Cavco Industries (NASDAQ:CVCO) Sees Large Volume Increase - Time to Buy?

Key Points

• Cavco Industries experienced a 31% decrease in trading volume on Tuesday, with 76,642 shares exchanged compared to 110,963 shares in the previous session.
• Analysts have set a consensus price target of $522.50 for Cavco, with one analyst rating the stock as a Buy and another as a Hold.
• The company reported impressive quarterly results, with earnings per share of $6.42, surpassing expectations of $5.81 and revenue of $556.86 million.

Cavco Industries, Inc. (NASDAQ:CVCO - Get Free Report) saw strong trading volume on Tuesday . 76,642 shares changed hands during mid-day trading, a decline of 31% from the previous session's volume of 110,963 shares.The stock last traded at $543.72 and had previously closed at $545.36.

Analysts Set New Price Targets

Several research analysts have recently commented on the stock. Wall Street Zen lowered shares of Cavco Industries from a "buy" rating to a "hold" rating in a research note on Saturday, July 5th. Wedbush reissued a "neutral" rating and issued a $550.00 price objective on shares of Cavco Industries in a research note on Monday, August 4th. One investment analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $522.50.

Cavco Industries Price Performance

The business's 50 day moving average is $475.74 and its 200-day moving average is $477.34. The company has a market cap of $4.41 billion, a PE ratio of 24.11 and a beta of 1.23.

Cavco Industries (NASDAQ:CVCO - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The construction company reported $6.42 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.81 by $0.61. Cavco Industries had a net margin of 8.99% and a return on equity of 18.52%. The company had revenue of $556.86 million during the quarter, compared to the consensus estimate of $524.97 million. As a group, sell-side analysts predict that Cavco Industries, Inc. will post 21.93 EPS for the current fiscal year.

Insider Buying and Selling

In other Cavco Industries news, CAO Paul Bigbee sold 300 shares of the firm's stock in a transaction that occurred on Friday, August 29th. The shares were sold at an average price of $530.45, for a total transaction of $159,135.00. Following the sale, the chief accounting officer owned 774 shares of the company's stock, valued at approximately $410,568.30. This trade represents a 27.93% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Susan L. Blount sold 2,500 shares of the firm's stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $519.30, for a total transaction of $1,298,250.00. Following the sale, the director directly owned 3,126 shares in the company, valued at approximately $1,623,331.80. The trade was a 44.44% decrease in their position. The disclosure for this sale can be found here. Insiders sold 5,600 shares of company stock worth $2,820,884 over the last 90 days. 1.60% of the stock is owned by insiders.

Institutional Trading of Cavco Industries

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Victory Capital Management Inc. raised its holdings in Cavco Industries by 103.3% during the first quarter. Victory Capital Management Inc. now owns 14,953 shares of the construction company's stock worth $7,770,000 after purchasing an additional 7,598 shares in the last quarter. Allspring Global Investments Holdings LLC raised its holdings in Cavco Industries by 62.7% during the first quarter. Allspring Global Investments Holdings LLC now owns 12,403 shares of the construction company's stock worth $6,402,000 after purchasing an additional 4,779 shares in the last quarter. GAMMA Investing LLC raised its holdings in Cavco Industries by 38.7% during the first quarter. GAMMA Investing LLC now owns 441 shares of the construction company's stock worth $229,000 after purchasing an additional 123 shares in the last quarter. Meeder Asset Management Inc. acquired a new stake in Cavco Industries during the first quarter worth approximately $1,115,000. Finally, Informed Momentum Co LLC acquired a new stake in Cavco Industries during the first quarter worth approximately $4,480,000. Institutional investors and hedge funds own 95.56% of the company's stock.

Cavco Industries Company Profile

Cavco Industries, Inc designs, produces, and retails factory-built homes primarily in the United States. It operates in two segments, Factory-Built Housing and Financial Services. The company markets its factory-built homes under the Cavco, Fleetwood, Palm Harbor, Nationwide, Fairmont, Friendship, Chariot Eagle, Destiny, Commodore, Colony, Pennwest, R-Anell, Manorwood, MidCountry, and Solitaire brands.

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