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MTH vs. KBH
Performance
Return for Risk
Drawdowns
Volatility
Dividends
Financials

Performance

MTH vs. KBH - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Meritage Homes Corporation (MTH) and KB Home (KBH). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, MTH achieves a 2.76% return, which is significantly higher than KBH's -8.47% return. Both investments have delivered pretty close results over the past 10 years, with MTH having a 14.52% annualized return and KBH not far ahead at 15.23%.


MTH

1D
-1.48%
1M
6.44%
YTD
2.76%
6M
-8.87%
1Y
7.17%
3Y*
4.82%
5Y*
6.39%
10Y*
14.52%

KBH

1D
-0.56%
1M
6.92%
YTD
-8.47%
6M
-21.56%
1Y
0.53%
3Y*
5.48%
5Y*
3.79%
10Y*
15.23%
*Multi-year figures are annualized to reflect compound growth (CAGR)

MTH vs. KBH - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
MTH
Meritage Homes Corporation
2.76%-12.32%-10.16%90.53%-24.46%47.38%35.53%66.42%-28.28%47.13%
KBH
KB Home
-8.47%-12.72%6.64%99.04%-27.48%35.29%-0.86%82.31%-39.98%103.05%

Correlation

The correlation between MTH and KBH 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 19, 1988

0.54

Over the past year, MTH and KBH have become more correlated (0.87) than their long-term average of 0.54, meaning their price movements have been converging.

Fundamentals

Market Cap

MTH:

$4.52B

KBH:

$3.26B

EPS

MTH:

$5.52

KBH:

$5.38

PE Ratio

MTH:

12.16

KBH:

9.50

PS Ratio

MTH:

0.84

KBH:

0.57

PB Ratio

MTH:

0.89

KBH:

0.72

Total Revenue (TTM)

MTH:

$5.61B

KBH:

$5.92B

Gross Profit (TTM)

MTH:

$1.05B

KBH:

$893.19M

EBITDA (TTM)

MTH:

$575.32M

KBH:

$477.26M

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Return for Risk

MTH vs. KBH — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MTH
MTH Risk / Return Rank: 4545
Overall Rank
MTH Sharpe Ratio Rank: 4747
Sharpe Ratio Rank
MTH Sortino Ratio Rank: 4444
Sortino Ratio Rank
MTH Omega Ratio Rank: 4242
Omega Ratio Rank
MTH Calmar Ratio Rank: 4747
Calmar Ratio Rank
MTH Martin Ratio Rank: 4646
Martin Ratio Rank

KBH
KBH Risk / Return Rank: 3939
Overall Rank
KBH Sharpe Ratio Rank: 4141
Sharpe Ratio Rank
KBH Sortino Ratio Rank: 3737
Sortino Ratio Rank
KBH Omega Ratio Rank: 3636
Omega Ratio Rank
KBH Calmar Ratio Rank: 4040
Calmar Ratio Rank
KBH Martin Ratio Rank: 4040
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MTH vs. KBH - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Meritage Homes Corporation (MTH) and KB Home (KBH). 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.


MTHKBHDifference
Sharpe ratioReturn per unit of total volatility

+0.17

Sortino ratioReturn per unit of downside risk

+0.31

Omega ratioGain probability vs. loss probability

1.07

1.03

+0.03

Calmar ratioReturn relative to maximum drawdown

0.26

0.02

+0.24

Martin ratioReturn relative to average drawdown

0.50

0.04

+0.46

MTH vs. KBH - Sharpe Ratio Comparison

The current MTH Sharpe Ratio is 0.19, which is higher than the KBH Sharpe Ratio of 0.01. The chart below compares the historical Sharpe Ratios of MTH and KBH, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


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Sharpe Ratios by Period


MTHKBHDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.19

0.01

+0.17

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.17

0.10

+0.07

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.34

0.34

0.00

Sharpe Ratio (All Time)

Calculated using the full available price history

0.18

0.16

+0.02

Drawdowns

MTH vs. KBH - Drawdown Comparison

The maximum MTH drawdown since its inception was -93.22%, roughly equal to the maximum KBH drawdown of -92.78%. Use the drawdown chart below to compare losses from any high point for MTH and KBH.


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Drawdown Indicators


MTHKBHDifference

Max Drawdown

Largest peak-to-trough decline

-93.22%

-92.78%

-0.44%

Max Drawdown (1Y)

Largest decline over 1 year

-27.68%

-32.85%

+5.17%

Max Drawdown (3Y)

Largest decline over 3 years

-42.95%

-48.27%

+5.32%

Max Drawdown (5Y)

Largest decline over 5 years

-46.77%

-48.27%

+1.50%

Max Drawdown (10Y)

Largest decline over 10 years

-64.27%

-72.38%

+8.11%

Current Drawdown

Current decline from peak

-34.85%

-41.24%

+6.39%

Average Drawdown

Average peak-to-trough decline

-47.59%

-43.55%

-4.04%

Ulcer Index

Depth and duration of drawdowns from previous peaks

14.29%

13.83%

+0.46%

Volatility

MTH vs. KBH - Volatility Comparison

Meritage Homes Corporation (MTH) has a higher volatility of 10.51% compared to KB Home (KBH) at 9.74%. This indicates that MTH's price experiences larger fluctuations and is considered to be riskier than KBH based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


MTHKBHDifference

Volatility (1M)

Calculated over the trailing 1-month period

10.51%

9.74%

+0.77%

Volatility (6M)

Calculated over the trailing 6-month period

26.48%

26.25%

+0.23%

Volatility (1Y)

Calculated over the trailing 1-year period

38.61%

36.64%

+1.97%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

38.71%

38.09%

+0.62%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

42.51%

44.67%

-2.16%

Dividends

MTH vs. KBH - Dividend Comparison

MTH's dividend yield for the trailing twelve months is around 2.64%, more than KBH's 1.95% yield.


PositionTTM20252024202320222021202020192018201720162015
KBH
KB Home
1.95%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
2.64%2.61%1.95%0.62%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Financials

MTH vs. KBH - Financials Comparison

This section allows you to compare key financial metrics between Meritage Homes Corporation and KB Home. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.


Quarterly
Annual

Total Revenue: Total amount of money received from sales and other business activities


1.00B1.20B1.40B1.60B1.80B2.00B20222023202420252026
1.12B
1.08B
(MTH) Total Revenue
(KBH) Total Revenue
Values in USD except per share items

MTH vs. KBH - Profitability Comparison

The chart below illustrates the profitability comparison between Meritage Homes Corporation and KB Home over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

Gross Margin
Operating Margin
Net Margin
Quarterly
Annual

0.0%5.0%10.0%15.0%20.0%25.0%30.0%35.0%20222023202420252026
17.4%
0
Portfolio components
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 - 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 0.00 and revenue of 1.08B. Therefore, the gross margin over that period was 0.0%.

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 - 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 32.99M and revenue of 1.08B, resulting in an operating margin of 3.1%.

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%.

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 33.42M and revenue of 1.08B, resulting in a net margin of 3.1%.


Frequently Asked Questions


MTH and KBH 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 (10.51%) compared to KBH (9.74%). In terms of maximum drawdown, MTH dropped -93.22% vs KBH's -92.78%.

MTH currently has the higher Sharpe Ratio (0.19 vs 0.01), 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.

Portfolio Optimizer

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