WallStSmart

Meritage Corporation (MTH)vsSea Ltd (SE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sea Ltd generates 414% more annual revenue ($27.72B vs $5.39B). MTH leads profitability with a 6.1% profit margin vs 5.9%. 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: 5.0Value: 7.3Quality: 8.0
Piotroski: 3/9Altman Z: 4.28

SE

Buy

56

out of 100

Grade: C

Growth: 8.7Profit: 5.5Value: 6.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.53
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MTHUndervalued (+3.2%)

Margin of Safety

+3.2%

Fair Value

$80.63

Current Price

$64.22

$16.41 discount

UndervaluedFair: $80.63Overvalued
SEUndervalued (+56.1%)

Margin of Safety

+56.1%

Fair Value

$260.75

Current Price

$106.24

$154.51 discount

UndervaluedFair: $260.75Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MTH4 strengths · Avg: 9.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
4.2810/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.548/10

Growing faster than its price suggests

P/E RatioValuation
13.3x8/10

Attractively priced relative to earnings

SE3 strengths · Avg: 9.0/10
Revenue GrowthGrowth
48.1%10/10

Revenue surging 48.1% year-over-year

Market CapQuality
$65.07B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.15B8/10

Generating 1.1B in free cash flow

Areas to Watch

MTH4 concerns · Avg: 2.8/10
Return on EquityProfitability
7.6%3/10

ROE of 7.6% — below average capital efficiency

Profit MarginProfitability
6.1%3/10

6.1% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-13.8%2/10

Revenue declined 13.8%

SE3 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.534/10

Distress zone — elevated risk

Profit MarginProfitability
5.9%3/10

5.9% margin — thin

P/E RatioValuation
41.5x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : MTH

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

Bull Case : SE

The strongest argument for SE centers on Revenue Growth, Market Cap, Free Cash Flow. Revenue growth of 48.1% demonstrates continued momentum. PEG of 1.04 suggests the stock is reasonably priced for its growth.

Bear Case : MTH

The primary concerns for MTH are Return on Equity, Profit Margin, Piotroski F-Score.

Bear Case : SE

The primary concerns for SE are Altman Z-Score, Profit Margin, P/E Ratio. A P/E of 41.5x leaves little room for execution misses.

Key Dynamics to Monitor

MTH profiles as a value stock while SE is a hypergrowth play — different risk/reward profiles.

SE carries more volatility with a beta of 1.52 — expect wider price swings.

SE is growing revenue faster at 48.1% — sustainability is the question.

SE generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

MTH scores higher overall (57/100 vs 56/100). SE offers better value entry with a 56.1% margin of safety. 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.

Sea Ltd

CONSUMER CYCLICAL · INTERNET RETAIL · USA

Sea Limited is engaged in the digital entertainment, e-commerce and digital financial services businesses in Southeast Asia, Latin America, the rest of Asia and internationally. The company is headquartered in Singapore.

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