MTH Consumer Cyclical

Meritage Homes Corporation

$67.08-2.80%

Price as of close on Nov 3, 2026 · Financials updated Sep 30, 2026

Basics

Sector: Consumer Cyclical
Industry: Residential Construction
Country: United States
Market cap: 4.4B USD
Enterprise value: 5.5B USD
Full-time employees: 1,860

Overall health

Drawback: growing more slowly than most peersgrowing more slowly than peers
Drawback: its share price swings more than most peers’ (beta 1.36 vs a peer median of 0.63)bigger price swings (beta 1.36 vs peers 0.63)
About average: profitability and valuation

Ranks #705 of 1,502 consumer cyclical companies (top 47%)

See how it ranks against its peers

Worth knowing

Returning more cash than it generates. Paid out $749M vs $154M of free cash flow over the 3 fiscal years to 2025.
Meritage Homes returned $749M to shareholders over three years, 487% of the free cash flow it produced. That gap has to be covered by cash reserves or new debt, which can't last indefinitely.
Share count shrinking. Shares outstanding down 11% from December 2022 to July 2026.
Meritage Homes had 11% fewer shares at July 2026 than at December 2022, mainly through buybacks, so each remaining share owns a larger slice of the business.
Revenue is falling. Revenue fell 8.3% in the 12 months to June 2026 vs the 12 months before.
Meritage Homes's revenue fell 8.3% in the 12 months to June 2026 vs the 12 months before.
Profit is backed by cash. Free cash flow is 126% of reported profit.
Meritage Homes's free cash flow is 126% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.

StockQuotient Score

53/ 100

Oct 5 53 → Nov 4 53

Valuation

Is the price right?

57/100

Moderate▼ 3 since Oct 27 close

3/3 inputs reported · High confidence

Since last quarter: ▲ Stronger

Share count down 2.3%

Valuation also moves with the share price every day.

Why it changed since the Oct 27, 2026 close: Score 60 → 57

Share price +4.9%-2
Peer companies moved-1

Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.

Why

Helped by:

▲ Earnings yield
▲ FCF yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield7.5%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score 0.95Sector median: 0.0439 · MAD: 0.0329

EBITDA yield7.8%

Yahoo Finance fallback · SEC enterprise value unavailable (debt or EBITDA not reported in standard form) · trailing 12 monthsReported value50% base weight · Z-score -0.20Sector median: 0.0877 · MAD: 0.0461

Free cash flow yield9.5%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score 0.61Sector median: 0.0614 · MAD: 0.0545

Other data (not scored)

Book yield115.7%

SEC filings · latest balance sheetReported valueInformational · 0% composite weightSector median: 0.5650 · MAD: 0.3500

Growth

Is it growing?

12/100

Weak

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ EPS growth
▼ Revenue growth
▼ 3-yr revenue

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growth-43.7%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -1.89Sector median: 0.0420 · MAD: 0.2537

3-year revenue growth-2.4%

Yahoo Finance fallback · SEC figure unavailable or out of date · 3 fiscal years to Dec 2025Reported value33% base weight · Z-score -1.04Sector median: 0.0425 · MAD: 0.0636

Revenue growth-8.3%

Yahoo Finance fallback · SEC figure unavailable or out of date · fiscal year to Dec 2025Reported value33% base weight · Z-score -1.85Sector median: 0.0373 · MAD: 0.0653

Profitability

Does it earn well?

54/100

Moderate

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Helped by:

▲ Operating margin
▲ ROA

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin9.2%

Yahoo Finance fallback · SEC operating income not reported in standard form · fiscal year to Dec 2025Reported value33% base weight · Z-score 0.62Sector median: 0.0638 · MAD: 0.0461

Return on assets4.4%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.41Sector median: 0.0331 · MAD: 0.0254

Return on invested capital5.7%

Yahoo Finance fallback · SEC operating income or invested capital unavailable · trailing 12 monthsReported value33% base weight · Z-score -0.28Sector median: 0.0733 · MAD: 0.0600

Other data (not scored)

Gross margin18.3%

Yahoo Finance fallback · SEC figure unavailable or out of date · trailing 12 monthsReported valueInformational · 0% composite weightSector median: 0.3025 · MAD: 0.1399

Return on equity6.5%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.0746 · MAD: 0.0674

Risk

Debt, liquidity, price swings

Lower

Lower relative risk

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Stronger than most peers on:

▲ Current ratio

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

Beta1.36

Yahoo Finance · 5-year monthly beta vs the marketReported value33% base weight · Z-score -2.42Sector median: 0.6345 · MAD: 0.2980

Current ratio14.36×

Yahoo Finance fallback · SEC figure unavailable or out of dateOutlier capped at sector 5th/95th percentile33% base weight · Z-score 6.28Sector median: 1.4800 · MAD: 0.5570

Debt / equity0.38×

Yahoo Finance fallback · no standard SEC debt tagReported value33% base weight · Z-score 0.25Sector median: 0.4646 · MAD: 0.3556

