Bank of America Reiterates Neutral Rating for Meritage Homes (NYSE:MTH)

Meritage Homes (NYSE:MTH)‘s stock had its “neutral” rating reaffirmed by investment analysts at Bank of America in a note issued to investors on Friday, MarketBeat.com reports. They currently have a $82.00 target price on the construction company’s stock, up from their previous target price of $75.00. Bank of America‘s target price suggests a potential upside of 7.63% from the stock’s previous close.

Other equities analysts have also recently issued reports about the stock. Evercore ISI set a $77.00 price objective on shares of Meritage Homes and gave the stock an “in-line” rating in a research report on Thursday, December 4th. The Goldman Sachs Group restated a “buy” rating and issued a $90.00 price objective on shares of Meritage Homes in a report on Tuesday. Citigroup started coverage on Meritage Homes in a research note on Wednesday, January 7th. They issued an “outperform” rating on the stock. Weiss Ratings reissued a “hold (c)” rating on shares of Meritage Homes in a research report on Monday, December 29th. Finally, Zacks Research lowered shares of Meritage Homes from a “hold” rating to a “strong sell” rating in a research note on Wednesday, December 10th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Meritage Homes currently has an average rating of “Hold” and an average price target of $84.63.

Meritage Homes Trading Down 2.6%

Shares of MTH stock opened at $76.19 on Friday. The stock has a 50 day simple moving average of $69.84 and a 200 day simple moving average of $71.80. The stock has a market cap of $5.36 billion, a P/E ratio of 7.74 and a beta of 1.48. The company has a current ratio of 1.95, a quick ratio of 1.95 and a debt-to-equity ratio of 0.35. Meritage Homes has a 1 year low of $59.27 and a 1 year high of $84.74.

Meritage Homes (NYSE:MTH) last issued its quarterly earnings results on Tuesday, October 28th. The construction company reported $1.39 EPS for the quarter, missing analysts’ consensus estimates of $1.71 by ($0.32). The company had revenue of $1.42 billion during the quarter, compared to the consensus estimate of $1.48 billion. Meritage Homes had a return on equity of 10.37% and a net margin of 8.96%.The firm’s revenue for the quarter was down 11.8% on a year-over-year basis. During the same quarter in the previous year, the business posted $5.34 EPS. Meritage Homes has set its Q4 2025 guidance at 1.510-1.700 EPS. On average, research analysts predict that Meritage Homes will post 9.44 earnings per share for the current fiscal year.

Institutional Trading of Meritage Homes

Several hedge funds have recently made changes to their positions in MTH. Royal Bank of Canada boosted its holdings in Meritage Homes by 134.3% in the 1st quarter. Royal Bank of Canada now owns 38,658 shares of the construction company’s stock worth $2,740,000 after buying an additional 22,162 shares during the period. AQR Capital Management LLC boosted its holdings in shares of Meritage Homes by 51.7% in the 1st quarter. AQR Capital Management LLC now owns 12,937 shares of the construction company’s stock worth $917,000 after purchasing an additional 4,407 shares in the last quarter. Goldman Sachs Group Inc. grew its position in Meritage Homes by 58.6% during the first quarter. Goldman Sachs Group Inc. now owns 1,058,850 shares of the construction company’s stock valued at $75,051,000 after acquiring an additional 391,297 shares during the last quarter. Empowered Funds LLC raised its position in Meritage Homes by 111.0% in the 1st quarter. Empowered Funds LLC now owns 32,971 shares of the construction company’s stock worth $2,337,000 after purchasing an additional 17,343 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in Meritage Homes by 102.8% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 319,150 shares of the construction company’s stock valued at $22,621,000 after buying an additional 161,806 shares during the period. 98.44% of the stock is currently owned by institutional investors.

About Meritage Homes

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.