TacticScaleWhat Cavco Industries Does & How It Makes Money (CVCO)
Updated October 2026 · reflects Cavco Industries's latest reported financials
U.S. maker, seller and financer of factory-built and manufactured homes. Most of its revenue comes from selling factory-built homes and structures through independent and company-owned retailers, community operators and developers.
How Cavco Industries makes money
Most of its revenue comes from selling factory-built homes and structures through independent and company-owned retailers, community operators and developers. It also earns interest and fees from mortgages and home-only loans, plus premiums from property and casualty insurance for manufactured home owners.
What Cavco Industries does
Cavco Industries, founded in 1965 and based in Phoenix, Arizona, designs, builds and retails factory-built homes, mainly in the United States. It has two segments: Factory-Built Housing, and Financial Services. The housing business makes manufactured and modular homes in many styles, from single-section ranch homes to two- and three-story and multi-family units. It also makes park model RVs, vacation cabins and commercial structures such as apartment buildings, condominiums, hotels, workforce housing, schools and U.S. military housing. The homes reach buyers through independent and company-owned retailers, planned community operators and residential developers. The Financial Services segment makes conforming and non-conforming mortgages and home-only loans to buyers of factory-built homes, and sells property and casualty insurance to manufactured home owners. Together, the two segments cover the full chain: building the home, selling it, and financing and insuring the purchase.
Products & services
- Manufactured homes
- Modular homes (ranch, split-level, Cape Cod, multi-story)
- Park model RVs and vacation cabins
- Factory-built commercial structures (apartments, hotels, schools, military housing)
- Mortgages and home-only loans
- Property and casualty insurance for manufactured homes
What is Cavco Industries worth?
On an owner-earnings DCF, Cavco Industries's most-likely value is about $502 versus a recent price near $532 (6% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$248) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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