Champion Homes (NYSE:SKY) Downgraded to "Strong Sell" Rating by Zacks Research

Key Points

• Champion Homes has been downgraded from a "hold" to a "strong sell" rating by Zacks Research, indicating potential concerns over its stock performance.
• Barclays and Royal Bank of Canada have recently raised their price targets for Champion Homes to $74.00 and $85.00, respectively, while the overall average rating remains at "Hold" with a price target of $86.00.
• The company's stock is currently trading at $66.20, reflecting a 4.8% decrease, with a 12-month range between $59.44 and $116.49.

Champion Homes (NYSE:SKY - Get Free Report) was downgraded by Zacks Research from a "hold" rating to a "strong sell" rating in a note issued to investors on Monday,Zacks.com reports.

Several other brokerages also recently issued reports on SKY. Barclays lifted their price objective on Champion Homes from $72.00 to $74.00 and gave the stock an "equal weight" rating in a research report on Thursday, August 7th. Royal Bank Of Canada upped their price objective on shares of Champion Homes from $82.00 to $85.00 and gave the company a "sector perform" rating in a research note on Thursday, August 7th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of Champion Homes in a research note on Saturday, September 27th. One research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $86.00.

Champion Homes Trading Down 4.8%

Shares of Champion Homes stock opened at $66.20 on Monday. The company has a 50-day moving average of $73.02 and a two-hundred day moving average of $75.17. The stock has a market cap of $3.74 billion, a PE ratio of 17.61 and a beta of 1.16. The company has a current ratio of 2.39, a quick ratio of 1.59 and a debt-to-equity ratio of 0.02. Champion Homes has a 12-month low of $59.44 and a 12-month high of $116.49.

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

Insiders Place Their Bets

In other Champion Homes news, EVP Joseph A. Kimmell sold 3,000 shares of the business's stock in a transaction dated Friday, August 8th. The stock was sold at an average price of $66.03, for a total transaction of $198,090.00. Following the completion of the sale, the executive vice president owned 44,568 shares of the company's stock, valued at approximately $2,942,825.04. The trade was a 6.31% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 1.20% of the company's stock.

Hedge Funds Weigh In On Champion Homes

Hedge funds and other institutional investors have recently modified their holdings of the company. State Street Corp increased its position in Champion Homes by 4.0% during the 2nd quarter. State Street Corp now owns 2,579,091 shares of the company's stock worth $161,477,000 after purchasing an additional 98,659 shares in the last quarter. Thrivent Financial for Lutherans raised its stake in shares of Champion Homes by 6.3% in the 2nd quarter. Thrivent Financial for Lutherans now owns 2,068,870 shares of the company's stock valued at $129,532,000 after acquiring an additional 122,895 shares during the period. American Century Companies Inc. lifted its holdings in shares of Champion Homes by 50.8% during the 2nd quarter. American Century Companies Inc. now owns 1,945,434 shares of the company's stock valued at $121,804,000 after acquiring an additional 655,505 shares in the last quarter. Alliancebernstein L.P. boosted its position in Champion Homes by 67.1% during the 1st quarter. Alliancebernstein L.P. now owns 1,716,459 shares of the company's stock worth $162,652,000 after purchasing an additional 689,265 shares during the period. Finally, Ameriprise Financial Inc. increased its holdings in Champion Homes by 11.8% in the 2nd quarter. Ameriprise Financial Inc. now owns 1,319,362 shares of the company's stock valued at $82,605,000 after purchasing an additional 139,021 shares in the last quarter.

About Champion Homes

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.

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