MTH
Consumer CyclicalMeritage Homes Corporation · Residential Construction · $4B
What is Meritage Homes Corporation?
Meritage Homes Corporation is a mid-cap U.S. homebuilder focused on designing and selling single-family homes for first-time and first move-up buyers. Operating across nine states, the company has built its brand around energy-efficient, entry-level housing.
Meritage Homes acquires land, develops communities, and constructs single-family homes sold under the Meritage Homes brand. The company targets buyers entering the housing market or making their first major move-up purchase. Beyond homebuilding, it operates a Financial Services segment that provides title insurance and closing and settlement services directly to its homebuyers, creating an integrated transaction experience.
Founded in 1985 and headquartered in Scottsdale, Arizona, Meritage Homes has grown into one of the larger publicly traded homebuilders in the United States.
- Single-family homes for first-time buyers
- Move-up home designs across nine states
- Title insurance services for homebuyers
- Closing and settlement services
- Land acquisition and community development
Is MTH a Good Stock to Buy?
UQS Score rates MTH as Below Average overall, reflecting meaningful headwinds across several key quality dimensions.
The Valuation pillar stands out as the clearest relative bright spot, suggesting the stock may not be pricing in excessive optimism. The Risk pillar lands at Neutral, indicating the company's financial structure does not present outsized near-term balance sheet concerns compared to peers.
Quality, Moat, and Growth all register as Weak — pointing to limited competitive differentiation, constrained earnings quality, and subdued growth momentum in the current housing environment.
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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.
Does MTH pay dividends?
Yes — Meritage Homes Corporation pays a dividend.
Meritage Homes pays a regular dividend, which is relatively uncommon among mid-cap homebuilders. The dividend reflects a degree of capital return discipline, though investors should weigh it against the company's Weak Growth and Quality pillar ratings. Homebuilder dividends can be sensitive to housing cycle downturns, so the sustainability of the payout warrants monitoring.
When does MTH report earnings?
Meritage Homes reports earnings on a quarterly cadence, consistent with standard practice for U.S.-listed equities.
The company's recent results reflect the broader pressures facing the homebuilding sector, including affordability constraints and shifting buyer demand. Growth and Quality pillar ratings suggest earnings momentum has been below what the market typically rewards in this space.
For the most recent quarter's results and guidance, visit Meritage Homes' investor relations page directly.
MTH Price History
+36.3% over 5Y
Monthly close, adjusted for stock splits and dividend reinvestment.
What if I invested in Meritage Homes Corporation?
Based on Meritage Homes Corporation's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.
MTH Long-term Outlook
The fundamental outlook for MTH is shaped by Weak Growth and Weak Quality pillar ratings, suggesting limited near-term earnings expansion. The Neutral Risk profile provides some stability, while the Good Valuation label indicates the market may already be reflecting a cautious view. A recovery in housing affordability or mortgage rates could shift the trajectory, but the current pillar profile does not point to a near-term reacceleration.
Growth drivers
- Potential recovery in first-time buyer demand if mortgage rates ease
- Geographic diversification across nine high-growth Sun Belt and Southeast states
- Integrated financial services segment adding incremental revenue per transaction
Key risks
- Prolonged housing affordability pressure weighing on order volumes
- Weak Moat rating limits pricing power in a competitive land and labor market
- Cyclical sensitivity of homebuilding revenues to interest rate movements
MTH vs Peers
Meritage Homes operates in a competitive homebuilding and manufactured housing landscape alongside several publicly traded peers.
Champion Homes focuses on factory-built and manufactured housing, targeting a lower price point than Meritage's site-built single-family model.
Cavco operates in manufactured and modular housing with a distinct off-site construction approach, differing from Meritage's traditional on-site development model.
Tri Pointe competes directly in the site-built single-family segment, with a similar focus on move-up and entry-level buyers across overlapping Western and Southern markets.
Frequently Asked Questions
What does Meritage Homes do?
Meritage Homes designs, builds, and sells single-family homes across nine U.S. states, primarily targeting first-time and first move-up buyers. The company also provides title insurance and closing services through its Financial Services segment, offering buyers an end-to-end transaction experience under one brand.
Does MTH pay dividends?
Yes, Meritage Homes pays a regular dividend. This is relatively uncommon among mid-cap homebuilders. Investors should note that homebuilder dividends are sensitive to housing cycle conditions, and the company's current pillar profile warrants attention when assessing payout sustainability.
When does MTH report earnings?
Meritage Homes follows a standard quarterly earnings cadence for U.S.-listed companies. For the exact schedule and most recent results, check the investor relations section of the Meritage Homes corporate website.
Is MTH a good stock to buy?
UQS Score rates MTH as Below Average overall. The Valuation pillar is the clearest positive, while Quality, Moat, and Growth all register as Weak. Whether MTH fits a portfolio depends on individual risk tolerance and investment goals. The full pillar breakdown is available to UQS Pro members.
