Analysts on Wall Street project that Meritage Homes (MTH) will announce quarterly earnings of $1.71 per share in its forthcoming report, representing a decline of 32.4% year over year. Revenues are projected to reach $1.35 billion, declining 8.4% from the same quarter last year.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 0.5% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific Meritage metrics that are routinely monitored and predicted by Wall Street analysts.
The collective assessment of analysts points to an estimated 'Revenue- Total closing revenue (Homebuilding)' of $1.35 billion. The estimate indicates a change of -8% from the prior-year quarter.
Analysts expect 'Revenue- Home closing' to come in at $1.35 billion. The estimate indicates a change of -8.1% from the prior-year quarter.
The combined assessment of analysts suggests that 'Revenue- Financial Services' will likely reach $6.42 million. The estimate points to a change of +1% from the year-ago quarter.
It is projected by analysts that the 'Homes ordered - Total' will reach 4,222. Compared to the present estimate, the company reported 3,991 in the same quarter last year.
Analysts forecast 'Home Closing Revenue - Average sales price - Total' to reach $399.89. The estimate is in contrast to the year-ago figure of $418.
The average prediction of analysts places 'Order Backlog - Total' at 2,398. Compared to the current estimate, the company reported 3,033 in the same quarter of the previous year.
The consensus estimate for 'Homes closed - Total' stands at 3,368. The estimate is in contrast to the year-ago figure of 3,507.
Analysts predict that the 'Order Backlog - Average sales price - Total' will reach $404.29. Compared to the current estimate, the company reported $410 in the same quarter of the previous year.
The consensus among analysts is that 'Order Backlog Value - Total' will reach $975.98 million. The estimate is in contrast to the year-ago figure of $1.24 billion.
Analysts' assessment points toward 'Active Communities - Ending - Total' reaching 300. The estimate compares to the year-ago value of 275.
Based on the collective assessment of analysts, 'Homes Ordered Value - Total' should arrive at $1.68 billion. The estimate is in contrast to the year-ago figure of $1.63 billion.
According to the collective judgment of analysts, 'Home Orders - Average sales price - Total' should come in at $399.08. Compared to the present estimate, the company reported $409 in the same quarter last year.
View all Key Company Metrics for Meritage here>>>
Over the past month, Meritage shares have recorded returns of -7.5% versus the Zacks S&P 500 composite's -5.6% change. Based on its Zacks Rank #3 (Hold), MTH will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Meritage Homes Corporation (MTH): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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