Meritage Homes (MTH) Rises As Market Takes a Dip: Key Facts
Meritage Homes (MTH) closed at $111.47 in the latest trading session, marking a +1.47% move from the prior day. The stock outperformed the S&P 500, which registered a daily loss of 1.18%. Elsewhere, the Dow lost 0.76%, while the tech-heavy Nasdaq lost 1.76%.
Heading into today, shares of the homebuilder had lost 9.59% over the past month, lagging the Construction sector's loss of 7.43% and the S&P 500's loss of 3.35% in that time.
The investment community will be paying close attention to the earnings performance of Meritage Homes in its upcoming release. The company is slated to reveal its earnings on October 31, 2023. The company is predicted to post an EPS of $5.10, indicating a 28.17% decline compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $1.55 billion, reflecting a 1.76% fall from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $19.37 per share and revenue of $6.06 billion, which would represent changes of -27.56% and -3.29%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Meritage Homes. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.42% lower. As of now, Meritage Homes holds a Zacks Rank of #3 (Hold).
Looking at valuation, Meritage Homes is presently trading at a Forward P/E ratio of 5.67. This signifies a discount in comparison to the average Forward P/E of 6.85 for its industry.
The Building Products - Home Builders industry is part of the Construction sector. Currently, this industry holds a Zacks Industry Rank of 54, positioning it in the top 22% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Meritage Homes Corporation (MTH) : Free Stock Analysis Report
