Meritage Homes Valuation
| MEY Stock | EUR 72.00 1.00 1.37% |
At this time, the firm appears to be overvalued. Meritage Homes secures a last-minute Real Value of €64.9 per share. The latest price of the firm is €72.0. Our model forecasts the value of Meritage Homes from analyzing the firm fundamentals such as Profit Margin of 0.16 %, current valuation of 4.03 B, and Return On Equity of 0.28 as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Meritage Homes' price fluctuation is very steady at this time. Calculation of the real value of Meritage Homes is based on 3 months time horizon. Increasing Meritage Homes' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Meritage stock is determined by what a typical buyer is willing to pay for full or partial control of Meritage Homes. Since Meritage Homes is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Meritage Stock. However, Meritage Homes' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 72.0 | Real 64.9 | Hype 72.0 | Naive 76.1 |
The real value of Meritage Stock, also known as its intrinsic value, is the underlying worth of Meritage Homes Company, which is reflected in its stock price. It is based on Meritage Homes' financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Meritage Homes' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Meritage Homes helps investors to forecast how Meritage stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Meritage Homes more accurately as focusing exclusively on Meritage Homes' fundamentals will not take into account other important factors: Meritage Homes Total Value Analysis
Meritage Homes is now estimated to have takeover price of 4.03 B with market capitalization of 3.66 B, debt of 1.15 B, and cash on hands of 407.43 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Meritage Homes fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
4.03 B | 3.66 B | 1.15 B | 407.43 M |
Meritage Homes Investor Information
About 100.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 0.9. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Meritage Homes recorded earning per share (EPS) of 24.54. The entity last dividend was issued on the 14th of March 2023. The firm had 1:2 split on the 11th of October 2024. Based on the key indicators related to Meritage Homes' liquidity, profitability, solvency, and operating efficiency, Meritage Homes is not in a good financial situation at the moment. It has a very high risk of going through financial straits in February.Meritage Homes Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Meritage Homes has an asset utilization ratio of 109.11 percent. This implies that the Company is making €1.09 for each dollar of assets. An increasing asset utilization means that Meritage Homes is more efficient with each dollar of assets it utilizes for everyday operations.Meritage Homes Ownership Allocation
Meritage Homes maintains a total of 36.57 Million outstanding shares. The majority of Meritage Homes outstanding shares are owned by institutional investors. These third-party entities are usually referred to as non-private investors looking to shop for positions in Meritage Homes to benefit from reduced commissions. Consequently, institutional holders are subject to a different set of regulations than regular investors in Meritage Homes. Please pay attention to any change in the institutional holdings of Meritage Homes as this could imply that something significant has changed or is about to change at the company. Also note that almost six hundred twenty-one thousand seven hundred fourteen invesors are currently shorting Meritage Homes expressing very little confidence in its future performance.Meritage Homes Profitability Analysis
The company reported the revenue of 6.3 B. Net Income was 992.19 M with profit before overhead, payroll, taxes, and interest of 1.8 B.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Meritage Homes' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Meritage Homes and how it compares across the competition.
About Meritage Homes Valuation
The stock valuation mechanism determines Meritage Homes' current worth on a weekly basis. Our valuation model uses a comparative analysis of Meritage Homes. We calculate exposure to Meritage Homes's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Meritage Homes's related companies.Meritage Homes Corporation designs and builds single-family homes in the United States. Meritage Homes Corporation was founded in 1985 and is based in Scottsdale, Arizona. MERITAGE HOMES operates under Residential Construction classification in Germany and is traded on Frankfurt Stock Exchange. It employs 1615 people.
8 Steps to conduct Meritage Homes' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Meritage Homes' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Meritage Homes' valuation analysis, follow these 8 steps:- Gather financial information: Obtain Meritage Homes' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Meritage Homes' revenue streams: Identify Meritage Homes' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Meritage Homes' industry and market trends, including the size of the market, growth rate, and competition.
- Establish Meritage Homes' growth potential: Evaluate Meritage Homes' management, business model, and growth potential.
- Determine Meritage Homes' financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Meritage Homes' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Complementary Tools for Meritage Stock analysis
When running Meritage Homes' price analysis, check to measure Meritage Homes' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Meritage Homes is operating at the current time. Most of Meritage Homes' value examination focuses on studying past and present price action to predict the probability of Meritage Homes' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Meritage Homes' price. Additionally, you may evaluate how the addition of Meritage Homes to your portfolios can decrease your overall portfolio volatility.
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