Analysts are optimistic about manufactured home builder Legacy Housing (LEGH) due to its 32% revenue growth and 59% net profit surge in Q2, coupled with the promising outlook for the manufactured housing market.
The analyst pointed out that despite the challenges of high home prices and high mortgage rates in the U.S. real estate market, which have led to a continuous decline in home sales (existing home sales fell 1.7% month-over-month in July), there is a huge opportunity in the prefabricated housing sector. Legacy Housing's Q2 revenue reached $66.3 million, a 32% year-over-year increase; net income was $23.5 million, an increase of nearly 59% year-over-year; and EPS was $0.99, up 62% year-over-year. The stock has risen approximately 45% year-to-date. The analyst believes that the current shortage of 4.7 million homes in the U.S., coupled with the lower cost of prefabricated homes (averaging about $120,000) and the recent passage of the ROAD to Housing Act by Congress, which removes construction and financing barriers, will all drive the growth of the prefabricated housing market.
Source:Yahoo财经 · Source Link
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