Meritage Homes' 15min chart shows KDJ Death Cross, Bearish Marubozu signal.

Based on the analysis of Meritage Homes' 15-minute chart, there has been a significant shift in the momentum of the stock price, as evidenced by the KDJ Death Cross and Bearish Marubozu at 10/07/2025 14:45. This suggests that the market is currently controlled by sellers and that the bearish momentum is likely to persist, potentially leading to further decreases in the stock price.

Meritage Homes (MTH) has recently seen fluctuations in its stock price, attracting investor attention to the homebuilding sector's shifting dynamics. The company's shares have dipped slightly over the past year, reflecting a recalibration in investor sentiment within the housing market. Despite this, long-term shareholder returns remain positive, indicating resilience despite sector uncertainties and market volatility Meritage Homes (MTH): Exploring Valuation as Investor Attention Shifts in the Homebuilding Sector^[1].

The latest stock price of MTH stands at $73.52, showing limited near-term momentum. Analysts, however, suggest that MTH is undervalued, with a fair value of $86.13 per share Meritage Homes (MTH): Exploring Valuation as Investor Attention Shifts in the Homebuilding Sector^[1]. This valuation gap is driven by optimistic projections for future earnings and margins, supported by aggressive growth bets in key regions. However, persistent affordability challenges or a sudden drop in buyer confidence could undermine MTH's growth outlook and put pressure on future earnings.

A contrasting perspective is provided by the SWS DCF model, which suggests that MTH's fair value is significantly lower than its current market price. This model challenges the optimism behind the consensus price target, indicating potential hidden risks not yet priced in Meritage Homes (MTH): Exploring Valuation as Investor Attention Shifts in the Homebuilding Sector^[1].

In addition to analyst views, insider buying activity has also been notable. Director Joseph Keough recently purchased 4,000 shares of MTH for $66.16 per share, with a total value of $264,640.00 on June 12, 2025 Meritage Homes Named Top Dividend Stock With Insider Buying and 2.30% Yield (MTH)^[2]. This purchase price was significantly lower than the current market price of $72.39, suggesting that insiders believe in MTH's undervalued potential.

The 15-minute chart analysis of MTH indicates a significant shift in momentum, with a KDJ Death Cross and Bearish Marubozu at 10/07/2025 14:45. This suggests that the market is currently controlled by sellers, and bearish momentum is likely to persist, potentially leading to further decreases in the stock price.

Investors should carefully consider these factors and consult with financial professionals before making investment decisions. The stock market is volatile, and past performance is not indicative of future results.