Cavco Industries

CVCO

Market cap $4.49B

Does Cavco (CVCO) have what it takes to be a top stock pick for momentum investors? Let's find out.

Does Cavco (CVCO) have what it takes to be a top stock pick for momentum investors? Let's find out.

Cavco Industries delivered strong Q2 results with 9.6% YoY revenue growth, driven by factory-built housing and strategic production adjustments. CVCO's acquisition of American Homestar expands its presence in high-growth southern regions, boosting market share to 15% and retail locations to 100. Despite a premium 22x forward P/E, CVCO's robust EPS outlook, debt-free balance sheet, and active buyback program support further upside potential.

Macroeconomic headwinds are plaguing the housing sector, but certain pockets continue to thrive. Installers and low-cost providers have been able to dampen the effects of high rates and home prices.

Cavco Industries is upgraded to a soft "Buy" due to its resilience and growth despite broader housing market weakness. CVCO's niche in factory-built homes, recent acquisition of American Homestar, and strong backlog support continued expansion. The company boasts a fortress balance sheet with no debt and significant cash reserves, enhancing its financial stability.

Here is how Cavco (CVCO) and Great Lakes Dredge & Dock (GLDD) have performed compared to their sector so far this year.

Cavco (CVCO) possesses solid growth attributes, which could help it handily outperform the market.

Persistently strong demand for housing helped drive the builder's growth in its fiscal second quarter of 2026. Other areas of its operations also did well, including financial services.

Cavco Industries, Inc. ( CVCO ) Q2 2026 Earnings Call October 31, 2025 1:00 PM EDT Company Participants Mark Fusler - Director of Financial Reporting & Investor Relations William Boor - President, CEO & Director Allison Aden - Executive VP, CFO & Treasurer Paul Bigbee - Chief Accounting Officer Conference Call Participants Dan Moore - CJS Securities, Inc. Greg Palm - Craig-Hallum Capital Group LLC, Research Division James McCanless - Wedbush Securities Inc., Research Division Jesse Lederman - Zelman & Associates LLC Presentation Operator Good day, and thank you for standing by. Welcome to the Second Quarter Fiscal Year 2026 Cavco Industries, Inc. Earnings Call Webcast.

Cavco (CVCO) came out with quarterly earnings of $6.55 per share, beating the Zacks Consensus Estimate of $6.3 per share. This compares to earnings of $5.28 per share a year ago.