Meritage Homes (NYSE:MTH) Shares Down 3.8% – What’s Next?

Shares of Meritage Homes Co. (NYSE:MTH) were down 3.8% during mid-day trading on Tuesday . The stock traded as low as $185.38 and last traded at $186.23. Approximately 83,015 shares were traded during mid-day trading, a decline of 79% from the average daily volume of 402,890 shares. The stock had previously closed at $193.64.

Wall Street Analyst Weigh In

A number of research firms have commented on MTH. StockNews.com lowered Meritage Homes from a “buy” rating to a “hold” rating in a report on Thursday, July 25th. Wedbush upgraded shares of Meritage Homes from an “underperform” rating to a “neutral” rating and upped their target price for the company from $160.00 to $195.00 in a research note on Tuesday, October 15th. The Goldman Sachs Group boosted their price objective on shares of Meritage Homes from $173.00 to $197.00 and gave the company a “neutral” rating in a report on Friday, July 26th. Wolfe Research upgraded shares of Meritage Homes from a “peer perform” rating to an “outperform” rating and set a $230.00 target price on the stock in a report on Wednesday, August 14th. Finally, Keefe, Bruyette & Woods boosted their target price on shares of Meritage Homes from $195.00 to $210.00 and gave the company a “market perform” rating in a research note on Tuesday, July 30th. Five equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $213.83.

Meritage Homes Stock Down 5.0 %

The company has a market capitalization of $6.68 billion, a PE ratio of 8.67 and a beta of 1.80. The company’s fifty day moving average is $196.63 and its 200-day moving average is $180.94. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.93 and a current ratio of 1.93.

Meritage Homes (NYSE:MTH) last announced its quarterly earnings data on Wednesday, July 24th. The construction company reported $6.31 EPS for the quarter, beating the consensus estimate of $5.17 by $1.14. The firm had revenue of $1.69 billion for the quarter, compared to the consensus estimate of $1.57 billion. Meritage Homes had a net margin of 12.98% and a return on equity of 17.99%. The company’s revenue was up 9.8% on a year-over-year basis. During the same period last year, the firm earned $5.02 EPS. As a group, analysts predict that Meritage Homes Co. will post 21.09 EPS for the current fiscal year.

Meritage Homes Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, September 30th. Shareholders of record on Monday, September 16th were issued a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a yield of 1.63%. The ex-dividend date was Monday, September 16th. Meritage Homes’s dividend payout ratio (DPR) is currently 13.99%.

Insider Transactions at Meritage Homes

In related news, CFO Hilla Sferruzza sold 2,500 shares of the firm’s stock in a transaction on Wednesday, July 31st. The shares were sold at an average price of $205.00, for a total transaction of $512,500.00. Following the completion of the transaction, the chief financial officer now directly owns 44,570 shares of the company’s stock, valued at approximately $9,136,850. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In other Meritage Homes news, EVP Javier Feliciano sold 3,000 shares of the business’s stock in a transaction that occurred on Friday, July 26th. The stock was sold at an average price of $198.36, for a total transaction of $595,080.00. Following the sale, the executive vice president now directly owns 14,307 shares of the company’s stock, valued at $2,837,936.52. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Hilla Sferruzza sold 2,500 shares of Meritage Homes stock in a transaction that occurred on Wednesday, July 31st. The stock was sold at an average price of $205.00, for a total value of $512,500.00. Following the completion of the transaction, the chief financial officer now owns 44,570 shares of the company’s stock, valued at approximately $9,136,850. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 15,500 shares of company stock valued at $3,111,080. 2.00% of the stock is currently owned by corporate insiders.

Institutional Trading of Meritage Homes

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Security National Bank raised its stake in shares of Meritage Homes by 4.9% in the first quarter. Security National Bank now owns 59,250 shares of the construction company’s stock valued at $10,396,000 after acquiring an additional 2,750 shares during the period. Wealth Enhancement Advisory Services LLC raised its position in Meritage Homes by 23.1% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 11,456 shares of the construction company’s stock worth $2,010,000 after purchasing an additional 2,150 shares during the period. Occidental Asset Management LLC purchased a new position in shares of Meritage Homes during the first quarter valued at approximately $1,908,000. Measured Wealth Private Client Group LLC grew its stake in shares of Meritage Homes by 9.0% during the first quarter. Measured Wealth Private Client Group LLC now owns 2,863 shares of the construction company’s stock valued at $502,000 after buying an additional 236 shares during the last quarter. Finally, Legacy Wealth Asset Management LLC purchased a new stake in shares of Meritage Homes in the first quarter worth approximately $273,000. Hedge funds and other institutional investors own 98.44% of the company’s stock.

Meritage Homes Company Profile

Meritage Homes Corporation, together with its subsidiaries, designs and builds single-family attached and detached homes in the United States. The company operates through two segments, Homebuilding and Financial Services. It acquires and develops land; and constructs, markets, and sells homes for entry-level and first move-up buyers in Arizona, California, Colorado, Utah, Texas, Florida, Georgia, North Carolina, South Carolina, and Tennessee.