Meritage Homes Corporation (MTH) Stock Analysis
Last updated Oct 27, 2026
Health Check
Last analyzed Oct 24, 2026
- Financial Health 60
- Profitability 50
- Business Quality 60
- Balance Sheet 55
- Cash Flow 45
Why this rating?
Health 54/100 — Acceptable
Entry timing is weak right now. Quality may be fine; the setup is not.
Company overview
Meritage Homes Corporation (MTH) is a Residential Construction company in the Consumer Cyclical sector. Compound Radar rates Meritage Homes Corporation 54/100 (Acceptable) due to solid business quality, manageable leverage, and attractive valuation.
Investment profile
- Quality Moderate
- Growth Soft
- Balance Sheet Adequate
- Valuation Attractive
Financial highlights
Valuation
- P/E 13.35
- Forward P/E 11.63
- PEG 0.54
- EV/Revenue 0.97
Profitability
- Revenue Growth -13.8%
- Gross Margin 18.3%
- Operating Margin 8.2%
- Net Margin 6.1%
- ROE 6.4%
Financial strength
- Cash $807.27M
- Debt $1.91B
- Net Cash $-1.10B
- Free Cash Flow $92.57M
- Current Ratio 14.36
Similar companies
Peers in Residential Construction, ranked by Financial Health.
Latest quoted price for the name. Helps anchor the setup in today’s market level.
Health Entry- PulteGroup, Inc. Residential Construction PHM$121.63 62 Health 62 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Strong Entry Strong EntryTiming looks favorable across trend, momentum, valuation, support, and catalysts.
- Taylor Morrison Home Corp Residential Construction TMHC$72.45 61 Health 61 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- D.R. Horton, Inc. Residential Construction DHI$147.02 54 Health 54 / 100
Weaker fundamentals relative to higher-quality names in the universe.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Lennar Corporation Residential Construction LEN$84.58 54 Health 54 / 100
Weaker fundamentals relative to higher-quality names in the universe.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Toll Brothers, Inc. Residential Construction TOL$141.95 54 Health 54 / 100
Weaker fundamentals relative to higher-quality names in the universe.
Strong Entry Strong EntryTiming looks favorable across trend, momentum, valuation, support, and catalysts.
- KB Home Residential Construction KBH$46.77 50 Health 50 / 100
Weaker fundamentals relative to higher-quality names in the universe.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
FAQ
How Compound Radar scores and tracks Meritage Homes Corporation (MTH).