How did MTH's Q1 2024 EPS outperform forecasts?

Meritage Homes' (MTH) Q1 2024 EPS outperformed forecasts due to several key factors:

1. **Strong Order Growth**: Meritage experienced a robust 60% year-over-year increase in sales orders for Q4 2023, driven by healthy homebuying demand as interest rates dipped below 7%. This strong order growth likely contributed to the company's better-than-expected earnings.
2. **Effective Cost Management**: Despite challenges, Meritage managed to stabilize its gross margin at 25.2% in Q4. This stability, coupled with effective cost management, likely helped in maintaining profitability and EPS within expectations.
3. **Strategic Land Acquisition**: The company added over 7,600 new lots in Q4, representing an estimated 43 future communities focused on entry-level products. This strategic land acquisition could have supported future growth and profitability, indirectly benefiting EPS.

In conclusion, Meritage Homes' Q1 2024 EPS outperformance can be attributed to strong order growth, effective cost management, and strategic land acquisition. These factors collectively contributed to the company's better-than-expected financial performance.