Skyline Champion Corporation (NYSE:SKY) shares traded lower over the last trading session, losing -1.92% on 05/28/21. The shares fell to a low of $49.86 before closing at $50.65. Intraday shares traded counted 0.41 million, which was 1.61% higher than its 30-day average trading volume of 418.96K. SKY’s previous close was $51.64 while the outstanding shares total 56.70M. The firm has a beta of 2.17, a 12-month trailing P/E ratio of 34.08, and a growth ratio of 2.38. The stock’s Relative Strength Index (RSI) is 67.15, with weekly volatility at 5.63% and ATR at 2.00. The SKY stock’s 52-week price range has touched low of $21.31 and a $53.51 high.
Investors have identified the Residential Construction company Skyline Champion Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $2.93 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Skyline Champion Corporation (SKY) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 499.77 million total, with 263.64 million as their total liabilities.
SKY were able to record 145.88 million as free cash flow during the 07/29/2021 quarter of the year, this saw their quarterly net cash flow reduce by 53.13 million. In cash movements, the company had a total of 153.9 million as operating cash flow.
Potential earnings growth for Skyline Champion Corporation (SKY)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/29/2021 quarter of the year, Skyline Champion Corporation recorded a total of 447.65 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 32.73% coming in sequential stages and their sales for the 07/29/2021 quarter increasing by 15.65%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 348.53 million trying to sell their products during the last quarter, with the result yielding a gross income of 99.11 million. This allows shareholders to hold on to 56.70M with the recently reported earning now reading 0.60 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (0.61 cents a share).
Having a look at the company’s valuation, the company is expected to record 2.13 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on SKY sounds very interesting.
Is the stock of SKY attractive?
In related news, Director, Anderson Keith A sold 121,948 shares of the company’s stock in a transaction that recorded on May 26. The sale was performed at an average price of 48.78, for a total value of 5,948,672. As the sale deal closes, the EVP, CFO, Treasurer, Hough Laurie M. now sold 60,000 shares of the company’s stock, valued at 3,007,714. Also, Director, Anderson Keith A sold 22,286 shares of the company’s stock in a deal that was recorded on Apr 06. The shares were price at an average price of 47.52 per share, with a total market value of 1,059,031. Following this completion of acquisition, the Director, Anderson Keith A now holds 105,766 shares of the company’s stock, valued at 4,963,283. In the last 6 months, insiders have changed their ownership in shares of company stock by 2.00%.
3 out of 6 analysts covering the stock have rated it a Buy, while 3 have maintained a Hold recommendation on Skyline Champion Corporation. 0 analysts has assigned a Sell rating on the SKY stock. The 12-month mean consensus price target for the company’s shares has been set at $48.17.