Meritage Homes falls after Truist cuts to 'hold', trims PT on major homebuilders

Lennar

16/09/2026 13:19

** Shares of U.S. homebuilder Meritage Homes MTH.N fall 2.3% to $64.25 premarket
** Truist downgrades MTH to "hold" from "buy", cuts price target to $72 from $80; also reduces PT of some peers 
** New PT still implies a 9.5% upside over last close
** Brokerage says MTH lacks near-term catalysts; sees no imminent recovery in entry-level housing market
** Large owned-land portfolios could make Mertitage, KB Home acquisition targets - Truist
** Says rising mortgage rates could prompt homebuilders to increase incentives through 2027, weighing on pricing power and profitability
** As of last close, the S&P 1500 Homebuilding index had fallen 6.4% YTD .SPCOMHOME
Companies
New PT
Old PT
D.R. Horton
$140
$150
Lennar
$75
$80
KBH
$55
$56

 (Reporting by Apratim Sarkar in Bengaluru)
 ((Apratim.Sarkar@thomsonreuters.com))