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MTHMeritage Homes CorporationSell4.8·$72.09+5.64%
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Meritage Homes Corporation (MTH) Stock Analysis

Recovery setup

SellVALUE-TRAP 1/5Moderate Confidence

Consumer Cyclical · Residential Construction

Sell if holding. Engine safety override at $72.09: Quality below floor (3.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.8/10. Specifically: Elevated put/call ratio: 1.94; Below-average business quality.

Meritage Homes is the fifth largest U.S. homebuilder operating in 12 states across 336 communities focused on entry-level and first move-up buyers. Home closing revenue was $5.8B in 2025 (15,026 homes closed at ~$384K average selling price) with a 100% spec-build strategy... Read more

$72.09-1.7% A.UpsideScore 4.8/10#8 of 16 Residential Construction
QualityF-score6 / 9FCF yield3.04%
IncomeYield2.81%Payout32.30%sustainable
Stop $67.55Target $70.84(resistance)A.R:R -0.4:1
Analyst target$77.78+7.9%9 analysts
$70.84our TP
$72.09price
$77.78mean
$58
$90

Sell if holding. Engine safety override at $72.09: Quality below floor (3.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.8/10. Specifically: Elevated put/call ratio: 1.94; Below-average business quality. Chart setup: Death cross but MACD improving, RSI 83. Score 4.8/10, moderate confidence.

Passes 6/9 gates (positive momentum, clean insider activity, news events none recent, earnings proximity 43d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-06-09

Recent Developments — Meritage Homes Corporation

Generated 2026-06-09T22:16:36Z.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Wed, Jul 22, 202643d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Target reached (-6.1% upside)
Quality below floor (3.3 < 4.0)

Key Metrics

P/E (TTM)12.5
P/E (Fwd)10.5
Mkt Cap$4.6B
EV/EBITDA11.4
Profit Mgn6.9%
ROE7.5%
Rev Growth-17.7%
Beta1.41
Dividend2.81%
Rating analysts16

Quality Signals

Piotroski F6/9

Options Flow

P/C1.94bearish
IV65%elevated
Max Pain$115+59.5% vs spot

Material Events(8-K, last 90d)

  • 2026-03-26Item 5.02LOW
    Compensation Committee approved increases for CEO Phillippe Lord, CFO Hilla Sferruzza, General Counsel Malissia Clinton, and CHRO Javier Feliciano on March 23, 2026. No departures.
    SEC filing →
  • 2026-02-19Item 5.02LOW
    Director Dennis V. Arriola notified Company of resignation effective March 31, 2026. No disagreements with Company. Board reduced from 12 to 11 members.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

5 floor-breakers

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Quality Rank
1.9
Growth Rank
2.5
Value Rank
5.6

Revenue shrinking — -17.7% YoY. Growth thesis broken unless recovery story develops.static

Revenue Growth
0.0
Earnings Growth
5.8
Declining revenue: -18%

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Bollinger
0.0
Support Resistance
0.2
Gap
5.0
52w Position
7.3

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Earnings History
0.0
Surprise Avg
0.0
Erm
5.0
Earnings Timing
5.0
Dividend Safety
6.0
Earnings concerns: 1B/3MDividend: 281.0%

Quality below the gate floor. Component breakdown shows what dragged the score down.static

Gross Margin
0.0
Operating Margin
2.3
Roe
2.5
Roa
2.6
Fcf Quality
2.9
Net Margin
3.4
Moat
3.9
Current Ratio
5.0
Piotroski F
6.7
Earnings quality RED FLAG: 36% FCF/NINo competitive moat
GatesA.R:R -0.4=NEGATIVEDeath cross (50MA < 200MA)Executive change: officer departure/appointmentMomentum 7.5>=5.5Insider activity: OKNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 43d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRecoverySuitability: Aggressive
RSI
83 · Overbought
20D MA 50D MA 200D MADEATH CROSSSupport $59.12Resistance $72.29

Price Targets

$68
$71
A.Upside-1.7%
A.R:R-0.4:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-6.1% upside)
! Quality below floor (3.3 < 4.0)
! Negative risk/reward — downside exceeds upside

Earnings

B
M
M
M
1/4 beats
Next Earnings2026-07-22 (43d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is MTH stock a buy right now?

Sell if holding. Engine safety override at $72.09: Quality below floor (3.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.8/10. Specifically: Elevated put/call ratio: 1.94; Below-average business quality. Chart setup: Death cross but MACD improving, RSI 83. Prior stop was $67.55. Score 4.8/10, moderate confidence.

What is the MTH stock price target?

Take-profit target: $70.84 (-1.7% upside). Prior stop was $67.55. Stop-loss: $67.55.

What are the risks of investing in MTH?

Target reached (-6.1% upside); Quality below floor (3.3 < 4.0).

Is MTH overvalued or undervalued?

Meritage Homes Corporation trades at a P/E of 12.5 (forward 10.5). TrendMatrix value score: 7.7/10. Verdict: Sell.

What do analysts say about MTH?

16 analysts cover MTH with a consensus score of 3.6/5. Average price target: $78.

What does Meritage Homes Corporation do?Meritage Homes is the fifth largest U.S. homebuilder operating in 12 states across 336 communities focused on...

Meritage Homes is the fifth largest U.S. homebuilder operating in 12 states across 336 communities focused on entry-level and first move-up buyers. Home closing revenue was $5.8B in 2025 (15,026 homes closed at ~$384K average selling price) with a 100% spec-build strategy targeting 60-day closings.

Related stocks: CVCO (Cavco Industries, Inc.) · IBP (Installed Building Products, In) · MHO (M/I Homes, Inc.) · GRBK (Green Brick Partners, Inc.) · TOL (Toll Brothers, Inc.)
Home Stocks MTH

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