Meritage Homes (NYSE:MTH) Rating Increased to Hold at Wall Street Zen

Wall Street Zen upgraded shares of Meritage Homes (NYSE:MTH) from a sell rating to a hold rating in a research report report published on Saturday morning.

Other research analysts also recently issued research reports about the stock. Bank of America restated a “neutral” rating and set a $82.00 price target (up from $75.00) on shares of Meritage Homes in a research report on Friday, January 16th. UBS Group set a $95.00 target price on Meritage Homes in a research report on Friday, January 30th. Zacks Research cut Meritage Homes from a “hold” rating to a “strong sell” rating in a research report on Wednesday, December 10th. Citizens Jmp assumed coverage on Meritage Homes in a report on Wednesday, January 7th. They issued a “market outperform” rating and a $90.00 price objective on the stock. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Meritage Homes in a research note on Monday, December 29th. One analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $83.63.

Meritage Homes Stock Performance

MTH opened at $75.38 on Friday. The company has a current ratio of 2.10, a quick ratio of 2.10 and a debt-to-equity ratio of 0.35. Meritage Homes has a 12-month low of $59.27 and a 12-month high of $84.74. The firm has a 50 day moving average of $72.98 and a two-hundred day moving average of $72.59. The firm has a market capitalization of $5.04 billion, a PE ratio of 11.93, a P/E/G ratio of 1.34 and a beta of 1.48.

Meritage Homes (NYSE:MTH) last released its quarterly earnings data on Wednesday, January 28th. The construction company reported $1.67 earnings per share for the quarter, topping analysts’ consensus estimates of $1.55 by $0.12. The firm had revenue of $1.44 billion for 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 business’s quarterly revenue was down 11.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned $4.72 earnings per share. On average, analysts anticipate that Meritage Homes will post 9.44 EPS for the current year.

Meritage Homes Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Tuesday, March 17th will be given a dividend of $0.48 per share. The ex-dividend date is Tuesday, March 17th. This is an increase from Meritage Homes’s previous quarterly dividend of $0.43. This represents a $1.92 annualized dividend and a yield of 2.5%. Meritage Homes’s dividend payout ratio (DPR) is 27.22%.

Insider Buying and Selling at Meritage Homes

In other news, EVP Javier Feliciano sold 3,580 shares of the company’s stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $76.24, for a total value of $272,939.20. Following the transaction, the executive vice president owned 44,935 shares of the company’s stock, valued at $3,425,844.40. This represents a 7.38% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Hilla Sferruzza sold 10,928 shares of the firm’s stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $76.35, for a total value of $834,352.80. Following the sale, the chief financial officer directly owned 124,961 shares of the company’s stock, valued at $9,540,772.35. The trade was a 8.04% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 47,622 shares of company stock worth $3,640,273 in the last ninety days. 2.20% of the stock is owned by insiders.

Institutional Investors Weigh In On Meritage Homes

Institutional investors have recently made changes to their positions in the stock. Salomon & Ludwin LLC lifted its holdings in shares of Meritage Homes by 63.9% in the 4th quarter. Salomon & Ludwin LLC now owns 372 shares of the construction company’s stock worth $25,000 after acquiring an additional 145 shares during the last quarter. Larson Financial Group LLC raised its position in Meritage Homes by 265.5% in the third quarter. Larson Financial Group LLC now owns 402 shares of the construction company’s stock valued at $29,000 after purchasing an additional 292 shares during the period. Atlantic Union Bankshares Corp acquired a new position in Meritage Homes during the second quarter worth $33,000. Brown Lisle Cummings Inc. purchased a new position in shares of Meritage Homes during the fourth quarter worth $39,000. Finally, EverSource Wealth Advisors LLC grew its stake in shares of Meritage Homes by 194.9% in the second quarter. EverSource Wealth Advisors LLC now owns 699 shares of the construction company’s stock valued at $47,000 after buying an additional 462 shares in the last quarter. 98.44% of the stock is currently owned by institutional investors and hedge funds.

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.