Champion Homes (NYSE:SKY) Given New $92.00 Price Target at Royal Bank Of Canada

Key Points

• Royal Bank of Canada cut its price target on Champion Homes from $101 to $92 but kept an outperform rating. The new target still implies about 22% upside from the previous close.
• Analyst sentiment remains cautiously positive overall, with the stock carrying an average Moderate Buy rating and an average price target of $93. Other firms have recently issued mixed views, including an overweight rating from Barclays and hold ratings from Weiss and Zelman.
• Champion Homes recently traded at $75.14, near its 50-day average, and the company has a strong balance sheet with low debt. It also posted a strong earnings report, with quarterly results and revenue beating expectations, while management cited record sales and strong orders.

Champion Homes (NYSE:SKY - Get Free Report) had its target price cut by equities research analysts at Royal Bank Of Canada from $101.00 to $92.00 in a note issued to investors on Wednesday,Benzinga reports. The firm currently has an "outperform" rating on the stock. Royal Bank Of Canada's target price would suggest a potential upside of 22.44% from the stock's previous close.

Other equities analysts have also issued reports about the stock. Weiss Ratings restated a "hold (c)" rating on shares of Champion Homes in a research report on Monday, April 20th. Barclays reiterated an "overweight" rating and issued a $94.00 target price on shares of Champion Homes in a research note on Wednesday. Finally, Zelman & Associates lowered shares of Champion Homes from an "outperform" rating to a "hold" rating in a research report on Thursday, February 5th. One equities research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $93.00.

Champion Homes Price Performance

SKY traded up $3.35 during trading on Wednesday, reaching $75.14. 124,801 shares of the company were exchanged, compared to its average volume of 696,985. The company's 50-day moving average is $74.76 and its two-hundred day moving average is $82.63. The company has a market cap of $4.16 billion, a price-to-earnings ratio of 19.95 and a beta of 1.07. The company has a quick ratio of 1.89, a current ratio of 2.71 and a debt-to-equity ratio of 0.01. Champion Homes has a 12-month low of $59.44 and a 12-month high of $99.17.

Champion Homes (NYSE:SKY - Get Free Report) last posted its earnings results on Wednesday, May 13th. The company reported $999.00 earnings per share for the quarter. Champion Homes had a return on equity of 13.85% and a net margin of 8.10%. Research analysts forecast that Champion Homes will post 3.8 earnings per share for the current fiscal year.

Insider Activity

In other news, EVP Joseph A. Kimmell sold 2,880 shares of the business's stock in a transaction dated Friday, March 6th. The stock was sold at an average price of $82.25, for a total transaction of $236,880.00. Following the completion of the transaction, the executive vice president owned 51,297 shares of the company's stock, valued at approximately $4,219,178.25. The trade was a 5.32% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Company insiders own 1.20% of the company's stock.

Institutional Investors Weigh In On Champion Homes

Several hedge funds have recently bought and sold shares of SKY. UMB Bank n.a. increased its holdings in shares of Champion Homes by 78.9% in the 4th quarter. UMB Bank n.a. now owns 313 shares of the company's stock worth $26,000 after buying an additional 138 shares during the last quarter. Los Angeles Capital Management LLC purchased a new position in Champion Homes in the fourth quarter worth $26,000. Kestra Advisory Services LLC bought a new position in Champion Homes in the fourth quarter valued at $26,000. Parallel Advisors LLC increased its stake in Champion Homes by 668.6% in the first quarter. Parallel Advisors LLC now owns 392 shares of the company's stock valued at $29,000 after acquiring an additional 341 shares during the last quarter. Finally, Advisory Services Network LLC purchased a new stake in Champion Homes during the third quarter valued at about $35,000.

Trending Headlines about Champion Homes

Here are the key news stories impacting Champion Homes this week:

• Positive Sentiment: Champion Homes beat quarterly estimates, reporting adjusted EPS of $0.68 versus expectations for $0.63 and revenue of $621.3 million versus $607.4 million expected, with sales up 15.2% year over year. Article: Champion Homes Stock Gains On Earnings Beat, Strong Orders, Homes Direct Deal
• Positive Sentiment: Management highlighted record sales and strong orders, suggesting demand held up well despite a weak housing backdrop. Article: Champion Homes Earnings Call: Record Sales, Margin Squeeze
• Positive Sentiment: The company expects adjusted gross margin of 24.5% to 25.5% in Q1 FY2027 and plans to close the Homes Direct acquisition in Q2, supporting its vertical-integration strategy. Article: Champion Homes expects Q1 FY2027 adjusted gross margin...
• Neutral Sentiment: Analysts and commentators noted investors are still weighing the margin squeeze and broader outlook concerns against the strong quarterly beat. Article: Champion Homes tops quarterly estimates as investors weigh outlook concerns (SKY)
• Positive Sentiment: A rating upgrade from Seeking Alpha pointed to Champion Homes’ resilience in a weak housing market and its affordability advantage in manufactured housing. Article: Champion Homes: Successfully Withstanding Weak Housing Market (Rating Upgrade)

About Champion Homes

Champion Homes, traded under the NYSE ticker SKY, operates as a leading provider of factory-built housing solutions in North America. The company specializes in the design, manufacture and sale of manufactured and modular homes, serving a broad spectrum of customers from first-time homebuyers to those seeking upscale residential properties. Champion Homes leverages vertically integrated operations to streamline production, ensuring consistent quality and cost efficiencies across its product lines.

The company's product portfolio encompasses single- and multi-section modular homes, manufactured home models, park models and select commercial modular buildings.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.