Meritage Homes Corporation (NYSE:MTH) previous close was $94.11 while the outstanding shares total 37.64M. The firm has a beta of 1.71, a 12-month trailing P/E ratio of 7.50, and a growth ratio of 0.69. MTH’s shares traded higher over the last trading session, gaining 0.61% on 06/17/21. The shares fell to a low of $92.93 before closing at $94.68. Intraday shares traded counted 0.42 million, which was -5.42% lower than its 30-day average trading volume of 399.44K. The stock’s Relative Strength Index (RSI) is 34.80, with weekly volatility at 2.93% and ATR at 3.35. The MTH stock’s 52-week price range has touched low of $68.19 and a $120.19 high.
Investors have identified the Residential Construction company Meritage Homes Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $3.53 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Meritage Homes Corporation (MTH) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 883.65 million total, with 541.17 million as their total liabilities.
MTH were able to record -18.94 million as free cash flow during the 07/28/2021 quarter of the year, this saw their quarterly net cash flow reduce by -29.19 million. In cash movements, the company had a total of -13.95 million as operating cash flow.
Potential earnings growth for Meritage Homes Corporation (MTH)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/28/2021 quarter of the year, Meritage Homes Corporation recorded a total of 1.09 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 16.87% coming in sequential stages and their sales for the 07/28/2021 quarter reducing by -30.06%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 816.58 million trying to sell their products during the last quarter, with the result yielding a gross income of 271.95 million. This allows shareholders to hold on to 37.64M with the recently reported earning now reading 3.50 cents per share. This is a figure that compared to analyst’s prediction for their 07/28/2021 (3.44 cents a share).
Having a look at the company’s valuation, the company is expected to record 17.56 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on MTH sounds very interesting.
Is the stock of MTH attractive?
In related news, Director, HADDOCK GERALD W sold 2,000 shares of the company’s stock in a transaction that recorded on May 11. The sale was performed at an average price of 112.59, for a total value of 225,180. As the sale deal closes, the Director, HADDOCK GERALD W now sold 2,000 shares of the company’s stock, valued at 223,780. Also, Director, HADDOCK GERALD W sold 2,000 shares of the company’s stock in a deal that was recorded on May 06. The shares were price at an average price of 110.99 per share, with a total market value of 221,980. Following this completion of acquisition, the Director, OPPEL RAYMOND now holds 6,500 shares of the company’s stock, valued at 717,665. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.40%.
3 out of 10 analysts covering the stock have rated it a Buy, while 7 have maintained a Hold recommendation on Meritage Homes Corporation. 0 analysts has assigned a Sell rating on the MTH stock. The 12-month mean consensus price target for the company’s shares has been set at $119.17.