Zacks Investment Research·Jun 24, 2026
New Strong Sell Stocks for June 24thCWCO, GSL and MTH have been added to the Zacks Rank #5 (Strong Sell) List on June 24th, 2026.
Meritage Homes Corporation(MTH)Earnings, Financials & Key Ratios
MTH•NYSE
$78.31
12.2× P/E·Price updated Jul 7, 2026
AboutMeritage Homes Corporation, together with its subsidiaries, designs and builds single-family homes in the United States. The company operates through two segments, Homebuilding and Financial Services. It acquires and develops land; and constructs, markets, and sells homes for first-time and first move-up buyers. The company also offers title insurance and closing/settlement services to its homebuyers. It builds and sells homes in Texas, Arizona, California, Colorado, Florida, North Carolina, South Carolina, Georgia, and Tennessee under the Meritage Homes brand name. Meritage Homes Corporation was founded in 1985 and is based in Scottsdale, Arizona.Show more
- Revenue$5.86B-8.4%
- EBITDA$563M-42.8%
- Net Income$453M-42.4%
- EPS (Diluted)6.40-40.3%
- Gross Margin19.69%-21.2%
- EBITDA Margin9.61%-37.6%
- Operating Margin9.18%-38.8%
- Net Margin7.73%-37.1%
- ROE8.76%-45.6%
MTH Price & Volume
Meritage Homes Corporation (MTH) stock price & volume — 10-year historical chart
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Cyclical Revenue Contraction Challenges Spec Inventory Model
Investment Thesis • Updated 2026Q1
VerdictNegative
Growth:Contracting
Profitability:Strained
Financial:Fortress
Cash Flow:Mixed
Primary Risk:Inventory absorption and margin erosion
Key Thesis Takeaways
- Meritage Homes faces significant headwinds as its spec-heavy delivery model struggles with a 17.7% year-over-year revenue decline in 2026Q1 and persistent gross margin compression to 17.2%.
- While the company maintains a fortress balance sheet with a conservative 0.35 debt-to-equity ratio, the disconnect between accounting profits and cash generation remains a primary concern for long-term capital allocation.
- Investors should monitor whether the current inventory accumulation strategy leads to further margin erosion or if the company can successfully navigate the cooling residential construction cycle.
Verdict Logic
the company's EPS has plummeted from $3.16 in 2024Q2 to $0.82 in 2026Q1, suggesting that the current spec-heavy inventory strategy is failing to sustain profitability in the face of cooling market demand.
MTH Growth Metrics
Meritage Homes Corporation (MTH) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR
Revenue CAGR
10 Years8.55%
5 Years5.41%
3 Years-2.36%
TTM-10.63%
Profit CAGR
10 Years13.41%
5 Years1.36%
3 Years-23%
TTM-46.68%
EPS CAGR
10 Years15.27%
5 Years3.08%
3 Years-21.77%
TTM-44.84%
Return on Capital
10 Years14.75%
5 Years18.52%
3 Years13.37%
Last Year7.89%
MTH Recent Earnings
Meritage Homes Corporation (MTH) EPS & revenue vs analyst estimates — last 4 quarters
●Beat EPS 8/12 qtrs (67%)●Beat Revenue 8/12 qtrs (67%)
Q2 2026Latest
Apr 22, 2026Metric
Actual
Est
EPS
$0.86-11.9%
$0.98
Rev
$1.1B-5.1%
$1.2B
Q1 2026
Jan 28, 2026Metric
Actual
Est
EPS
$1.67+7.7%
$1.55
Rev
$1.4B-5.5%
$1.5B
Q4 2025
Oct 28, 2025Metric
Actual
Est
EPS
$1.39-14.7%
$1.63
Rev
$1.4B-4.1%
$1.5B
Q3 2025
Jul 23, 2025Metric
Actual
Est
EPS
$2.04+2.5%
$1.99
Rev
$1.6B+10.4%
$1.5B
| Quarter | Date | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|---|
| Q2 2026Latest | Apr 22, 2026 | $0.86vs $0.98-11.9% | $1.1Bvs $1.2B-5.1% |
| Q1 2026 | Jan 28, 2026 | $1.67vs $1.55+7.7% | $1.4Bvs $1.5B-5.5% |
| Q4 2025 | Oct 28, 2025 | $1.39vs $1.63-14.7% | $1.4Bvs $1.5B-4.1% |
| Q3 2025 | Jul 23, 2025 | $2.04vs $1.99+2.5% | $1.6Bvs $1.5B+10.4% |
Based on last 12 quarters of dataView full earnings history →
Latest MTH News
Recent stock market news and headlines for Meritage Homes Corporation (MTH)
Peers Comparison
Key metrics vs top competitors for Meritage Homes Corporation (MTH)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $78.31 | $5.23B | 12.24 | -8.4% | 7.73% | 8.76% | 2.18% | |
| $155.72 | $44.16B | 13.46 | -6.93% | 9.51% | 12.94% | — | |
| $86.74 | $21.54B | 10.87 | -3.54% | 5.39% | 7.98% | — | |
| $129.92 | $24.96B | 11.68 | -3.54% | 12.14% | 15.92% | — | |
| $6693.69 | $18.07B | 15.33 | -2.08% | 12.77% | 32.66% | — | |
| $151.64 | $14.36B | 11.24 | 1.11% | 11.66% | 15.47% | — |
Compare MTH vs Peers
Meritage Homes Corporation (MTH) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
MTH SEC Filings & Documents
Meritage Homes Corporation (MTH) SEC filings — annual & quarterly reports (10-K, 10-Q)
8-K Announcements
6Material company update
Apr 22, 2026·SEC
Material company update
Mar 26, 2026·SEC
Material company update
Feb 19, 2026·SEC
10-K Annual Reports
310-Q Quarterly Reports
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MTH Frequently Asked Questions
Meritage Homes Corporation (MTH) stock FAQ — growth, dividends, profitability & financials explained
Growth & Financials
What is Meritage Homes Corporation's revenue?
Meritage Homes Corporation (MTH) reported $5.62B in revenue for fiscal year 2025. This represents a 255210% increase from $2.2M in 1996.
How fast is Meritage Homes Corporation growing?
Meritage Homes Corporation (MTH) saw revenue decline by 8.4% over the past year.
Is MTH profitable?
Yes, Meritage Homes Corporation (MTH) is profitable, generating $385.5M in net income for fiscal year 2025 (7.7% net margin).
Dividend & Returns
Does MTH pay dividends?
Yes, Meritage Homes Corporation (MTH) pays a dividend with a yield of 2.18%. This makes it attractive for income-focused investors.
What is MTH's return on equity?
Meritage Homes Corporation (MTH) has a return on equity (ROE) of 8.8%. This is below average, suggesting room for improvement.
What is Meritage Homes Corporation's free cash flow?
Meritage Homes Corporation (MTH) generated $237.7M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.