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Meritage Homes

Is Meritage Homes getting weaker?: Its latest SEC filing (Jul 31, 2026) got stronger: share count down 2.3%. Its overall score is unchanged at 53/100 since Oct 28, 2026.
How is Meritage Homes valued vs its peers?: Priced about in line with its peers. Valuation scores 57/100 against 1,612 consumer cyclical peers. Earnings yield 7.5% vs a peer median of 4.4% (stronger than 76% of peers).Earnings yield 7.5% vs peers 4.4% (stronger than 76% of peers).
Is Meritage Homes growing?: More slowly than most of its peers. Growth scores 12/100 against 1,612 consumer cyclical peers. Earnings per share growth -43.7% vs a peer median of 4.2% (weaker than 87% of peers).Earnings per share growth -43.7% vs peers 4.2% (weaker than 87% of peers).
How profitable is Meritage Homes?: About as profitable as its peers. Profitability scores 54/100 against 1,612 consumer cyclical peers. Operating margin 9.2% vs a peer median of 6.4% (stronger than 65% of peers).Operating margin 9.2% vs peers 6.4% (stronger than 65% of peers).
How risky is Meritage Homes?: Lower risk relative to 1,612 consumer cyclical peers, judged on debt, liquidity and share-price swings. Current ratio 14.36× vs a peer median of 1.48× (stronger than 95% of peers).Current ratio 14.36× vs peers 1.48× (stronger than 95% of peers). Beta 1.36 vs a peer median of 0.63 (weaker than 88% of peers).Beta 1.36 vs peers 0.63 (weaker than 88% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 30, 2026 · filed Jul 31, 2026 · compared with the quarter ended Mar 31, 2026

Got stronger

Share count down 2.3%

	Previous quarter	Latest quarter	Change
Net income (12 months)	385.5M USD	329.3M USD	−14.6%
Free cash flow (12 months)	237.7M USD	414.7M USD	+74.4%
Cash	766.6M USD	807.3M USD	+5.3%
Shares outstanding	66.7M	65.2M	−2.3%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Sector: Consumer Cyclical · 182 companies

Valuations in Consumer Cyclical are within their usual range since 2016.

36% of months since 2016 were valued lower than now.
15% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values +0% and earnings +10% (medians): prices and earnings moved broadly together.
Median price-to-sales is −55% vs the whole market, against a usual −41%.

2016Shaded: most expensive fifth of its range2026

Shown for Consumer Cyclical: too few Residential Construction companies have a long enough history of their own.

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025	Change
Return on assets (ROA)	15.3%	17.2%	11.6%	11.0%	5.9%	▼ 5.0 pts
Return on equity (ROE)	24.2%	25.1%	16.0%	15.3%	8.7%	▼ 6.6 pts
Interest coverage	2987.33×	31380.59×	—	—	—	—

MTH price history

Price history is added with the daily price update and will appear after the next one.

Similar companies

Sector leaderboards

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Track & Field Co S.A.TFCO4.SA92/ 100

Pop Mart International Group Limited9992.HK91/ 100

Bringing the fundamentals into focus…

Overall health

Drawback: growing more slowly than most peersgrowing more slowly than peers

Drawback: its share price swings more than most peers’ (beta 1.36 vs a peer median of 0.63)bigger price swings (beta 1.36 vs peers 0.63)

About average: profitability and valuation

Ranks #705 of 1,502 consumer cyclical companies (top 47%)

See how it ranks against its peers

Worth knowing

Returning more cash than it generates. Paid out $749M vs $154M of free cash flow over the 3 fiscal years to 2025.

Meritage Homes returned $749M to shareholders over three years, 487% of the free cash flow it produced. That gap has to be covered by cash reserves or new debt, which can't last indefinitely.

Share count shrinking. Shares outstanding down 11% from December 2022 to July 2026.

Meritage Homes had 11% fewer shares at July 2026 than at December 2022, mainly through buybacks, so each remaining share owns a larger slice of the business.

Revenue is falling. Revenue fell 8.3% in the 12 months to June 2026 vs the 12 months before.

Meritage Homes's revenue fell 8.3% in the 12 months to June 2026 vs the 12 months before.

Profit is backed by cash. Free cash flow is 126% of reported profit.

Meritage Homes's free cash flow is 126% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.

Questions investors ask about Meritage Homes

Is Meritage Homes getting weaker?

Its latest SEC filing (Jul 31, 2026) got stronger: share count down 2.3%. Its overall score is unchanged at 53/100 since Oct 28, 2026.

How is Meritage Homes valued vs its peers?

Priced about in line with its peers. Valuation scores 57/100 against 1,612 consumer cyclical peers. Earnings yield 7.5% vs a peer median of 4.4% (stronger than 76% of peers).Earnings yield 7.5% vs peers 4.4% (stronger than 76% of peers).

Is Meritage Homes growing?

More slowly than most of its peers. Growth scores 12/100 against 1,612 consumer cyclical peers. Earnings per share growth -43.7% vs a peer median of 4.2% (weaker than 87% of peers).Earnings per share growth -43.7% vs peers 4.2% (weaker than 87% of peers).

How profitable is Meritage Homes?

About as profitable as its peers. Profitability scores 54/100 against 1,612 consumer cyclical peers. Operating margin 9.2% vs a peer median of 6.4% (stronger than 65% of peers).Operating margin 9.2% vs peers 6.4% (stronger than 65% of peers).

How risky is Meritage Homes?

Lower risk relative to 1,612 consumer cyclical peers, judged on debt, liquidity and share-price swings. Current ratio 14.36× vs a peer median of 1.48× (stronger than 95% of peers).Current ratio 14.36× vs peers 1.48× (stronger than 95% of peers). Beta 1.36 vs a peer median of 0.63 (weaker than 88% of peers).Beta 1.36 vs peers 0.63 (weaker than 88% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Net income (12 months)

385.5M USD

329.3M USD

−14.6%

Free cash flow (12 months)

237.7M USD

414.7M USD

+74.4%

Cash

766.6M USD

807.3M USD

+5.3%

Shares outstanding

66.7M

65.2M

−2.3%

Key ratios

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

Change

Return on assets (ROA)

15.3%

17.2%

11.6%

11.0%

5.9%

▼ 5.0 pts

Return on equity (ROE)

24.2%

25.1%

16.0%

15.3%

8.7%

▼ 6.6 pts

Interest coverage

2987.33×

31380.59×

—