Robotti Robert Cuts Position in Champion Homes, Inc. $SKY

Key Points

• Robotti Robert reduced its stake in Champion Homes, Inc. (NYSE:SKY) by 43.7% in Q1, now holding 72,553 shares, which accounts for about 1.4% of its portfolio.
• Champion Homes reported earnings of $1.19 EPS for the latest quarter, exceeding analysts' expectations of $0.88, with revenue rising by 11.7% year-over-year to $701.32 million.
• The company initiated a stock repurchase plan to buy back $50 million in shares, indicating that the board believes the stock is currently undervalued.

Robotti Robert lessened its stake in shares of Champion Homes, Inc. (NYSE:SKY - Free Report) by 43.7% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 72,553 shares of the company's stock after selling 56,361 shares during the quarter. Champion Homes makes up about 1.4% of Robotti Robert's portfolio, making the stock its 18th biggest position. Robotti Robert owned approximately 0.13% of Champion Homes worth $6,875,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also bought and sold shares of the company. GAMMA Investing LLC boosted its position in Champion Homes by 306.0% during the 1st 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. Oppenheimer & Co. Inc. boosted its position in Champion Homes by 142.2% during the 1st quarter. Oppenheimer & Co. Inc. now owns 7,394 shares of the company's stock valued at $701,000 after acquiring an additional 4,341 shares in the last quarter. Principal Financial Group Inc. boosted its position in shares of Champion Homes by 2.3% in the 1st quarter. Principal Financial Group Inc. now owns 262,811 shares of the company's stock worth $24,904,000 after purchasing an additional 5,887 shares in the last quarter. New York State Teachers Retirement System boosted its position in shares of Champion Homes by 3.4% in the 1st quarter. New York State Teachers Retirement System now owns 12,300 shares of the company's stock worth $1,166,000 after purchasing an additional 400 shares in the last quarter. Finally, Bessemer Group Inc. boosted its position in shares of Champion Homes by 4.3% in the 1st quarter. Bessemer Group Inc. now owns 244,149 shares of the company's stock worth $23,136,000 after purchasing an additional 10,107 shares in the last quarter.

Champion Homes Stock Performance

SKY stock traded up $1.1750 during midday trading on Tuesday, reaching $74.8450. The stock had a trading volume of 245,498 shares, compared to its average volume of 644,914. The firm has a fifty day simple moving average of $65.43 and a two-hundred day simple moving average of $81.26. The stock has a market cap of $4.23 billion, a PE ratio of 19.87 and a beta of 1.13. Champion Homes, Inc. has a 52-week low of $59.44 and a 52-week high of $116.49. 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 (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 analysts' consensus estimates of $0.88 by $0.31. The business had revenue of $701.32 million during the quarter, compared to analyst estimates of $642.18 million. Champion Homes had a return on equity of 14.35% and a net margin of 8.50%.The company's revenue was up 11.7% on a year-over-year basis. During the same quarter last year, the business posted $0.91 EPS. As a group, equities research analysts anticipate that Champion Homes, Inc. will post 3.63 EPS for the current year.

Champion Homes declared that its Board of Directors has authorized a stock buyback plan on Friday, May 30th that allows the company to repurchase $50.00 million in shares. This repurchase authorization allows the company to reacquire up to 1.3% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company's leadership believes its shares are undervalued.

Insider Buying and Selling at Champion Homes

In other Champion Homes news, EVP Joseph A. Kimmell sold 3,000 shares of Champion Homes 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 transaction, the executive vice president owned 44,568 shares in the company, valued at approximately $2,942,825.04. This trade represents a 6.31% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Insiders own 1.20% of the company's stock.

Analysts Set New Price Targets

A number of analysts have recently weighed in on SKY shares. Zelman & Associates raised Champion Homes from a "strong sell" rating to a "hold" rating in a research report on Thursday, June 5th. Royal Bank Of Canada raised their price objective on Champion Homes from $82.00 to $85.00 and gave the stock a "sector perform" rating in a research report on Thursday, August 7th. Finally, Barclays raised 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. One analyst has rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $86.00.

Champion Homes 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.