Health score, competitive moat, risk signals, and key metrics at a glance.
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, Alabama, Florida, Georgia, Mississippi, North Carolina, South Carolina, and Tennessee. The company also provides title and escrow, mortgage, insurance, title insurance, and closing/settlement services to its homebuyers. Meritage Homes Corporation was founded in 1985 and is based in Scottsdale, Arizona.
Competitive analysis based on 60 quarters of fundamental data
Operating margins are positive at ~11.6% on average, but show some variability — pricing power may be sensitive to market conditions.
ROE is positive at ~12.6% on average, adequate but below the threshold typically associated with wide moats.
Data-driven red flags and warnings across 60 quarters
Operating margins dropped 43.0% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.
Free cash flow has been negative in 5 of the last 8 quarters — earnings are not translating to cash.
D/E ratio is 0.1 — conservative capital structure with low financial risk.
Revenue declined in 7 of the last 7 quarters — persistent contraction signals a fundamental problem.
The last 4 consecutive quarters had negative FCF — the company is burning cash and may need external funding.
Shares decreased 7.3% — net buybacks are reducing shares outstanding and boosting per-share value.
as of March 2026
Revenue, EBITDA, operating income, net income, EPS, and shares
Gross, EBITDA, operating, and net margin trends
P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield
Total assets, cash, debt, book value, and leverage
Operating cash flow, free cash flow, FCF margin, and earnings quality
Only 3 of the last 8 quarters had positive FCF — the business may require external capital to sustain operations.
Revenue has been flat or declining over recent quarters, which may indicate eroding demand or competitive pressure.
