Is the business good?
How good a business is CVCO?
Cavco Industries, Inc. earns 21% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
21%
Return on invested capital · cost of capital 9.0% · 12 points above what the capital costs: growth creates value
- Operating margin
- 10%
Operating margin · Residential Construction median 9.8% · 12 months to Q4 2026
- Cash conversion
- 1.22×
Cash conversion · 0.92× a year ago · every dollar of reported profit arrived as cash, and more
- Gross margin
- 23%
Gross margin
| Year | Operating margin |
|---|---|
| FY2021 | 8.0% |
| FY2022 | 12% |
| FY2023 | 14% |
| FY2024 | 10.0% |
| FY2025 | 9.4% |
| FY2026 | 10% |
Details›
- Gross margin12 months to Q4 2026
- 23%
- Operating margin12 months to Q4 2026
- 10%
- Net margin12 months to Q4 2026
- 8.5%
- Free cash flow margin
- 10%
- Revenue, trailing twelve months
- $2.24B
- Free cash flow, trailing twelve months
- $232M
- Net income, trailing twelve months
- $191M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 21%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Residential Construction
Ranks #2 of 14 by Smart Score