Fitch: Meritage to positive

Fitch Ratings said it affirmed Meritage Homes Corp.’s issuer default rating at BB-.

The outlook also was revised to positive from stable.

The rating reflects the company's execution of its business model, conservative land policies, geographic diversity and healthy liquidity position, Fitch said.

The ratings also consider an expectation of further moderate improvement in the housing market in 2016 and 2017, the agency said, along with share gains by Meritage.

The outlook revision was prompted by an expectation that Meritage will approach the 3.5x leverage trigger for an upgrade by year-end 2016, Fitch explained, and then sustain it below that level in 2017 and 2018.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.