Cavco Industries director Kerley sells $258,135 in stock By Investing.com
PHOENIX—Richard A. Kerley, corporate director Cavco Industries Inc. (NASDAQ: ), recently sold 500 shares of the company’s common stock, according to a filing with the Securities and Exchange Commission. The shares were traded at an average price of $516.27 each, which is worth $258,135. After this transaction, Kerley, through the Kerley Family Trust, owns 7,383 shares of Cavco Industries. The work was done on November 26, 2024.
In other recent news, Cavco Industries reported a 12.3% increase in profit to $507.5 million for the second quarter of fiscal year 2025, despite weather-related issues. This growth was fueled by a 15.7% increase in home sales, with the manufactured home segment contributing $486.3 million to revenue. However, the company’s net income decreased slightly to 22.9%, due to lower average sales prices and losses in financial services.
Craig-Hallum maintained a positive outlook on Cavco Industries, raising its price target to $495 from $422, citing Cavco’s ability to gain market share in the manufactured housing sector. The company’s optimism is based on Cavco’s strong quarterly results and the expectation of continued growth, driven by strong order and backlog activity.
In addition to these improvements, Cavco Industries is considering potential mergers and acquisitions to improve plant capacity and efficiency. The company also reported an increase in treasury shares and strong backlogs, indicating strong demand for the future. These are the latest changes for Cavco Industries, Inc.
InvestingPro Insights
Recent sales of Cavco Industries Inc. (NASDAQ:CVCO) shares by director Richard A. Kerley comes at a time when the company’s stock is showing remarkable strength in the market. According to InvestingPro data, CVCO showed significant returns last week, with a total price gain of 9.64%. This short-term performance is part of a broader trend, as the stock has shown strong returns over various periods, including a 26.2% return over the past month and an impressive 87.94% return over the past year.
InvestingPro Tips highlights that CVCO has more cash than debt on its balance sheet, indicating a strong financial position. This financial strength is further emphasized by the fact that the company’s liquid assets exceed its current liabilities. These factors may impact investor confidence in the stock, despite the director’s recent selloff.
However, potential investors should note that CVCO is trading at a high EBITDA ratio, and the stock’s RSI suggests it may be in overbought territory. These insights, along with 11 additional tips available from InvestingPro, provide a broad overview of CVCO’s current market environment and potential future performance.
The company’s financial health appears strong, with a market capitalization of $4.18 billion and a P/E ratio of 28.82. Cavco Industries has been profitable over the past twelve months, with revenue of $1.85 billion and EBITDA of $182.48 million over the same period. While the company had a declining revenue growth of 2.78% over the past twelve months, it showed a quarterly revenue growth of 12.26% in the most recent quarter.
For investors seeking a deeper understanding of Cavco Industries’ financial metrics and market performance, InvestingPro offers a wealth of information and tips to inform investment decisions.
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