ($0.06). The company had revenue of $1.18 billion during the quarter, compared to analyst estimates of $1.29 billion. Meritage Homes had a net margin of 5.79% and a return on equity of 6.69%. Meritage Homes's revenue for the quarter was down 17.5% on a year-over-year basis. During the same period in the prior year, the business earned $1.39 EPS.

MTH has been the topic of a number of other reports. The Goldman Sachs Group set a $82.00 target price on shares of Meritage Homes and gave the stock a "buy" rating in a research note on Monday, October 12th. UBS Group decreased their price target on shares of Meritage Homes from $88.00 to $85.00 and set a "buy" rating for the company in a research note on Friday, October 30th. Wolfe Research downgraded shares of Meritage Homes from a "strong-buy" rating to a "hold" rating in a research report on Friday, October 30th. Evercore set a $65.00 price objective on shares of Meritage Homes in a report on Friday, September 25th. Finally, Zacks Research lowered shares of Meritage Homes from a "hold" rating to a "strong sell" rating in a report on Thursday, October 8th. Four research analysts have rated the stock with a Buy rating, eight have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $72.44.

Meritage Homes Stock Performance

Shares of Meritage Homes stock opened at $67.13 on Wednesday. Meritage Homes has a one year low of $56.66 and a one year high of $85.38. The company has a market cap of $4.32 billion, a PE ratio of 15.15, a P/E/G ratio of 5.24 and a beta of 1.31. The company has a debt-to-equity ratio of 0.37, a quick ratio of 1.97 and a current ratio of 1.72. The business has a 50-day simple moving average of $64.12 and a 200-day simple moving average of $68.92.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in MTH. Essential Partners LLC raised its position in shares of Meritage Homes by 163.8% during the 1st quarter. Essential Partners LLC now owns 401 shares of the construction company's stock worth $25,000 after acquiring an additional 249 shares in the last quarter. Parallel Advisors LLC lifted its stake in Meritage Homes by 88.0% during the third quarter. Parallel Advisors LLC now owns 487 shares of the construction company's stock worth $31,000 after purchasing an additional 228 shares during the last quarter. Salomon & Ludwin LLC boosted its holdings in Meritage Homes by 106.9% in the third quarter. Salomon & Ludwin LLC now owns 573 shares of the construction company's stock valued at $36,000 after purchasing an additional 296 shares in the last quarter. IFP Advisors Inc boosted its holdings in Meritage Homes by 767.6% in the second quarter. IFP Advisors Inc now owns 616 shares of the construction company's stock valued at $52,000 after purchasing an additional 545 shares in the last quarter. Finally, Reyes Financial Architecture Inc. acquired a new position in Meritage Homes in the third quarter valued at approximately $39,000. Hedge funds and other institutional investors own 98.44% of the company's stock.

Meritage Homes Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Tuesday, September 15th were given a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a dividend yield of 2.9%. The ex-dividend date of this dividend was Tuesday, September 15th. Meritage Homes's dividend payout ratio is currently 43.34%.

Meritage Homes Company Profile

Meritage Homes Corporation is a residential construction company that designs and builds single-family homes in the United States. The company primarily serves entry-level and first-time homebuyers, offering homes in a range of floor plans and communities designed around affordability, energy efficiency and modern features.

Meritage Homes sells homes through its own communities and provides related services, including land acquisition and development, home design, construction, sales and customer support.

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