Meritage Homes (NYSE:MTH) Stock Rating Upgraded by Zacks Research

Meritage Homes (NYSE:MTH) was upgraded by Zacks Research from a “strong sell” rating to a “hold” rating in a research report issued to clients and investors on Monday,Zacks.com reports. Zacks Research also issued estimates for Meritage Homes’ Q1 2026 earnings at $1.11 EPS, Q2 2026 earnings at $1.75 EPS, Q3 2026 earnings at $1.58 EPS, Q4 2026 earnings at $1.65 EPS, FY2026 earnings at $6.10 EPS, Q1 2027 earnings at $1.32 EPS, Q2 2027 earnings at $1.97 EPS, Q3 2027 earnings at $1.81 EPS, Q4 2027 earnings at $1.95 EPS, FY2027 earnings at $7.04 EPS, Q1 2028 earnings at $1.52 EPS, FY2028 earnings at $8.15 EPS and FY2028 earnings at $8.17 EPS.

A number of other research analysts have also issued reports on MTH. Weiss Ratings reissued a “hold (c)” rating on shares of Meritage Homes in a research note on Monday, December 29th. Keefe, Bruyette & Woods reduced their target price on shares of Meritage Homes from $78.00 to $76.00 and set a “market perform” rating for the company in a research note on Tuesday, February 3rd. Truist Financial began coverage on shares of Meritage Homes in a research note on Wednesday, March 4th. They set a “buy” rating and a $90.00 target price for the company. Citizens Jmp began coverage on shares of Meritage Homes in a research note on Wednesday, January 7th. They set a “market outperform” rating and a $90.00 target price for the company. Finally, Bank of America reissued a “neutral” rating and set a $82.00 target price (up from $75.00) on shares of Meritage Homes in a research note on Friday, January 16th. Two analysts have rated the stock with a Strong Buy rating, four have given a Buy rating and seven have assigned a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $84.33.

Meritage Homes Trading Up 0.3%

NYSE MTH opened at $66.61 on Monday. Meritage Homes has a one year low of $58.03 and a one year high of $84.74. The company has a 50-day simple moving average of $68.92 and a 200-day simple moving average of $69.65. The company has a debt-to-equity ratio of 0.35, a quick ratio of 2.10 and a current ratio of 2.10. The firm has a market capitalization of $4.44 billion, a PE ratio of 10.54, a price-to-earnings-growth ratio of 1.19 and a beta of 1.50.

Meritage Homes (NYSE:MTH) last posted its quarterly earnings results on Wednesday, January 28th. The construction company reported $1.67 EPS for the quarter, beating the consensus estimate of $1.55 by $0.12. The business had revenue of $1.44 billion during the quarter, compared to analyst estimates of $1.51 billion. Meritage Homes had a net margin of 7.73% and a return on equity of 9.28%. The company’s quarterly revenue was down 11.9% on a year-over-year basis. During the same period in the previous year, the business posted $4.72 EPS. On average, equities analysts forecast that Meritage Homes will post 9.44 earnings per share for the current year.

Insiders Place Their Bets

In other Meritage Homes news, CEO Phillippe Lord sold 32,820 shares of the business’s stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $76.49, for a total transaction of $2,510,401.80. Following the sale, the chief executive officer directly owned 260,389 shares in the company, valued at approximately $19,917,154.61. The trade was a 11.19% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Javier Feliciano sold 3,580 shares of the business’s stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $76.24, for a total transaction of $272,939.20. Following the sale, the executive vice president owned 44,935 shares in the company, valued at $3,425,844.40. This trade represents a 7.38% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 47,622 shares of company stock worth $3,640,273. 2.20% of the stock is owned by corporate insiders.

Institutional Trading of Meritage Homes

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Hsbc Holdings PLC raised its position in shares of Meritage Homes by 3,031.0% during the 4th quarter. Hsbc Holdings PLC now owns 92,741 shares of the construction company’s stock worth $6,122,000 after buying an additional 89,779 shares in the last quarter. Corient Private Wealth LLC raised its position in shares of Meritage Homes by 6.6% during the 4th quarter. Corient Private Wealth LLC now owns 3,903 shares of the construction company’s stock worth $257,000 after buying an additional 240 shares in the last quarter. Caitong International Asset Management Co. Ltd raised its position in shares of Meritage Homes by 996.6% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 2,873 shares of the construction company’s stock worth $189,000 after buying an additional 2,611 shares in the last quarter. Virtu Financial LLC raised its position in shares of Meritage Homes by 81.5% during the 4th quarter. Virtu Financial LLC now owns 5,537 shares of the construction company’s stock worth $364,000 after buying an additional 2,487 shares in the last quarter. Finally, Mercer Global Advisors Inc. ADV raised its position in shares of Meritage Homes by 3.9% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 12,291 shares of the construction company’s stock worth $809,000 after buying an additional 466 shares in the last quarter. 98.44% of the stock is currently owned by institutional investors.

Key Meritage Homes News

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

• Positive Sentiment: Zacks Research raised several near‑term and multi‑year EPS forecasts for MTH — including Q1–Q4 2026 quarterlies, FY2026 (to $6.10), and lifts to FY2027/FY2028 — suggesting better-than-expected earnings trajectory over the next two years. Zacks still carries a “Hold” rating. MarketBeat: MTH coverage
• Positive Sentiment: Wolfe Research raised its Q3 2026 EPS estimate sharply to $2.03 (from $1.67), indicating at least one major shop sees a stronger mid‑year recovery in margins or closings. MarketBeat: MTH coverage
• Neutral Sentiment: Many of the Zacks increases are modest (e.g., +$0.01–$0.12 per quarter) and the firm retains a “Hold” rating — positive model tweaks but no upgrade in recommendation. This tempers the bullish signal. MarketBeat: MTH coverage
• Negative Sentiment: Wolfe Research cut Q2 2026 (to $1.50 from $1.96) and Q4 2026 (to $0.97 from $1.32) estimates — a notable intra‑firm deterioration that highlights potential near‑term volatility in closings/timing or margin pressure. MarketBeat: MTH coverage
• Negative Sentiment: An external article flags an earnings downgrade and market challenges for Meritage, reinforcing risk that macro or demand pressures could hurt short‑term results and sentiment. Meritage Homes Faces Earnings Downgrade Amid Market Challenges

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.