Why is Skyline Champion Corp. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 20.25%
- Healthy long term growth as Net Sales has grown by an annual rate of 15.00% and Operating profit at 26.67%
- Company has a low Debt to Equity ratio (avg) at times
2
Flat results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at USD 231.54 MM
- INVENTORY TURNOVER RATIO(HY) Lowest at 5.43 times
3
With ROE of 13.06%, it has a expensive valuation with a 2.39 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -19.34%, its profits have risen by 35.2% ; the PEG ratio of the company is 0.5
4
Underperformed the market in the last 1 year
- Even though the market (S&P 500) has generated returns of 12.94% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -19.34% returns
How much should you hold?
- Overall Portfolio exposure to Skyline Champion Corp. should be less than 10%
- Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Skyline Champion Corp. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Skyline Champion Corp.
-19.47%
0.54
48.41%
S&P 500
13.22%
0.64
20.20%
Quality key factors
Factor
Value
Sales Growth (5y)
15.00%
EBIT Growth (5y)
26.67%
EBIT to Interest (avg)
72.98
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.38
Sales to Capital Employed (avg)
1.53
Tax Ratio
20.87%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
49.75%
ROE (avg)
20.25%
Valuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
Price to Book Value
2.39
EV to EBIT
13.09
EV to EBITDA
11.12
EV to Capital Employed
3.23
EV to Sales
1.25
PEG Ratio
0.50
Dividend Yield
NA
ROCE (Latest)
24.72%
ROE (Latest)
13.06%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
15What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 6,087.84
RAW MATERIAL COST(Y)
Fallen by -3.85% (YoY
NET SALES(Q)
Highest at USD 701.32 MM
OPERATING PROFIT(Q)
Highest at USD 91.14 MM
OPERATING PROFIT MARGIN(Q)
Highest at 12.99 %
PRE-TAX PROFIT(Q)
Highest at USD 84.99 MM
NET PROFIT(Q)
Highest at USD 65.25 MM
EPS(Q)
Highest at USD 1.13
-4What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 231.54 MM
INVENTORY TURNOVER RATIO(HY)
Lowest at 5.43 times
Here's what is working for Skyline Champion Corp.
Interest Coverage Ratio
Highest at 6,087.84
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales
Highest at USD 701.32 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 91.14 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 12.99 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at USD 84.99 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 65.25 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 1.13
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Raw Material Cost
Fallen by -3.85% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Skyline Champion Corp.
Operating Cash Flow
Lowest at USD 231.54 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Inventory Turnover Ratio
Lowest at 5.43 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






