Brokers Set Expectations for Meritage Homes Q3 Earnings

Meritage Homes Corporation (NYSE:MTH) – Equities research analysts at Keefe, Bruyette & Woods decreased their Q3 2026 earnings estimates for shares of Meritage Homes in a research note issued on Monday, August 3rd. Keefe, Bruyette & Woods analyst J. Rahmani now forecasts that the construction company will post earnings of $1.16 per share for the quarter, down from their previous estimate of $1.52. The consensus estimate for Meritage Homes’ current full-year earnings is $5.00 per share. Keefe, Bruyette & Woods also issued estimates for Meritage Homes’ FY2027 earnings at $5.95 EPS and FY2028 earnings at $6.98 EPS.

MTH has been the subject of a number of other research reports. Truist Financial set a $80.00 target price on Meritage Homes and gave the stock a “buy” rating in a research note on Thursday, April 16th. Zelman & Associates downgraded Meritage Homes from an “outperform” rating to a “neutral” rating in a research note on Tuesday, July 7th. Citigroup reissued a “market outperform” rating on shares of Meritage Homes in a report on Monday, July 6th. Bank of America reduced their price objective on Meritage Homes from $74.00 to $72.00 and set a “neutral” rating for the company in a research note on Monday, April 20th. Finally, Weiss Ratings upgraded Meritage Homes from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, June 24th. Five equities research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. According to data from MarketBeat, Meritage Homes presently has a consensus rating of “Hold” and a consensus target price of $79.25.

Meritage Homes Price Performance

Shares of MTH opened at $74.95 on Thursday. The firm has a market capitalization of $4.88 billion, a PE ratio of 15.68, a price-to-earnings-growth ratio of 5.50 and a beta of 1.36. The company has a debt-to-equity ratio of 0.37, a current ratio of 1.97 and a quick ratio of 1.96. Meritage Homes has a 1-year low of $58.03 and a 1-year high of $85.38. The company’s fifty day moving average price is $74.28 and its 200-day moving average price is $70.40.

Meritage Homes (NYSE:MTH) last posted its quarterly earnings results on Wednesday, July 29th. The construction company reported $1.42 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.30 by $0.12. Meritage Homes had a net margin of 6.11% and a return on equity of 7.13%. The business had revenue of $1.41 billion during the quarter, compared to analysts’ expectations of $1.43 billion. During the same quarter last year, the company posted $2.04 earnings per share. The business’s quarterly revenue was down 14.1% on a year-over-year basis.

Institutional Investors Weigh In On Meritage Homes

Several hedge funds have recently modified their holdings of MTH. Dimensional Fund Advisors LP raised its holdings in Meritage Homes by 0.6% in the 4th quarter. Dimensional Fund Advisors LP now owns 2,901,851 shares of the construction company’s stock worth $190,943,000 after purchasing an additional 16,338 shares during the period. Balyasny Asset Management L.P. boosted its position in Meritage Homes by 58.9% during the second quarter. Balyasny Asset Management L.P. now owns 1,423,013 shares of the construction company’s stock worth $95,299,000 after purchasing an additional 527,265 shares in the last quarter. Goldman Sachs Group Inc. grew its holdings in Meritage Homes by 58.6% in 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 purchasing an additional 391,297 shares during the period. Norges Bank acquired a new stake in Meritage Homes in the fourth quarter valued at approximately $63,053,000. Finally, Bank of New York Mellon Corp grew its holdings in Meritage Homes by 7.7% in the fourth quarter. Bank of New York Mellon Corp now owns 855,679 shares of the construction company’s stock valued at $56,304,000 after purchasing an additional 61,342 shares during the period. 98.44% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other Meritage Homes news, CAO Alison Sasser sold 1,273 shares of Meritage Homes stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $62.11, for a total value of $79,066.03. Following the completion of the transaction, the chief accounting officer owned 7,634 shares of the company’s stock, valued at approximately $474,147.74. The trade was a 14.29% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 2.50% of the company’s stock.

Meritage Homes Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Tuesday, June 16th were given a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a yield of 2.6%. The ex-dividend date was Tuesday, June 16th. Meritage Homes’s dividend payout ratio (DPR) is currently 40.17%.

Key Headlines Impacting Meritage Homes

Here are the key news stories impacting Meritage Homes this week:

• Positive Sentiment: Citizens JMP raised its FY2027 EPS forecast to $5.50 from $5.28, indicating some confidence in Meritage Homes’ longer-term earnings potential. Meritage Homes analyst estimates
• Positive Sentiment: Analysts at Wolfe Research and Keefe, Bruyette & Woods increased their Q4 2026 EPS estimates to $1.53 and $1.64, respectively, suggesting expectations for stronger results late in the year. Meritage Homes analyst estimates
• Neutral Sentiment: Investors are also assessing management’s Q2 earnings-call commentary and analysts’ questions, which may provide additional insight into demand trends, pricing, incentives and construction costs. The 5 Most Interesting Analyst Questions From Meritage Homes’s Q2 Earnings Call
• Negative Sentiment: Citizens JMP cut its Q3 2026 EPS forecast to $1.20 from $1.39 and lowered estimates for Q1 and Q2 2027 to $0.78 and $1.44, respectively. Its Q3 2027 estimate was also reduced to $1.47 from $1.52. Meritage Homes analyst estimates
• Negative Sentiment: Wolfe Research lowered Q3 2026 EPS to $1.14 from $1.40 and reduced FY2027 EPS to $6.04 from $6.82. Keefe, Bruyette & Woods made similar cuts, lowering Q3 2026 EPS to $1.16 from $1.52, FY2027 EPS to $5.95 from $6.51 and FY2028 EPS to $6.98 from $7.70. Meritage Homes analyst estimates

Meritage Homes Company Profile

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.