MTH

Meritage Homes Corporation Consumer Discretionary - Homebuilders Investor Relations →

NO
15.5% ABOVE
↑ Moving away Was 6.1% last week
-15% -10% -5% 0% 5% 10% 15%+
Buy Threshold $65.71
14-Week RSI 62

Meritage Homes Corporation (MTH) closed at $75.91 as of 2026-02-02, trading 15.5% above its 200-week moving average of $65.71. The stock moved further from the line this week, up from 6.1% last week. The 14-week RSI sits at 62, indicating neutral momentum.

Over the past 1910 weeks of data, MTH has crossed below its 200-week moving average 22 times. On average, these episodes lasted 30 weeks. Historically, investors who bought MTH at the start of these episodes saw an average one-year return of +51.1%.

With a market cap of $5.3 billion, MTH is a mid-cap stock. Free cash flow yield is currently negative, meaning the company is burning cash. Return on equity stands at 8.8%. The stock trades at 1.0x book value.

Over the past 33.2 years, a hypothetical investment of $100 in MTH would have grown to $11235, compared to $2849 for the S&P 500. That represents an annualized return of 15.3% vs 10.6% for the index — confirming MTH as a market-beating investment and the kind of quality company where buying during 200-week moving average touches has historically been rewarded.

Free cash flow has been declining. A deteriorating cash flow trend warrants extra scrutiny — the stock may be cheap for a reason.

Growth of $100: MTH vs S&P 500

Monthly data normalized to $100 at start. Vertical dashed lines mark 200-week MA touches.

What Happens After MTH Crosses Below the Line?

Across 21 historical episodes, buying MTH when it crossed below its 200-week moving average produced an average return of +47.5% after 12 months (median +21.0%), compared to +14.3% for the S&P 500 over the same periods. 62% of those episodes were profitable after one year. After 24 months, the average return was +116.8% vs +25.9% for the index.

Each line shows $100 invested at the moment MTH crossed below its 200-week MA. Bold blue = stock average. Gray dashed = S&P 500 average over same periods.

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Historical Touches

MTH has crossed below its 200-week MA 22 times with an average 1-year return of +51.1% after recovery.

Crossed BelowRecoveredWeeksMax Depth1-Year ReturnReturn Since Touch
Jul 1989Dec 19907857.4%-12.7%+9719.2%
Jul 1992Jan 199618278.4%-60.0%+5891.9%
Feb 1996Mar 199621.1%+12.9%+12182.0%
Mar 1996Apr 199634.4%+21.5%+13126.7%
May 1997May 199712.3%+301.8%+13724.3%
Oct 1999May 20002920.2%+82.6%+5840.5%
May 2000Jul 200088.7%+300.0%+5946.0%
Jul 2006Oct 20061318.7%-33.6%+312.0%
Oct 2006Nov 200645.2%-61.2%+271.1%
Dec 2006Apr 201017484.4%-61.6%+246.7%
May 2010Nov 20102628.6%+5.1%+650.2%
Nov 2010Nov 201025.8%-0.2%+726.8%
Aug 2011Nov 20111319.2%+108.4%+821.2%
Nov 2011Nov 201110.7%+90.0%+749.7%
Oct 2014Oct 201411.5%+17.9%+372.1%
Dec 2014Dec 201414.9%+1.1%+380.4%
Jan 2015Jan 201526.4%-14.7%+371.9%
Sep 2015May 20178730.0%-10.8%+310.3%
Sep 2018Jan 20191818.0%+73.2%+300.1%
Mar 2020Apr 2020632.4%+181.2%+410.9%
Jun 2022Jun 2022213.3%+98.6%+142.7%
Aug 2022Nov 20221015.9%+83.8%+106.9%
Average30+51.1%

Not financial advice. This is an educational tool. Past performance does not guarantee future results. Do your own research before making investment decisions.

Data as of Friday close, 2026-02-02