Trexquant Investment LP Cuts Stock Position in Champion Homes, Inc. $SKY

Key Points

• Trexquant Investment LP has reduced its stake in Champion Homes, Inc. by 69.5%, selling 29,009 shares and leaving it with 12,718 shares valued at approximately $1,205,000.
• Champion Homes reported an earnings per share (EPS) of $1.19, surpassing the consensus estimate of $0.88, with a revenue of $701.32 million for the recent quarter.
• The company has initiated a stock buyback plan allowing for the repurchase of up to $50 million in shares, which indicates the board's belief that its shares are undervalued.

Trexquant Investment LP lowered its stake in shares of Champion Homes, Inc. (NYSE:SKY - Free Report) by 69.5% during the 1st quarter, according to its most recent filing with the SEC. The firm owned 12,718 shares of the company's stock after selling 29,009 shares during the period. Trexquant Investment LP's holdings in Champion Homes were worth $1,205,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also bought and sold shares of the company. AlphaQuest LLC lifted its stake in Champion Homes by 1,231.3% during the 1st quarter. AlphaQuest LLC now owns 852 shares of the company's stock valued at $81,000 after acquiring an additional 788 shares during the period. GAMMA Investing LLC lifted its stake in shares of Champion Homes by 306.0% in the 1st quarter. GAMMA Investing LLC now owns 1,015 shares of the company's stock worth $96,000 after purchasing an additional 765 shares during the period. Global Trust Asset Management LLC bought a new position in shares of Champion Homes in the 1st quarter worth approximately $128,000. PharVision Advisers LLC bought a new position in shares of Champion Homes in the 4th quarter worth approximately $216,000. Finally, Shay Capital LLC bought a new position in shares of Champion Homes in the 4th quarter worth approximately $220,000.

Wall Street Analysts Forecast Growth

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

Champion Homes Price Performance

Shares of SKY stock traded down $2.50 on Tuesday, reaching $74.55. The company's stock had a trading volume of 689,032 shares, compared to its average volume of 712,945. The company has a market capitalization of $4.21 billion, a price-to-earnings ratio of 19.83 and a beta of 1.18. The stock's fifty day simple moving average is $69.42 and its 200-day simple moving average is $78.29. Champion Homes, Inc. has a 1 year low of $59.44 and a 1 year high of $116.49. 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 issued its quarterly earnings results on Tuesday, August 5th. The company reported $1.19 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.88 by $0.31. The company had revenue of $701.32 million during the quarter, compared to the consensus estimate of $642.18 million. Champion Homes had a return on equity of 14.35% and a net margin of 8.50%.Champion Homes's revenue was up 11.7% on a year-over-year basis. During the same period last year, the company earned $0.91 earnings per share. Analysts forecast that Champion Homes, Inc. will post 3.63 earnings per share for the current fiscal year.

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

Insider Activity at Champion Homes

In other news, EVP Joseph A. Kimmell sold 3,000 shares of the firm's stock in a transaction on Friday, August 8th. The stock was sold at an average price of $66.03, for a total transaction of $198,090.00. Following 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 ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Corporate insiders own 1.20% of the company's stock.

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.