Cavco Indus's Earnings Outlook

Cavco Indus CVCO is set to give its latest quarterly earnings report on Thursday, 2024-10-31. Here's what investors need to know before the announcement.

Analysts estimate that Cavco Indus will report an earnings per share (EPS) of $4.76.

Investors in Cavco Indus are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Overview of Past Earnings

Last quarter the company missed EPS by $0.59, which was followed by a 4.58% drop in the share price the next day.

Here's a look at Cavco Indus's past performance and the resulting price change:

Analysts' Perspectives on Cavco Indus

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Cavco Indus.

Analysts have provided Cavco Indus with 3 ratings, resulting in a consensus rating of Outperform. The average one-year price target stands at $434.0, suggesting a potential 4.92% upside.

Peer Ratings Overview

This comparison focuses on the analyst ratings and average 1-year price targets of Green Brick Partners, Tri Pointe Homes and Dream Finders Homes, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• The consensus outlook from analysts is an Neutral trajectory for Green Brick Partners, with an average 1-year price target of $78.0, indicating a potential 81.14% downside.
• For Tri Pointe Homes, analysts project an Neutral trajectory, with an average 1-year price target of $47.17, indicating a potential 88.6% downside.
• Dream Finders Homes received a Neutral consensus from analysts, with an average 1-year price target of $38.0, implying a potential 90.81% downside.

Peers Comparative Analysis Summary

The peer analysis summary outlines pivotal metrics for Green Brick Partners, Tri Pointe Homes and Dream Finders Homes, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Cavco Indus ranks at the bottom for Revenue Growth and Gross Profit, while it ranks in the middle for Return on Equity among its peers. The company's Revenue Growth is the lowest, Gross Profit is the lowest, and Return on Equity is higher than only one peer.

Discovering Cavco Indus: A Closer Look

Cavco Industries Inc designs and produces factory-built homes under the Cavco Homes, Fleetwood Homes, and Palm Harbor Homes brands. It also produces modular homes, park model homes, and vacation cabins, as well as commercial structures, among others. The company operates principally in two segments: Factory-built housing, which includes wholesale and retail systems-built housing operations, and the Financial services segment, which includes manufactured housing consumer finance and insurance. Cavco receives a majority of its revenue from the Factory-built housing segment.

Financial Milestones: Cavco Indus's Journey

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Cavco Indus displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 0.36%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Net Margin: Cavco Indus's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 7.21%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Cavco Indus's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 3.32%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 2.52%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.03.

To track all earnings releases for Cavco Indus visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.