MTH vs. TOL, CVCO, KBH, MHO, TPH, BZH, HOV, DHI, LEN, and NVR
Should you be buying Meritage Homes stock or one of its competitors? The main competitors of Meritage Homes include Toll Brothers (TOL), Cavco Industries (CVCO), KB Home (KBH), M/I Homes (MHO), Tri Pointe Homes (TPH), Beazer Homes USA (BZH), Hovnanian Enterprises (HOV), D.R. Horton (DHI), Lennar (LEN), and NVR (NVR). These companies are all part of the "homebuilding" industry.
Meritage Homes vs.
Toll Brothers (NYSE:TOL) and Meritage Homes (NYSE:MTH) are both construction companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, community ranking, valuation, institutional ownership, risk, profitability, dividends, analyst recommendations and media sentiment.
Toll Brothers pays an annual dividend of $1.00 per share and has a dividend yield of 1.0%. Meritage Homes pays an annual dividend of $1.72 per share and has a dividend yield of 2.7%. Toll Brothers pays out 6.9% of its earnings in the form of a dividend. Meritage Homes pays out 14.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Toll Brothers has raised its dividend for 5 consecutive years and Meritage Homes has raised its dividend for 2 consecutive years.
Toll Brothers received 220 more outperform votes than Meritage Homes when rated by MarketBeat users. Likewise, 56.70% of users gave Toll Brothers an outperform vote while only 54.19% of users gave Meritage Homes an outperform vote.
91.8% of Toll Brothers shares are owned by institutional investors. Comparatively, 98.4% of Meritage Homes shares are owned by institutional investors. 1.5% of Toll Brothers shares are owned by company insiders. Comparatively, 2.2% of Meritage Homes shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
In the previous week, Toll Brothers had 49 more articles in the media than Meritage Homes. MarketBeat recorded 61 mentions for Toll Brothers and 12 mentions for Meritage Homes. Meritage Homes' average media sentiment score of 1.14 beat Toll Brothers' score of 0.74 indicating that Meritage Homes is being referred to more favorably in the news media.
Toll Brothers has higher revenue and earnings than Meritage Homes. Meritage Homes is trading at a lower price-to-earnings ratio than Toll Brothers, indicating that it is currently the more affordable of the two stocks.
Toll Brothers currently has a consensus price target of $143.64, suggesting a potential upside of 37.98%. Meritage Homes has a consensus price target of $97.72, suggesting a potential upside of 52.45%. Given Meritage Homes' higher probable upside, analysts plainly believe Meritage Homes is more favorable than Toll Brothers.
Toll Brothers has a net margin of 14.03% compared to Meritage Homes' net margin of 12.29%. Toll Brothers' return on equity of 18.32% beat Meritage Homes' return on equity.
Toll Brothers has a beta of 1.45, meaning that its share price is 45% more volatile than the S&P 500. Comparatively, Meritage Homes has a beta of 1.5, meaning that its share price is 50% more volatile than the S&P 500.
Summary
Toll Brothers beats Meritage Homes on 15 of the 22 factors compared between the two stocks.
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New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding {thisCompany.Symbol} and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Media Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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This page (NYSE:MTH) was last updated on 5/22/2025 by MarketBeat.com Staff
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