T. Rowe Price Investment Management Inc. Sells 147,392 Shares of Champion Homes, Inc. $SKY

Key Points

• T. Rowe Price Investment Management Inc. reduced its stake in Champion Homes, Inc. by 10.3%, selling 147,392 shares and retaining approximately 2.23% ownership worth $121 million.
• Champion Homes recently posted quarterly earnings of $1.19 per share, exceeding analysts' expectations and showing a revenue increase of 11.7% from the same quarter last year.
• The company has initiated a $50 million stock repurchase plan, suggesting management believes the shares are undervalued.

T. Rowe Price Investment Management Inc. decreased its holdings in Champion Homes, Inc. (NYSE:SKY - Free Report) by 10.3% during the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,277,719 shares of the company's stock after selling 147,392 shares during the period. T. Rowe Price Investment Management Inc. owned about 2.23% of Champion Homes worth $121,077,000 at the end of the most recent quarter.

A number of other hedge funds have also recently added to or reduced their stakes in SKY. Ameriprise Financial Inc. boosted its holdings in shares of Champion Homes by 17.2% during the 4th quarter. Ameriprise Financial Inc. now owns 1,646,482 shares of the company's stock valued at $145,055,000 after acquiring an additional 241,326 shares in the last quarter. SG Capital Management LLC increased its holdings in Champion Homes by 80.1% during the 4th quarter. SG Capital Management LLC now owns 340,512 shares of the company's stock worth $29,999,000 after purchasing an additional 151,488 shares in the last quarter. Nuveen LLC bought a new position in shares of Champion Homes in the first quarter valued at approximately $13,736,000. Integrated Investment Consultants LLC grew its holdings in shares of Champion Homes by 134.4% in the first quarter. Integrated Investment Consultants LLC now owns 247,458 shares of the company's stock valued at $23,449,000 after acquiring an additional 141,904 shares in the last quarter. Finally, Summit Partners Public Asset Management LLC grew its holdings in Champion Homes by 30.4% during the fourth quarter. Summit Partners Public Asset Management LLC now owns 527,770 shares of the company's stock valued at $46,497,000 after purchasing an additional 123,097 shares during the period.

Analysts Set New Price Targets

A number of equities research analysts have weighed in on the company. Barclays raised their price target on Champion Homes from $72.00 to $74.00 and gave the company an "equal weight" rating in a research report 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, Royal Bank Of Canada increased their price objective on shares of Champion Homes from $82.00 to $85.00 and gave the company a "sector perform" rating in a report on Thursday, August 7th. One investment 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 presently has a consensus rating of "Hold" and an average price target of $86.00.

Insider Transactions at Champion Homes

In other news, EVP Joseph A. Kimmell sold 3,000 shares of the business's stock in a transaction that occurred on Friday, August 8th. The shares were sold at an average price of $66.03, for a total value of $198,090.00. Following the completion of the transaction, the executive vice president owned 44,568 shares of the company's stock, valued at $2,942,825.04. The trade was a 6.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 1.20% of the company's stock.

Champion Homes Stock Performance

SKY traded down $0.25 on Wednesday, reaching $74.25. The stock had a trading volume of 168,891 shares, compared to its average volume of 646,989. The business's 50-day moving average price is $66.68 and its two-hundred day moving average price is $80.31. Champion Homes, Inc. has a 12-month low of $59.44 and a 12-month high of $116.49. The company has a market cap of $4.20 billion, a P/E ratio of 19.74 and a beta of 1.13. 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 (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 the consensus estimate of $0.88 by $0.31. The business had revenue of $701.32 million for the quarter, compared to analyst estimates of $642.18 million. Champion Homes had a net margin of 8.50% and a return on equity of 14.35%. The company's revenue for the quarter was up 11.7% compared to the same quarter last year. During the same quarter last year, the business earned $0.91 earnings per share. Sell-side analysts forecast that Champion Homes, Inc. will post 3.63 earnings per share for the current year.

Champion Homes announced that its board has initiated a stock repurchase plan on Friday, May 30th that authorizes the company to repurchase $50.00 million in outstanding shares. This repurchase authorization authorizes the company to purchase up to 1.3% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company's board of directors believes its stock is undervalued.

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.