4D Advisors LLC Purchases New Holdings in Champion Homes, Inc. $SKY

Key Points

• 4D Advisors LLC has made a new investment of approximately $2.37 million in Champion Homes, Inc. (NYSE:SKY), acquiring 25,000 shares that now account for 1.8% of its portfolio.
• Champion Homes reported a quarterly earnings per share of $1.19, outperforming analysts' expectations of $0.88, alongside revenue growth of 11.7% compared to the previous year.
• The company has initiated a $50 million share buyback plan, signaling confidence from its Board of Directors in the company's stock valuation.

4D Advisors LLC acquired a new stake in Champion Homes, Inc. (NYSE:SKY - Free Report) in the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund acquired 25,000 shares of the company's stock, valued at approximately $2,369,000. Champion Homes makes up 1.8% of 4D Advisors LLC's investment portfolio, making the stock its 22nd largest holding.

Several other large investors have also recently added to or reduced their stakes in SKY. AlphaQuest LLC boosted its position in Champion Homes by 1,231.3% in the 1st quarter. AlphaQuest LLC now owns 852 shares of the company's stock valued at $81,000 after buying an additional 788 shares during the period. GAMMA Investing LLC raised its stake in shares of Champion Homes by 306.0% in the first quarter. GAMMA Investing LLC now owns 1,015 shares of the company's stock valued at $96,000 after acquiring an additional 765 shares in the last quarter. Global Trust Asset Management LLC purchased a new position in Champion Homes in the first quarter valued at $128,000. PharVision Advisers LLC acquired a new position in Champion Homes during the 4th quarter worth $216,000. Finally, Shay Capital LLC purchased a new stake in Champion Homes during the 4th quarter worth about $220,000.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. Royal Bank Of Canada lifted their price objective on Champion Homes from $82.00 to $85.00 and gave the company a "sector perform" rating in a research note on Thursday, August 7th. Zelman & Associates raised shares of Champion Homes from a "strong sell" rating to a "hold" rating in a report on Thursday, June 5th. Finally, Barclays lifted their price target on shares of Champion Homes from $72.00 to $74.00 and gave the stock an "equal weight" rating in a research note on Thursday, August 7th. One equities research analyst has rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, Champion Homes has an average rating of "Hold" and an average target price of $86.00.

Champion Homes Stock Performance

Shares of SKY stock traded down $0.41 during mid-day trading on Friday, hitting $78.43. 887,848 shares of the stock were exchanged, compared to its average volume of 695,619. The stock's fifty day simple moving average is $68.97 and its two-hundred day simple moving average is $78.65. The company has a debt-to-equity ratio of 0.02, a quick ratio of 1.59 and a current ratio of 2.39. Champion Homes, Inc. has a 12-month low of $59.44 and a 12-month high of $116.49. The stock has a market capitalization of $4.43 billion, a price-to-earnings ratio of 20.86 and a beta of 1.18.

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

Champion Homes announced that its Board of Directors has authorized a share buyback program on Friday, May 30th that allows the company to buyback $50.00 million in shares. This buyback authorization allows the company to reacquire up to 1.3% of its stock through open market purchases. Stock buyback programs are often an indication that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling at Champion Homes

In other news, EVP Joseph A. Kimmell sold 1,000 shares of the firm's stock in a transaction that occurred on Monday, August 11th. The shares were sold at an average price of $65.24, for a total transaction of $65,240.00. Following the transaction, the executive vice president directly owned 43,568 shares in the company, valued at approximately $2,842,376.32. This trade represents a 2.24% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders own 1.20% of the company's stock.

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.