Cavco Industries Inc. Common Stock When Issued (CVCO)

FairStock Score: 57/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I am looking for businesses that earn good returns on capital, carry modest debt, and can be bought at a sensible price. Cavco checks some boxes. In fiscal 2026, the year ended 2026-03-28, it reported revenue of $2.2 billion, net income of $190.6 million, and diluted EPS of $23.98. In fiscal 2025, the year ended 2025-03-29, revenue was $2.0 billion, net income was $171.0 million, and diluted EPS was $20.71, so the trend is up. In fiscal Q1 2027, the quarter ended 2026-06-27, revenue was $610.0 million, net income was $42.3 million, and diluted EPS was $5.43. The balance sheet looks conservative: FairStock calculates debt-to-equity at 0.04 and an Altman Z-score of 8.47. Returns are decent—ROE 16.66%, ROCE 9.64%—but not so high that I would call this a wide-moat compounder. Factory-built housing is cyclical, as the computed Lynch category says: CYCLICAL — Residential Construction, because earnings follow the economic cycle. Valuation is the rub. At the 2026-10-13 close of $528.64, FairStock calculates a P/E of 22.97, P/B of 3.67, EV/EBITDA of 14.38, and a Graham Number of $271.66. That implies the price is about 95% above a conservative asset-and-earnings value, leaving a negative margin of safety of -94.60%. Free cash flow yield is 5.7%, PEG is 1.36, and the Piotroski F-score is 5/9. So I see a solid, conservatively financed operator with rising profits, but the market already pays a full price for that record. I would want a wider discount before getting excited.

In plain English: Cavco makes factory-built homes, cabins, and commercial structures, mostly in the United States. The business is profitable and growing, carries little debt, and generates cash. But at the recent close, the stock price looks expensive compared with the company's profits and the value of its assets as recorded in its books.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2027 10-Q (period ended 2026-06-27) · fiscal Q3 2026 10-Q (period ended 2025-12-27) · fiscal Q2 2026 10-Q (period ended 2025-09-27) · fiscal Q1 2026 10-Q (period ended 2025-06-28) · FY2026 10-K (period ended 2026-03-28) · FY2025 10-K (period ended 2025-03-29) · FY2024 10-K (period ended 2024-03-30)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer