MTH - Why Meritage Homes Stock Dropped Today
Shares of Meritage Homes (NYSE: MTH) fell nearly 15% on Monday, as the U.S. economy suffered more serious setbacks.
Oil prices plummeted more than 20% after OPEC failed to reach a deal to reduce oil production. Many oil stocks plunged in response, amid widespread fear that lower oil prices could lead to a slew of bankruptcies in the industry. Combined with fears surrounding the rapidly growing number of cases of COVID-19 -- the disease caused by the novel coronavirus -- in the country and around the world, this calamity in the energy sector drove a staggering 7.6% decline in the S&P 500 on Monday.
Many homebuilder stocks took were hit hard, as concerns mount that the U.S. economy will fall into a recession.