Press Release: Meritage Homes Contributes $4.2 Million In Donations And Funding In 2025 To Strengthen Communities Nationwide

Wrapping up Q3 earnings, we look at the numbers and key takeaways for the home builders stocks, including TopBuild and its peers.

Traditionally, homebuilders have built competitive advantages with economies of scale that lead to advantaged purchasing and brand recognition among consumers. Aesthetic trends have always been important in the space, but more recently, energy efficiency and conservation are driving innovation. However, these companies are still at the whim of the macro, specifically interest rates that heavily impact new and existing home sales. In fact, homebuilders are one of the most cyclical subsectors within industrials.

The 12 home builders stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 2.9% while next quarter’s revenue guidance was in line.

In light of this news, share prices of the companies have held steady as they are up 1.7% on average since the latest earnings results.

TopBuild

Established in 2015 following a spinoff from Masco Corporation, TopBuild is a distributor and installer of insulation and other building products.

TopBuild reported revenues of $1.39 billion, up 1.4% year on year. This print exceeded analysts’ expectations by 1.2%. Overall, it was a satisfactory quarter for the company with a solid beat of analysts’ organic revenue estimates but full-year EBITDA guidance meeting analysts’ expectations.

Robert Buck, President and CEO of TopBuild, said, “Third quarter results were in line with expectations. Sales totaled $1.4 billion in the third quarter, up 1.4% including acquisitions, as our Installation Services segment sales grew 0.2% and Specialty Distribution sales improved 1.4%. Our team’s efforts to drive productivity and operational excellence are reflected in the continued strength of our profitability.

Unsurprisingly, the stock is down 1.1% since reporting and currently trades at $418.

Is now the time to buy TopBuild? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: Champion Homes

Founded in 1951, Champion Homes is a manufacturer of modular homes and buildings in North America.

Champion Homes reported revenues of $684.4 million, up 11% year on year, outperforming analysts’ expectations by 6.9%. The business had an incredible quarter with an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ adjusted operating income estimates.

Champion Homes pulled off the fastest revenue growth among its peers. The market seems happy with the results as the stock is up 26.9% since reporting. It currently trades at $84.43.

Is now the time to buy Champion Homes? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Meritage Homes

Originally founded in 1985 in Arizona as Monterey Homes, Meritage Homes is a homebuilder specializing in designing and constructing energy-efficient and single-family homes in the US.

Meritage Homes reported revenues of $1.42 billion, down 10.8% year on year, falling short of analysts’ expectations by 3.4%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ adjusted operating income estimates.

Meritage Homes delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 1.8% since the results and currently trades at $69.75.

Read our full analysis of Meritage Homes’s results here.

D.R. Horton

One of the largest homebuilding companies in the U.S., D.R. Horton builds a variety of new construction homes across multiple markets.

D.R. Horton reported revenues of $9.68 billion, down 3.2% year on year. This print topped analysts’ expectations by 2.7%. However, it was a slower quarter as it produced a significant miss of analysts’ adjusted operating income estimates and a significant miss of analysts’ EBITDA estimates.

D.R. Horton scored the highest full-year guidance raise among its peers. The stock is down 5.3% since reporting and currently trades at $150.38.

Read our full, actionable report on D.R. Horton here, it’s free for active Edge members.

Installed Building Products

Founded in 1977, Installed Building Products is a company specializing in the installation of insulation, waterproofing, and other complementary building products for residential and commercial construction.

Installed Building Products reported revenues of $778.2 million, up 2.3% year on year. This number beat analysts’ expectations by 4%. Overall, it was a stunning quarter as it also logged a solid beat of analysts’ EBITDA estimates and an impressive beat of analysts’ adjusted operating income estimates.

The stock is up 11.8% since reporting and currently trades at $266.05.

Read our full, actionable report on Installed Building Products here, it’s free for active Edge members.