WallStSmart

Meritage Corporation (MTH)vsNVR Inc (NVR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NVR Inc generates 78% more annual revenue ($10.44B vs $5.86B). NVR leads profitability with a 12.8% profit margin vs 7.7%. MTH appears more attractively valued with a PEG of 0.54. MTH earns a higher WallStSmart Score of 57/100 (C).

MTH

Buy

57

out of 100

Grade: C

Growth: 2.0Profit: 5.5Value: 7.3Quality: 7.3
Piotroski: 2/9Altman Z: 3.38

NVR

Buy

53

out of 100

Grade: C-

Growth: 2.0Profit: 8.5Value: 4.7Quality: 6.0
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MTHSignificantly Overvalued (-80.8%)

Margin of Safety

-80.8%

Fair Value

$43.18

Current Price

$61.59

$18.41 premium

UndervaluedFair: $43.18Overvalued
NVRSignificantly Overvalued (-172.6%)

Margin of Safety

-172.6%

Fair Value

$2970.24

Current Price

$6552.20

$3581.96 premium

UndervaluedFair: $2970.24Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MTH4 strengths · Avg: 9.5/10
P/E RatioValuation
9.6x10/10

Attractively priced relative to earnings

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.3810/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.548/10

Growing faster than its price suggests

NVR2 strengths · Avg: 9.0/10
Return on EquityProfitability
33.2%10/10

Every $100 of equity generates 33 in profit

P/E RatioValuation
14.9x8/10

Attractively priced relative to earnings

Areas to Watch

MTH4 concerns · Avg: 2.5/10
Profit MarginProfitability
7.7%3/10

7.7% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Revenue GrowthGrowth
-11.5%2/10

Revenue declined 11.5%

EPS GrowthGrowth
-48.8%2/10

Earnings declined 48.8%

NVR4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.972/10

Expensive relative to growth rate

Revenue GrowthGrowth
-5.0%2/10

Revenue declined 5.0%

EPS GrowthGrowth
-13.1%2/10

Earnings declined 13.1%

Comparative Analysis Report

WallStSmart Research

Bull Case : MTH

The strongest argument for MTH centers on P/E Ratio, Price/Book, Altman Z-Score. PEG of 0.54 suggests the stock is reasonably priced for its growth.

Bull Case : NVR

The strongest argument for NVR centers on Return on Equity, P/E Ratio.

Bear Case : MTH

The primary concerns for MTH are Profit Margin, Piotroski F-Score, Revenue Growth.

Bear Case : NVR

The primary concerns for NVR are Piotroski F-Score, PEG Ratio, Revenue Growth.

Key Dynamics to Monitor

MTH profiles as a value stock while NVR is a declining play — different risk/reward profiles.

MTH carries more volatility with a beta of 1.45 — expect wider price swings.

NVR is growing revenue faster at -5.0% — sustainability is the question.

NVR generates stronger free cash flow (436M), providing more financial flexibility.

Bottom Line

MTH scores higher overall (57/100 vs 53/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Meritage Corporation

CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA

Meritage Homes Corporation designs and builds single-family homes in the United States. The company is headquartered in Scottsdale, Arizona.

NVR Inc

CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA

NVR, Inc. is a company engaged in home construction. It also operates a mortgage banking and title services business. The company primarily operates on the East Coast of the United States.

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