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Champion Homes, Inc. (NYSE:SKY) defied analyst predictions to release its quarterly results, which were ahead of market expectations. The company beat forecasts, with revenue of US$645m, some 9.2% above estimates, and statutory earnings per share (EPS) coming in at US$1.06, 33% ahead of expectations. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Check out our latest analysis for Champion Homes
Following the latest results, Champion Homes' five analysts are now forecasting revenues of US$2.65b in 2026. This would be a meaningful 9.4% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to surge 36% to US$3.93. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$2.62b and earnings per share (EPS) of US$3.93 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
The consensus price target rose 10% to US$104despite there being no meaningful change to earnings estimates. It could be that the analystsare reflecting the predictability of Champion Homes' earnings by assigning a price premium. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Champion Homes at US$115 per share, while the most bearish prices it at US$90.00. This is a very narrow spread of estimates, implying either that Champion Homes is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.
Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. It's pretty clear that there is an expectation that Champion Homes' revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 7.5% growth on an annualised basis. This is compared to a historical growth rate of 12% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 5.6% per year. So it's pretty clear that, while Champion Homes' revenue growth is expected to slow, it's still expected to grow faster than the industry itself.