BofA analyst Rafe Jadrosich downgraded Meritage Homes (MTH) to Neutral from Buy with a price target of $82, up from $75. The firm sees downside risk to Meritage’s consensus 2026 gross margin estimates given its higher exposure to entry-level product and ongoing land inflation. Following the stock’s recent rally, Meritage’s valuation no longer screens as compelling relative to its return on equity, the analyst tells investors in a research note.
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Read More on MTH:
- Meritage Homes downgraded to Neutral from Buy at BofA
- Meritage Homes price target raised to $90 from $82 at Goldman Sachs
- Meritage Homes initiated with an Outperform at Citizens
- Meritage Homes price target raised to $104 from $101 at UBS
- Meritage Homes price target lowered to $77 from $78 at Evercore ISI