Champion Homes (NYSE:SKY) Given New $74.00 Price Target at Barclays

Key Points

• Barclays has raised its price target for Champion Homes (NYSE:SKY) from $72.00 to $74.00, indicating a potential upside of 5.07% from the previous close and maintaining an "equal weight" rating on the stock.
• Champion Homes recently reported strong earnings, with $1.19 earnings per share for the quarter, surpassing analysts' expectations of $0.88, alongside a revenue of $701.32 million.
• The company's Board of Directors has approved a stock repurchase plan worth $50.00 million, suggesting confidence in the stock's valuation being undervalued.

Champion Homes (NYSE:SKY - Free Report) had its price objective upped by Barclays from $72.00 to $74.00 in a report issued on Thursday morning,Benzinga reports. Barclays currently has an equal weight rating on the stock.

Several other equities analysts have also recently weighed in on SKY. Royal Bank Of Canada lowered their price objective on shares of Champion Homes from $96.00 to $82.00 and set a "sector perform" rating on the stock in a research report on Wednesday, May 28th. Zelman & Associates raised shares of Champion Homes from a "strong sell" rating to a "hold" rating in a research note on Thursday, June 5th. Four investment analysts have rated the stock with a hold rating and one has assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus target price of $86.00.

Champion Homes Stock Up 0.2%

NYSE:SKY traded up $0.14 during mid-day trading on Thursday, reaching $66.04. The stock had a trading volume of 164,046 shares, compared to its average volume of 637,357. The company has a market capitalization of $3.78 billion, a price-to-earnings ratio of 17.57 and a beta of 1.13. Champion Homes has a 1-year low of $59.44 and a 1-year high of $116.49. The stock's 50 day simple moving average is $64.60 and its two-hundred day simple moving average is $82.06. The company has a debt-to-equity ratio of 0.02, a current ratio of 2.39 and a quick ratio of 1.59.

Champion Homes (NYSE:SKY - Get Free Report) last issued its earnings results on Tuesday, August 5th. The company reported $1.19 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.88 by $0.31. The firm had revenue of $701.32 million for the quarter, compared to analysts' expectations of $642.18 million. Champion Homes had a net margin of 8.50% and a return on equity of 14.35%. Champion Homes's revenue was up 11.7% on a year-over-year basis. During the same quarter last year, the company posted $0.91 earnings per share. Equities analysts anticipate that Champion Homes will post 3.63 EPS for the current year.

Champion Homes declared that its board has approved a share buyback plan on Friday, May 30th that permits the company to repurchase $50.00 million in outstanding shares. This repurchase authorization permits the company to purchase up to 1.3% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

Hedge Funds Weigh In On Champion Homes

Several large investors have recently bought and sold shares of SKY. Caitong International Asset Management Co. Ltd lifted its holdings in Champion Homes by 10,171.4% in the second quarter. Caitong International Asset Management Co. Ltd now owns 719 shares of the company's stock valued at $45,000 after buying an additional 712 shares during the period. Byrne Asset Management LLC bought a new stake in Champion Homes in the second quarter valued at approximately $48,000. Blue Trust Inc. increased its stake in Champion Homes by 49.8% in the second quarter. Blue Trust Inc. now owns 900 shares of the company's stock valued at $56,000 after purchasing an additional 299 shares in the last quarter. Sterling Capital Management LLC increased its stake in Champion Homes by 645.5% in the fourth quarter. Sterling Capital Management LLC now owns 917 shares of the company's stock valued at $81,000 after purchasing an additional 794 shares in the last quarter. Finally, AlphaQuest LLC increased its stake in Champion Homes by 1,231.3% in the first quarter. AlphaQuest LLC now owns 852 shares of the company's stock valued at $81,000 after purchasing an additional 788 shares in the last quarter.

Champion Homes Company Profile

Skyline Champion Corporation produces and sells factory-built housing in North America. The company offers manufactured and modular homes, park models RVs, accessory dwelling units, and modular buildings for the multi-family and hospitality sectors. It builds homes under the Skyline Homes, Champion Home Builders, Genesis Homes, Athens Park Models, Dutch Housing, Atlantic Homes, Excel Homes, Homes of Merit, New Era, Redman Homes, ScotBilt Homes, Shore Park, Silvercrest, and Titan Homes brands in the United States; and Moduline and SRI Homes brand names in western Canada.