Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Champion HomesSKY -3.86%88 Return-on-Tangible-Equity is 10.23% as of Mar. 2026, which is 54% below its 10-year median of 22.42. GuruFocus rates SKY with a GF Score™ of 88/100 and a GF Value™ of $93.77 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 94 Homebuilding & Construction companies, Champion Homes ranks better than 85.11% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Champion Homes's annualized net income for the quarter that ended in Mar. 2026 was $119 Mil. Champion Homes's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $1,161 Mil. Therefore, Champion Homes's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 10.23%.
The historical rank and industry rank for Champion Homes's Return-on-Tangible-Equity or its related term are showing as below:
SKY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -34.42 Med: 22.42 Max: 206.54
Current: 18.02
During the past 13 years, Champion Homes's highest Return-on-Tangible-Equity was 206.54%. The lowest was -34.42%. And the median was 22.42%.
SKY's Return-on-Tangible-Equity is ranked better than 85.11% of 94
companies
in the Homebuilding & Construction industry
Industry Median: 8.285
vs SKY: 18.02
Champion Homes (NYSE:SKY) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Champion Homes Return-on-Tangible-Equity Related Terms
Champion Homes Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Champion Homes's Return-on-Tangible-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
SKY vs CVCO, MHO, MTH: Return-on-Tangible-Equity Comparison
For the Residential Construction subindustry, Champion Homes's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Champion Homes Return-on-Tangible-Equity vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Champion Homes's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Champion Homes's Return-on-Tangible-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 10.23% mean?
Champion Homes (SKY) has a Return-on-Tangible-Equity of 10.23% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Champion Homes and its competitors. This is 54% below median its historical median of 22.42. According to the industry distribution chart, Champion Homes ranks #14 out of 94 companies in the Homebuilding & Construction industry, placing it in the top 14.9%.
Is Champion Homes' Return-on-Tangible-Equity too high?
Champion Homes' current Return-on-Tangible-Equity of 10.23% is 54% below median its 10-year median of 22.42. The Homebuilding & Construction industry median Return-on-Tangible-Equity is 8.29. Champion Homes' value of 10.23% is 23.5% above this industry median. Based on the distribution chart, Champion Homes ranks #14 out of 94 companies in the Homebuilding & Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Champion Homes has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Champion Homes' Return-on-Tangible-Equity compare to CVCO and MHO?
According to the Homebuilding & Construction industry distribution chart, Champion Homes ranks #14 out of 94 companies for Return-on-Tangible-Equity. This places Champion Homes in the top 15% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.29. Champion Homes' value of 10.23% is 23.5% above this benchmark. While the company's 10-year median is 22.42 vs. the industry median of 8.29, Champion Homes has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Homebuilding & Construction company?
The median Return-on-Tangible-Equity among Homebuilding & Construction companies is 8.29, based on 94 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Champion Homes's current Return-on-Tangible-Equity of 10.23% is 23.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Champion Homes and its competitors. For the Homebuilding & Construction industry, the median Return-on-Tangible-Equity is 8.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Champion Homes's current Return-on-Tangible-Equity is 10.23%, which is 54% below median its own 10-year median of 22.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Champion Homes stock overvalued right now?
Based on GuruFocus' analysis, Champion Homes (SKY) is currently considered Modestly Undervalued. The stock's GF Value™ is $93.77, compared to a current price of $82.70 — trading 11.8% below its estimated fair value. The current Return-on-Tangible-Equity is 10.23%, which is 54% below median its 10-year median of 22.42 and 23.5% above the Homebuilding & Construction industry median of 8.29. Champion Homes' overall GF Score™ is 88/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Champion Homes (SKY), the current Return-on-Tangible-Equity is 10.23% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Champion Homes (SKY) Overvalued in 2026?
Based on GuruFocus' analysis, Champion Homes stock appears to be undervalued.
The current stock price of $82.70 is trading 11.8% below its estimated GF Value™ of $93.77.
GuruFocus considers Champion Homes to be Modestly Undervalued.
Key valuation signals for SKY:
Return-on-Tangible-Equity: 10.23% (54% below median its 10-year median of 22.42)
GF Value™: $93.77 vs. price of $82.70 (11.8% below fair value)
Industry Position: 23.5% above the Homebuilding & Construction median (#14 of 94)
No single metric tells the full story. See the SKY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Champion Homes Inc is a factory-built housing company in North America. The company is well positioned with an portfolio of manufactured and modular homes, ADUs, park-models and modular buildings for the single-family, multi-family, and other hospitality sectors. In addition to its core home building business, the company provides construction services to install and set-up factory-built homes, operates a factory-direct retail business with 72 retail locations across the United States, and operates Star Fleet Trucking, providing transportation services to the manufactured housing and other industries from several dispatch locations across the United States.
88GF Score
Get the complete analysis for SKY
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SKY has been successfully added to your 
