Cavco Industries (NASDAQ:CVCO) Shares Down 5% - Time to Sell?

Key Points

• Cavco Industries' shares fell 5% during trading on Monday, closing at $542.01 after a previous close of $570.43, with increased trading volume.
• Despite the recent decline, Wall Street analysts maintain a consensus of "Moderate Buy" with a consensus target price of $522.50, reflecting optimism about the company's growth amid rising demand for affordable housing.
• Insider activity saw significant stock sales, including a total of 5,600 shares sold in the last ninety days, which may indicate a need for investors to monitor insider sentiment.

Shares of Cavco Industries, Inc. (NASDAQ:CVCO - Get Free Report) traded down 5% during trading on Monday . The company traded as low as $541.45 and last traded at $542.01. 122,817 shares were traded during mid-day trading, an increase of 4% from the average session volume of 117,880 shares. The stock had previously closed at $570.43.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on CVCO. Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Cavco Industries in a research report on Saturday, September 27th. Wall Street Zen cut shares of Cavco Industries from a "buy" rating to a "hold" rating in a report on Saturday, July 5th. Finally, Wedbush reaffirmed a "neutral" rating and issued a $550.00 price objective on shares of Cavco Industries in a research report on Monday, August 4th. Two research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat.com, Cavco Industries currently has a consensus rating of "Moderate Buy" and a consensus target price of $522.50.

Cavco Industries Stock Down 12.6%

The stock has a market capitalization of $3.95 billion, a price-to-earnings ratio of 21.61 and a beta of 1.23. The company has a 50 day moving average of $515.90 and a 200 day moving average of $482.66.

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

Insider Activity at Cavco Industries

In other Cavco Industries news, CAO Paul Bigbee sold 300 shares of the stock in a transaction dated Friday, August 29th. The stock was sold at an average price of $530.45, for a total transaction of $159,135.00. Following the completion of the transaction, the chief accounting officer owned 774 shares in the company, valued at approximately $410,568.30. This represents a 27.93% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Susan L. Blount sold 2,500 shares of Cavco Industries stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $519.30, for a total value of $1,298,250.00. Following the transaction, the director owned 3,126 shares of the company's stock, valued at $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 a total of 5,600 shares of company stock worth $2,820,884 in the last ninety days. 1.60% of the stock is currently owned by insiders.

Institutional Trading of Cavco Industries

Several institutional investors have recently modified their holdings of CVCO. Farther Finance Advisors LLC raised its holdings in shares of Cavco Industries by 151.4% during the second quarter. Farther Finance Advisors LLC now owns 88 shares of the construction company's stock valued at $38,000 after purchasing an additional 53 shares during the period. Osaic Holdings Inc. grew its position in Cavco Industries by 118.2% during the 2nd quarter. Osaic Holdings Inc. now owns 120 shares of the construction company's stock worth $57,000 after acquiring an additional 65 shares during the last quarter. Parkside Financial Bank & Trust increased its stake in Cavco Industries by 1,814.3% in the 2nd quarter. Parkside Financial Bank & Trust now owns 134 shares of the construction company's stock worth $58,000 after purchasing an additional 127 shares during the period. CWM LLC lifted its position in Cavco Industries by 44.0% in the first quarter. CWM LLC now owns 157 shares of the construction company's stock valued at $82,000 after purchasing an additional 48 shares during the last quarter. Finally, Northwestern Mutual Wealth Management Co. lifted its position in Cavco Industries by 12.4% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 199 shares of the construction company's stock valued at $86,000 after purchasing an additional 22 shares during the last quarter. Institutional investors 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.