On December 31, 2024, Vanguard Group Inc executed a notable transaction by acquiring an additional 876,712 shares of Champion Homes Inc at a trade price of $88.10 per share. This strategic move increased Vanguard's total holdings in Champion Homes Inc to 5,942,992 shares. The transaction reflects Vanguard's continued interest in the factory-built housing sector, as Champion Homes Inc is a prominent player in this industry. Despite the significant addition, the trade had a 0% impact on Vanguard's overall portfolio, indicating a calculated and balanced approach to portfolio management.
Vanguard Group Inc: A Leader in Cost-Efficient Investment Strategies
Founded in 1975 by John C. Bogle, Vanguard Group Inc is renowned for its client-owned structure and cost-efficient investment strategies. The firm focuses on cutting costs and maximizing returns for investors, primarily through index mutual funds. Vanguard's unique structure allows it to lower costs and enhance profits on fund returns, benefiting its investors. Over the years, Vanguard has expanded globally, offering a diverse range of low-cost mutual funds, ETFs, and other financial services to over 20 million clients worldwide. The firm's top holdings include major companies such as Apple Inc (AAPL, Financial), Amazon.com Inc (AMZN, Financial), and Microsoft Corp (MSFT, Financial).
Champion Homes Inc: A Leader in Factory-Built Housing
Champion Homes Inc is a leading factory-built housing company in North America, offering a diverse portfolio of manufactured and modular homes. The company operates in segments such as Canadian Factory-built Housing and U.S. Factory-built Housing, with a market capitalization of $5 billion. Champion Homes Inc is well-positioned in the industry, providing construction services, operating a factory-direct retail business, and offering transportation services through Star Fleet Trucking. The company's robust growth is evident with a 3-year revenue growth rate of 11.90% and an EBITDA growth rate of 21.10%.
Transaction Analysis and Financial Metrics
The recent acquisition by Vanguard increased its holdings in Champion Homes Inc to 5,942,992 shares, representing 10.35% of the firm's portfolio. Despite this addition, the trade had a 0% impact on Vanguard's overall portfolio, highlighting the firm's strategic allocation approach. Champion Homes Inc is currently trading at $87.05, with a PE ratio of 33.61, indicating a significantly overvalued status according to the GF Valuation. The GF Value of the stock is $64.82, with a Price to GF Value ratio of 1.34, suggesting potential overvaluation.
Performance and Growth Indicators
Champion Homes Inc boasts a GF Score of 84/100, indicating good outperformance potential. The company ranks highly in balance sheet (9/10) and growth (8/10), reflecting its strong financial health and growth prospects. The company's interest coverage ratio of 22.73 and Altman Z score of 8.00 further underscore its financial stability. Despite the current overvaluation, Champion Homes Inc's growth trajectory and financial strength make it an attractive investment for long-term value investors.
Other Notable Investors in Champion Homes Inc
Besides Vanguard, other prominent investors in Champion Homes Inc include First Eagle Investment (Trades, Portfolio), Keeley-Teton Advisors, LLC (Trades, Portfolio), and Joel Greenblatt (Trades, Portfolio). GAMCO Investors holds the largest share percentage of Champion Homes Inc among the gurus, indicating strong institutional interest in the company. This diverse investor base highlights the confidence in Champion Homes Inc's growth potential and market position.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
