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Meritage HomesMTH +1.00%79 EV-to-EBIT is 13.80 as of Aug. 14, 2026, which is 64% above its 10-year median of 8.39. GuruFocus rates MTH with a GF Score™ of 79/100 and a GF Value™ of $69.96 (Fairly Valued). The stock has 5 warning signs investors should review. Among 79 Homebuilding & Construction companies, Meritage Homes ranks worse than 58.23% on this metric.
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Meritage Homes's Enterprise Value for the quarter that ended in Jun. 2026 was $6,505 Mil.
Meritage Homes's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $427 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Meritage Homes EV-to-EBIT Related Terms
Meritage Homes EV-to-EBIT Historical Data
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The historical data trend for Meritage Homes's EV-to-EBIT can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Residential Construction subindustry, Meritage Homes's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Meritage Homes EV-to-EBIT vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Meritage Homes's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Meritage Homes's EV-to-EBIT falls into.
Meritage Homes's current Enterprise Value is $5,898 Mil.
Meritage Homes's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $427 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Meritage Homes (MTH) has a EV-to-EBIT of 13.80 as of Aug. 14, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Meritage Homes and its competitors. This is 64% above median its historical median of 8.39. Over the past decade, Meritage Homes' EV-to-EBIT has ranged from 2.66 to 15.11. According to the industry distribution chart, Meritage Homes ranks #46 out of 79 companies in the Homebuilding & Construction industry, placing it in the top 58.2%.
Is Meritage Homes' EV-to-EBIT too high?
Meritage Homes' current EV-to-EBIT of 13.80 is 64% above median its 10-year median of 8.39. Over the past 10 years, this metric has ranged from a low of 2.66 to a high of 15.11. The Homebuilding & Construction industry median EV-to-EBIT is 11.18. Meritage Homes' value of 13.80 is 23.4% above this industry median. Based on the distribution chart, Meritage Homes ranks #46 out of 79 companies in the Homebuilding & Construction industry, which is below the industry midpoint. Overall, Meritage Homes has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Meritage Homes' EV-to-EBIT compare to SKY and CVCO?
According to the Homebuilding & Construction industry distribution chart, Meritage Homes ranks #46 out of 79 companies for EV-to-EBIT. This places Meritage Homes in the lower half of its industry. The industry median EV-to-EBIT is 11.18. Meritage Homes' value of 13.80 is 23.4% above this benchmark. Historically, Meritage Homes' own EV-to-EBIT has ranged from 2.66 to 15.11 over the past decade. While the company's 10-year median is 8.39 vs. the industry median of 11.18, Meritage Homes has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Homebuilding & Construction company?
The median EV-to-EBIT among Homebuilding & Construction companies is 11.18, based on 79 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Meritage Homes's current EV-to-EBIT of 13.80 is 23.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Meritage Homes and its competitors. For the Homebuilding & Construction industry, the median EV-to-EBIT is 11.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Meritage Homes's current EV-to-EBIT is 13.80, which is 64% above median its own 10-year median of 8.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Meritage Homes stock overvalued right now?
Based on GuruFocus' analysis, Meritage Homes (MTH) is currently considered Fairly Valued. The stock's GF Value™ is $69.96, compared to a current price of $73.62 — trading 5.2% above its estimated fair value. The current EV-to-EBIT is 13.80, which is 64% above median its 10-year median of 8.39 and 23.4% above the Homebuilding & Construction industry median of 11.18. Meritage Homes' overall GF Score™ is 79/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Meritage Homes (MTH), the current EV-to-EBIT is 13.80 as of Aug. 14, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Meritage Homes (MTH) Overvalued in 2026?
Based on GuruFocus' analysis, Meritage Homes stock appears to be overvalued.
The current stock price of $73.62 is trading 5.2% above its estimated GF Value™ of $69.96.
GuruFocus considers Meritage Homes to be Fairly Valued.
Key valuation signals for MTH:
EV-to-EBIT: 13.80 (64% above median its 10-year median of 8.39)
GF Value™: $69.96 vs. price of $73.62 (5.2% above fair value)
Industry Position: 23.4% above the Homebuilding & Construction median (#46 of 79)
No single metric tells the full story. See the MTH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Meritage Homes Corp is engaged as a designer and builder of single-family attached and detached homes. It has operations in three regions: West, Central, and East, comprising twelve states: Arizona, California, Colorado, Utah, Tennessee, Texas, Alabama, Florida, Georgia, Mississippi, North Carolina, and South Carolina. The company operates with two principal business segments: homebuilding and financial services. The homebuilding segments are engaged in the business of acquiring and developing land, constructing homes, marketing and selling those homes, and providing warranty and customer services, and the financial services segment offers title and escrow, mortgage, and insurance services. The company generates key revenue from the Homebuilding segment.
79GF Score
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