Several construction and industrial product sector stocks may be poised to soar as we progress through the spring and summer, which are the peak seasons for industrial production.
A number of stocks fell in the afternoon session after stocks gave back some of the gains from the previous day as the White House clarified the tariffs on imports from China would add up to 145%, while the baseline 10% tariffs remained in place for most countries. This added layer of uncertainty reminded investors that the global trade environment remained volatile, limiting the potential for sustained market gains.
As the Q4 earnings season wraps, let’s dig into this quarter’s best and worst performers in the home builders industry, including Meritage Homes (NYSE:MTH) and its peers.
As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q4. Today, we are looking at home builders stocks, starting with KB Home (NYSE:KBH).
Meritage Homes’s stock price has taken a beating over the past six months, shedding 22.2% of its value and falling to $74.61 per share. This may have investors wondering how to approach the situation.
Homebuilder Meritage Homes (NYSE:MTH) announced better-than-expected revenue in Q4 CY2024, but sales fell by 2.8% year on year to $1.61 billion. On the other hand, the company’s full-year revenue guidance of $6.75 billion at the midpoint came in 1.7% below analysts’ estimates. Its non-GAAP profit of $4.72 per share was significantly above analysts’ consensus estimates.
Consider MERITAGE HOMES CORP as a top value stock. NYSE:MTH shines in terms of profitability, solvency, and liquidity, all while remaining very reasonably priced.
Since June 2024, Meritage Homes has been in a holding pattern, posting a small return of 4.1% while floating around $177.01. The stock also fell short of the S&P 500’s 12.1% gain during that period.
Homebuilder stocks have rallied for much of the last year but recently dipped; is this an opportunity to buy or a correction of investor overzealousness?