Is MTH overvalued?
The UQS Valuation pillar for MTH is rated Good, suggesting the stock is not trading at a stretched premium relative to its fundamentals. That said, a favorable valuation label alone does not offset the Weak ratings in Quality, Growth, and Moat. View the complete valuation metrics with a Pro account.
How does MTH compare to its competitors?
Among its closest peers — Tri Pointe Homes, Champion Homes, and Cavco Industries — Meritage Homes is distinguished by its focus on site-built single-family homes and its integrated financial services offering. Tri Pointe is the most direct competitor in terms of buyer segment and geography.
What is MTH's market cap bracket?
Meritage Homes is classified as a mid-cap company. This places it in a tier that typically offers more liquidity than small-cap homebuilders but less scale and pricing power than the largest publicly traded homebuilding conglomerates.
Who founded Meritage Homes?
Meritage Homes was founded in 1985 and is headquartered in Scottsdale, Arizona. Founding details and leadership history are widely available through the company's official corporate history and public filings.
Is MTH a long-term quality stock?
As a long-term quality indicator, MTH's current UQS profile presents challenges. Weak ratings in Quality, Moat, and Growth suggest the business lacks the durable competitive advantages typically associated with long-term compounders. The Neutral Risk and Good Valuation ratings offer partial offsets worth monitoring over time.
What is the main competitive advantage of Meritage Homes?
Meritage Homes has historically emphasized energy-efficient home construction and a streamlined buying experience, including in-house title and closing services. However, the UQS Moat pillar rates as Weak, indicating these advantages may not yet translate into durable pricing power or above-average returns relative to sector peers.
What sector does MTH belong to?
MTH is classified under the Consumer Cyclical sector. Homebuilders in this sector are directly exposed to interest rate cycles, consumer confidence, and housing affordability trends — all of which can significantly influence revenue and margins across reporting periods.
Is MTH a growth stock or value stock?
Based on UQS pillar labels, MTH leans toward value territory — the Valuation pillar is rated Good while the Growth pillar is Weak. This combination suggests the stock may be priced modestly relative to current fundamentals, but without strong growth momentum to drive near-term earnings expansion.
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Pro Analysis
MTH — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| May 22, 2026 | 35.6 | 49.6 | 15.0 | 5.5 | 72.9 | 49.4 | -0.4 |
| May 18, 2026 | 36.0 | 50.2 | 15.0 | 5.5 | 72.9 | 51.1 | +7.2 |
| May 7, 2026 | 28.8 | 31.7 | 15.0 | 5.5 | 56.7 | 49.9 | +0.2 |
| May 3, 2026 | 28.6 | 31.7 | 15.0 | 5.5 | 56.7 | 48.5 | +0.4 |
| May 1, 2026 | 28.2 | 31.7 | 15.0 | 5.5 | 56.7 | 46.4 | -1.8 |
| Apr 26, 2026 | 30.0 | 31.7 | 15.0 | 9.4 | 56.7 | 52.8 | -2.0 |
| Apr 25, 2026 | 32.0 | 31.7 | 15.0 | 11.5 | 56.7 | 63.3 | -0.6 |
| Apr 23, 2026 | 32.6 | 31.7 | 15.0 | 13.1 | 56.7 | 65.3 | -0.5 |
| Apr 19, 2026 | 33.1 | 31.7 | 15.0 | 14.1 | 56.7 | 67.1 | -0.1 |
| Apr 18, 2026 | 33.2 | 31.8 | 15.0 | 14.1 | 56.7 | 67.9 | -1.8 |
MTH — Pillar Breakdown
Quality
— 49.6/100 (25%)Meritage Homes Corporation has average quality metrics, with room for improvement in margins or capital efficiency.
How effectively capital is deployed to generate returns.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Asset productivity — how much gross profit each dollar of assets generates.
Free cash flow relative to market value.
Growth
— 5.5/100 (20%)Meritage Homes Corporation faces growth headwinds with declining or stagnant revenue trends.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 72.9/100 (15%)Meritage Homes Corporation maintains a reasonable risk profile with manageable debt levels.
Debt levels relative to earnings capacity.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 49.8/100 (15%)Meritage Homes Corporation has a mixed valuation — some metrics suggest fair value while others appear stretched.
Inverse of forward P/E — higher yield means cheaper stock.
How many years of FCF the market cap represents.
P/E relative to earnings growth — lower is more attractive.
Enterprise value multiple relative to sector median.
Moat
— 15/100 (25%)Meritage Homes Corporation operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for MTH.
Score Composition
Financial Data
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How is the MTH UQS Score Calculated?
The UQS (Unified Quality Score) for Meritage Homes Corporation is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses Meritage Homes Corporation's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether Meritage Homes Corporation is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.