StockStory Flags Meritage Homes’ Backlog and EPS Declines
The publisher sees limited upside in Meritage Homes, citing a shrinking backlog, lower per-share earnings and declining returns on invested capital.
Key takeaways
- Meritage Homes’ backlog was $661.9 million in the latest quarter, StockStory said.
- StockStory reported that EPS fell 7.7% annually over five years while revenue grew 1.8%.
StockStory said it sees limited opportunity in Meritage Homes, citing a $661.9 million backlog in the latest quarter and declines in orders. The publisher said the backlog had fallen an average of 27.6% year over year over the past two years.
The publisher also said earnings per share declined 7.7% annually over the past five years, while revenue grew 1.8%. It noted that the company’s return on invested capital had decreased in recent years, without giving a figure.
StockStory called the stock’s valuation of 11.8 times forward earnings reasonable but said it did not see a significant opportunity. The article cited a share price of $58.81; as of 19:59 UTC on Oct. 12, shares traded at $57.86, down 1.62% from the previous close.
This article was produced with the help of AI technology. Source: Yahoo Finance
