
Meritage Homes (MTH) Stock Forecast & Price Target
Meritage Homes (MTH) Analyst Ratings
Bulls say
Meritage Homes has made significant land investments and anticipates community count growth, which is expected to drive earnings growth in the upcoming years. The company's projected return on equity (ROE) stands at an attractive 9.6-9.7%, alongside a forecasted gross margin of approximately 20.9% to 21.0%. Additionally, community count growth is expected to remain close to 10%, with delivery growth forecasts indicating a resilient outlook despite slight variations.
Bears say
Meritage Homes Corp has recently reduced its forward earnings per share (EPS) estimates by 13% due to lower expected deliveries, decreased gross margins, and increased selling, general, and administrative (SG&A) expenses. The homebuilding sector continues to face significant challenges, including elevated interest rates, high housing prices, and stretched affordability, which have created an uncertain outlook for housing demand and profit margins. Additionally, Meritage's relatively small size and low share count may lead to increased volatility in earnings, compounding the risks associated with its current financial outlook.
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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