Watchman Group Inc. Cuts Stake in Cavco Industries, Inc. $CVCO

Key Points

• Watchman Group Inc. has decreased its stake in Cavco Industries by 10.5%, selling 961 shares and now holding 8,164 shares worth around $4.24 million.
• Cavco Industries recently reported a quarterly earnings per share (EPS) of $6.42, surpassing analyst expectations of $5.81, while also achieving revenue of $556.86 million.
• Institutional investors control 95.56% of Cavco Industries' stock, showing strong interest from the hedging sector in the company.

Watchman Group Inc. decreased its position in Cavco Industries, Inc. (NASDAQ:CVCO - Free Report) by 10.5% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 8,164 shares of the construction company's stock after selling 961 shares during the period. Cavco Industries makes up about 1.2% of Watchman Group Inc.'s portfolio, making the stock its 20th biggest holding. Watchman Group Inc. owned about 0.10% of Cavco Industries worth $4,242,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in CVCO. Victory Capital Management Inc. increased its stake in shares of Cavco Industries by 103.3% in the first quarter. Victory Capital Management Inc. now owns 14,953 shares of the construction company's stock worth $7,770,000 after acquiring an additional 7,598 shares during the period. Allspring Global Investments Holdings LLC increased its stake in shares of Cavco Industries by 62.7% in the first quarter. Allspring Global Investments Holdings LLC now owns 12,403 shares of the construction company's stock worth $6,402,000 after acquiring an additional 4,779 shares during the period. GAMMA Investing LLC increased its stake in shares of Cavco Industries by 38.7% in the first quarter. GAMMA Investing LLC now owns 441 shares of the construction company's stock worth $229,000 after acquiring an additional 123 shares during the period. Meeder Asset Management Inc. acquired a new stake in shares of Cavco Industries in the first quarter worth $1,115,000. Finally, Informed Momentum Co LLC acquired a new stake in shares of Cavco Industries in the first quarter worth $4,480,000. Hedge funds and other institutional investors own 95.56% of the company's stock.

Analyst Upgrades and Downgrades

A number of analysts have recently weighed in on CVCO shares. Wedbush reiterated a "neutral" rating and issued a $550.00 price objective on shares of Cavco Industries in a research note on Monday, August 4th. Wall Street Zen lowered shares of Cavco Industries from a "buy" rating to a "hold" rating in a research note on Saturday, July 5th. One investment analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $522.50.

Insiders Place Their Bets

In related news, Director Susan L. Blount sold 2,000 shares of the company's stock in a transaction dated Thursday, August 14th. The stock was sold at an average price of $483.21, for a total value of $966,420.00. Following the completion of the transaction, the director owned 3,126 shares of the company's stock, valued at approximately $1,510,514.46. This represents a 39.02% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Insiders own 1.60% of the company's stock.

Cavco Industries Trading Down 0.9%

Cavco Industries stock traded down $4.16 during mid-day trading on Wednesday, hitting $485.11. The company had a trading volume of 254,325 shares, compared to its average volume of 105,626. Cavco Industries, Inc. has a 12-month low of $388.68 and a 12-month high of $549.99. The company's fifty day moving average is $436.44 and its 200-day moving average is $477.55. The company has a market capitalization of $3.84 billion, a price-to-earnings ratio of 21.03 and a beta of 1.15.

Cavco Industries (NASDAQ:CVCO - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The construction company reported $6.42 earnings per share for the quarter, topping analysts' consensus estimates of $5.81 by $0.61. The company had revenue of $556.86 million during the quarter, compared to analysts' expectations of $524.97 million. Cavco Industries had a return on equity of 18.52% and a net margin of 8.99%. As a group, sell-side analysts expect that Cavco Industries, Inc. will post 21.93 EPS for the current fiscal year.

About Cavco Industries

Cavco Industries, Inc designs, produces, and retails factory-built homes primarily in the United States. It operates in two segments, Factory-Built Housing and Financial Services. The company markets its factory-built homes under the Cavco, Fleetwood, Palm Harbor, Nationwide, Fairmont, Friendship, Chariot Eagle, Destiny, Commodore, Colony, Pennwest, R-Anell, Manorwood, MidCountry, and Solitaire brands.