Hilton et al have told the investment bankers who told the hedge funds who have perpetrated a squeeze. Expect a couple hundred million dollars worth of airy fairy stock-maybe more- to hit the market within 30 days. Stock will plunge. The company is insolvent and the business model is not viable in the real economy. Buyer beware.
I would strongly recomend to cover your short ASAP. It is going to at least 25 in few months. They are building in all sunbelt areas plus Texas. This market will be hot again very soon and Meritage is one of the best possitioned builders there. It is funny to claim that their busines in not good :-) How many communities have you seen where they build? I have experience with at least 20 at 3 different states and Meritage is at the top everywhere - design, customer care, price/value ratio, quality, customer satisfaction, etc. How many owners of Meritage homes do you know? I took the opinions of at least 25 before buying one by myself. Remember - not all builders are equal!! That is why I have invested in their stock as well :-) My prediction is $40 within a year. Good luck to all and successful investing.