Wedbush Weighs in on Meritage Homes’ Q2 Earnings (NYSE:MTH)

Meritage Homes Co. (NYSE:MTH) – Research analysts at Wedbush cut their Q2 2025 earnings estimates for Meritage Homes in a note issued to investors on Tuesday, January 7th. Wedbush analyst J. Mccanless now expects that the construction company will post earnings per share of $2.80 for the quarter, down from their previous estimate of $2.81. Wedbush has a “Neutral” rating and a $103.00 price target on the stock. The consensus estimate for Meritage Homes’ current full-year earnings is $21.27 per share. Wedbush also issued estimates for Meritage Homes’ Q4 2026 earnings at $3.74 EPS.

Meritage Homes (NYSE:MTH) last posted its earnings results on Tuesday, October 29th. The construction company reported $2.67 earnings per share for the quarter, beating the consensus estimate of $2.52 by $0.15. Meritage Homes had a net margin of 12.63% and a return on equity of 16.89%. The company had revenue of $1.59 billion during the quarter, compared to analysts’ expectations of $1.58 billion. During the same period last year, the company posted $2.99 earnings per share. Meritage Homes’s quarterly revenue was down 1.5% on a year-over-year basis.

MTH has been the subject of a number of other reports. UBS Group dropped their price objective on shares of Meritage Homes from $126.00 to $118.00 and set a “buy” rating for the company in a research note on Wednesday. StockNews.com cut shares of Meritage Homes from a “hold” rating to a “sell” rating in a research note on Saturday. JPMorgan Chase & Co. reaffirmed a “neutral” rating and set a $98.50 price target (down from $110.00) on shares of Meritage Homes in a research note on Friday, December 13th. Keefe, Bruyette & Woods dropped their price target on shares of Meritage Homes from $105.00 to $99.00 and set a “market perform” rating for the company in a research note on Tuesday, November 5th. Finally, The Goldman Sachs Group raised shares of Meritage Homes from a “neutral” rating to a “buy” rating and lifted their price target for the stock from $102.50 to $117.50 in a research note on Thursday, October 31st. One research analyst has rated the stock with a sell rating, five have issued a hold rating and five have given a buy rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $109.56.

Meritage Homes Stock Performance

Shares of NYSE:MTH opened at $74.07 on Friday. Meritage Homes has a 52 week low of $73.05 and a 52 week high of $106.99. The stock has a market capitalization of $2.68 billion, a P/E ratio of 3.35 and a beta of 1.82. The firm has a fifty day simple moving average of $89.53 and a two-hundred day simple moving average of $92.51. The company has a quick ratio of 1.75, a current ratio of 1.75 and a debt-to-equity ratio of 0.26.

Institutional Investors Weigh In On Meritage Homes

Several large investors have recently modified their holdings of the business. State Street Corp raised its holdings in shares of Meritage Homes by 4.4% in the 3rd quarter. State Street Corp now owns 1,773,609 shares of the construction company’s stock valued at $363,714,000 after purchasing an additional 74,422 shares in the last quarter. Earnest Partners LLC raised its stake in shares of Meritage Homes by 2.5% during the 2nd quarter. Earnest Partners LLC now owns 718,607 shares of the construction company’s stock worth $116,307,000 after acquiring an additional 17,843 shares in the last quarter. Charles Schwab Investment Management Inc. raised its stake in shares of Meritage Homes by 1.2% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 489,035 shares of the construction company’s stock worth $100,286,000 after acquiring an additional 5,732 shares in the last quarter. Westfield Capital Management Co. LP raised its stake in shares of Meritage Homes by 26.9% during the 3rd quarter. Westfield Capital Management Co. LP now owns 483,159 shares of the construction company’s stock worth $99,081,000 after acquiring an additional 102,502 shares in the last quarter. Finally, FMR LLC raised its stake in shares of Meritage Homes by 75.1% during the 3rd quarter. FMR LLC now owns 347,227 shares of the construction company’s stock worth $71,206,000 after acquiring an additional 148,898 shares in the last quarter. Institutional investors own 98.44% of the company’s stock.

Meritage Homes Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 31st. Stockholders of record on Tuesday, December 17th were issued a $0.375 dividend. The ex-dividend date was Tuesday, December 17th. This represents a $1.50 annualized dividend and a dividend yield of 2.03%. Meritage Homes’s dividend payout ratio is currently 13.58%.

About Meritage Homes

Meritage Homes Corporation, together with its subsidiaries, designs and builds single-family attached and detached 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 entry-level and first move-up buyers in Arizona, California, Colorado, Utah, Texas, Florida, Georgia, North Carolina, South Carolina, and Tennessee.