What to Expect From Meritage Homes’ Upcoming Q4 Results?

• Meritage Homes Corporation's (NYSE:MTH) stock price target has seen fluctuations, with a current consensus of $103, indicating a shift in analyst sentiment.
• The company has a strong track record of surpassing earnings estimates, with recent quarterly earnings of $5.34 per share, beating the Zacks Consensus Estimate.
• Despite challenges such as tighter regulations and supply chain pressures, Meritage Homes' stock has increased by 6.6% since its last earnings report, reflecting a positive market reaction.

Meritage Homes Corporation (NYSE:MTH) is a key player in the U.S. homebuilding industry, specializing in single-family homes. The company primarily serves first-time and first move-up buyers, offering services like land acquisition, development, and financial services. With operations in several key states, Meritage Homes has carved out a significant presence in the housing market.

The consensus price target for Meritage Homes' stock has seen some fluctuations over the past year. A month ago, the average price target was $103, down from the previous quarter's $110.25. This indicates a shift in analyst sentiment, as they were more optimistic about the company's prospects three months ago. However, the current target is slightly lower than the $104.21 target from a year ago.

Despite these fluctuations, Meritage Homes is expected to surpass earnings estimates in its upcoming report, as highlighted by Zacks. The company has a strong track record of exceeding market expectations, and Credit Suisse has set a price target of $106, reflecting a positive outlook. This suggests that analysts remain confident in Meritage's potential for continued success.

Meritage Homes' recent performance supports this optimism. The company reported quarterly earnings of $5.34 per share, surpassing the Zacks Consensus Estimate of $5.05. Although this is a decrease from the $5.98 per share reported in the same quarter last year, it still exceeded market expectations, indicating strong financial health.

The company's strategic focus on providing quick, move-in ready homes with a 60-day closing guarantee positions it well to meet current market demand. However, risks such as tighter regulations affecting home financing and supply chain pressures due to increased new home construction remain. Despite these challenges, Meritage Homes' stock has increased by 6.6% since its last earnings report, suggesting a favorable market reaction to its financial performance.

• Meritage Homes Corporation's (NYSE:MTH) stock price target has seen fluctuations, with a current consensus of $103, indicating a shift in analyst sentiment.
• The company has a strong track record of surpassing earnings estimates, with recent quarterly earnings of $5.34 per share, beating the Zacks Consensus Estimate.
• Despite challenges such as tighter regulations and supply chain pressures, Meritage Homes' stock has increased by 6.6% since its last earnings report, reflecting a positive market reaction.

Meritage Homes Corporation (NYSE:MTH) is a key player in the U.S. homebuilding industry, specializing in single-family homes. The company primarily serves first-time and first move-up buyers, offering services like land acquisition, development, and financial services. With operations in several key states, Meritage Homes has carved out a significant presence in the housing market.

The consensus price target for Meritage Homes' stock has seen some fluctuations over the past year. A month ago, the average price target was $103, down from the previous quarter's $110.25. This indicates a shift in analyst sentiment, as they were more optimistic about the company's prospects three months ago. However, the current target is slightly lower than the $104.21 target from a year ago.

Despite these fluctuations, Meritage Homes is expected to surpass earnings estimates in its upcoming report, as highlighted by Zacks. The company has a strong track record of exceeding market expectations, and Credit Suisse has set a price target of $106, reflecting a positive outlook. This suggests that analysts remain confident in Meritage's potential for continued success.

Meritage Homes' recent performance supports this optimism. The company reported quarterly earnings of $5.34 per share, surpassing the Zacks Consensus Estimate of $5.05. Although this is a decrease from the $5.98 per share reported in the same quarter last year, it still exceeded market expectations, indicating strong financial health.

The company's strategic focus on providing quick, move-in ready homes with a 60-day closing guarantee positions it well to meet current market demand. However, risks such as tighter regulations affecting home financing and supply chain pressures due to increased new home construction remain. Despite these challenges, Meritage Homes' stock has increased by 6.6% since its last earnings report, suggesting a favorable market reaction to its financial performance.

Wedbush analysts raised their price target on Meritage Homes Corporation (NYSE:MTH) to $122 from $90 ahead of the upcoming Q4 results announcement.

According to the analysts, the recent drift lower in mortgage rates along with the unceasing need for more affordable homes should be tailwinds for the company ahead of the spring selling season.

The analysts believe the company's focus on entry-level and first move up customers using a spec home strategy matches well with current demand trends.

For Q4, the analysts expect EPS of $6.95, compared to the Street estimate of $7.09. On the top line, the analysts expect $2.0 billion in total sales, up 33% year-over-year, which is in line with the Street estimate. The analysts expect the average closing price to grow 3% year-over-year to $438,000, compared to the Street estimate of $454,000.