
Meritage Homes (MTH) Stock Forecast & Price Target
Meritage Homes (MTH) Analyst Ratings
Bulls say
Meritage Homes Corp is anticipated to experience earnings growth driven by recent land investments and an increase in planned community counts, which positions the company favorably for future performance. The projections suggest a return on equity (ROE) of approximately 9.6-9.7%, indicating strong profitability relative to historical benchmarks. Additionally, the projected gross margins for 2025-2026 are expected to remain robust at 20.9% and 21.0%, highlighting the company's operational efficiency and sustainability in its business model.
Bears say
Meritage Homes Corp is facing a challenging outlook, as evidenced by a 13% reduction in forward earnings per share estimates due to lower home deliveries, decreased gross margins, and increased selling, general, and administrative expenses. The broader homebuilding environment is impacted by elevated interest rates, high home prices, and affordability issues, which contribute to uncertainty regarding housing demand and profit margins. Additionally, the company's relatively small size and low share count render its earnings more volatile, compounding the risk associated with its financial performance.
This aggregate rating is based on analysts' research of Meritage Homes and is not a guaranteed prediction by Public.com or investment advice.
Meritage Homes (MTH) Analyst Forecast & Price Prediction
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