KBH vs. MTH
KBH (KB Home) and MTH (Meritage Homes Corporation) are both stocks. Both operate in the Residential Construction industry within the Consumer Cyclical sector. Over the past 10 years, KBH returned 14.99%/yr vs 15.99%/yr for MTH. A 0.54 correlation means they provide meaningful diversification when combined.
Performance
KBH vs. MTH - Performance Comparison
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Returns By Period
In the year-to-date period, KBH achieves a -5.67% return, which is significantly lower than MTH's 15.73% return. Over the past 10 years, KBH has underperformed MTH with an annualized return of 14.99%, while MTH has yielded a comparatively higher 15.99% annualized return.
KBH
- 1D
- 0.40%
- 1M
- 8.50%
- YTD
- -5.67%
- 6M
- -6.36%
- 1Y
- 0.64%
- 3Y*
- 2.03%
- 5Y*
- 7.14%
- 10Y*
- 14.99%
MTH
- 1D
- -0.86%
- 1M
- 17.67%
- YTD
- 15.73%
- 6M
- 16.17%
- 1Y
- 20.56%
- 3Y*
- 5.16%
- 5Y*
- 11.38%
- 10Y*
- 15.99%
KBH vs. MTH - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
KBH KB Home | -5.67% | -12.72% | 6.64% | 99.04% | -27.48% | 35.29% | -0.86% | 82.31% | -39.98% | 103.05% |
MTH Meritage Homes Corporation | 15.73% | -12.32% | -10.16% | 90.53% | -24.46% | 47.38% | 35.53% | 66.42% | -28.28% | 47.13% |
Correlation
The correlation between KBH and MTH is 0.87, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.87 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.87 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.88 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.84 |
Correlation (All Time) Calculated using the full available price history since Dec 16, 1988 | 0.54 |
Over the past year, KBH and MTH have become more correlated (0.87) than their long-term average of 0.54, meaning their price movements have been converging.
Fundamentals
KBH:
$3.33B
MTH:
$5.06B
KBH:
$4.19
MTH:
$5.52
KBH:
12.58
MTH:
13.61
KBH:
0.62
MTH:
0.94
KBH:
0.74
MTH:
0.99
KBH:
$5.50B
MTH:
$5.61B
KBH:
$590.65M
MTH:
$1.05B
KBH:
$335.69M
MTH:
$575.32M
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Return for Risk
KBH vs. MTH — Risk / Return Rank
KBH
MTH
KBH vs. MTH - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for KB Home (KBH) and Meritage Homes Corporation (MTH). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| KBH | MTH | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.51 | ||
| Sortino ratioReturn per unit of downside risk | -0.82 | ||
| Omega ratioGain probability vs. loss probability | 1.04 | 1.12 | -0.09 |
| Calmar ratioReturn relative to maximum drawdown | 0.02 | 0.75 | -0.73 |
| Martin ratioReturn relative to average drawdown | 0.04 | 1.42 | -1.38 |
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Drawdowns
KBH vs. MTH - Drawdown Comparison
The maximum KBH drawdown since its inception was -92.78%, roughly equal to the maximum MTH drawdown of -93.22%. Use the drawdown chart below to compare losses from any high point for KBH and MTH.
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Drawdown Indicators
| KBH | MTH | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -92.78% | -93.22% | +0.44% |
Max Drawdown (1Y)Largest decline over 1 year | -32.85% | -27.68% | -5.17% |
Max Drawdown (3Y)Largest decline over 3 years | -48.27% | -42.95% | -5.32% |
Max Drawdown (5Y)Largest decline over 5 years | -48.27% | -46.77% | -1.50% |
Max Drawdown (10Y)Largest decline over 10 years | -72.38% | -64.27% | -8.11% |
Current DrawdownCurrent decline from peak | -39.43% | -26.63% | -12.80% |
Average DrawdownAverage peak-to-trough decline | -43.54% | -47.56% | +4.02% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 14.60% | 14.48% | +0.12% |
Volatility
KBH vs. MTH - Volatility Comparison
The current volatility for KB Home (KBH) is 10.09%, while Meritage Homes Corporation (MTH) has a volatility of 11.12%. This indicates that KBH experiences smaller price fluctuations and is considered to be less risky than MTH based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| KBH | MTH | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 10.09% | 11.12% | -1.03% |
Volatility (6M)Calculated over the trailing 6-month period | 26.85% | 27.50% | -0.65% |
Volatility (1Y)Calculated over the trailing 1-year period | 36.70% | 39.15% | -2.45% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 38.23% | 38.84% | -0.61% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 44.73% | 42.59% | +2.14% |
Dividends
KBH vs. MTH - Dividend Comparison
KBH's dividend yield for the trailing twelve months is around 1.90%, less than MTH's 2.42% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
KBH KB Home | 1.90% | 1.77% | 1.45% | 1.12% | 1.88% | 1.34% | 1.25% | 1.14% | 0.52% | 0.31% | 0.63% | 0.81% |
MTH Meritage Homes Corporation | 2.42% | 2.61% | 1.95% | 0.62% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Financials
KBH vs. MTH - Financials Comparison
This section allows you to compare key financial metrics between KB Home and Meritage Homes Corporation. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
KBH vs. MTH - Profitability Comparison
KBH - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, KB Home reported a gross profit of -167.43M and revenue of 1.11B. Therefore, the gross margin over that period was -15.1%.
MTH - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Meritage Homes Corporation reported a gross profit of 193.80M and revenue of 1.12B. Therefore, the gross margin over that period was 17.4%.
KBH - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, KB Home reported an operating income of 24.75M and revenue of 1.11B, resulting in an operating margin of 2.2%.
MTH - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Meritage Homes Corporation reported an operating income of 142.40M and revenue of 1.12B, resulting in an operating margin of 12.8%.
KBH - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, KB Home reported a net income of 27.35M and revenue of 1.11B, resulting in a net margin of 2.5%.
MTH - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Meritage Homes Corporation reported a net income of 55.31M and revenue of 1.12B, resulting in a net margin of 5.0%.
Frequently Asked Questions
KBH and MTH have a correlation of 0.87, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
MTH has higher volatility (11.12%) compared to KBH (10.09%). In terms of maximum drawdown, KBH dropped -92.78% vs MTH's -93.22%.
MTH currently has the higher Sharpe Ratio (0.53 vs 0.02), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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