By Kristena Hansen | Phoenix Business Journal
It’s been a good week so far on Wall Street for Scottsdale-based Meritage Homes Corp. (NYSE: MTH), receiving a strong stock upgrade from one analyst and another favorable rating from a new analyst.
ISI Group upgraded the home builder’s stock from a “buy” to a “strong buy” rating on Monday and increased its price target from $51 per share to $53. On Wednesday, Stern Agee initiated coverage of Meritage with a “buy” rating and a $49 price target.
Meritage stock closed trading day Wednesday at $43.35 per share, a slight 0.6 percent increase from the previous day’s closing price. Its 52-week range is $24.31 and $44.93.
“We believe this management has created a strong, sophisticated operational platform that allows for useful growth both within current markets and into new markets,” an ISI analyst said about the basis for the upgrade, according to an article by Benzinga. “The MTH story is accelerating strongly with better earnings growth potential than most other builders. Further, the track-record on execution is such that they deserve a premium valuation.”
If you’d like to discuss real estate matters, contact RLG founder Jordan Rose, jrose@roselawgroup.com
