In a separate 13G filing, Martin Whitman’s Third Avenue Management reported owning 1.01 million shares of Cavco Industries Inc. (NASDAQ:CVCO), which represent 11.35% of the company’s outstanding shares. This denotes a decrease of 378,302 shares from the position revealed through the latest round of 13Fs. The designer and producer of factory-built homes has seen its shares advance by 6% year-to-date, and they are trading at a rather expensive trailing P/E ratio of 29.16. Home shipments have been on the rise in recent years, increasing by slightly more than 8% for the first eight months of the year relative to the same period of last year. Nevertheless, the low employment rate among potential home buyers and low consumer confidence are two major obstacles that have hindered Cavco Industries Inc. (NASDAQ:CVCO) from delivering exceptional growth. The consequences of the 2008 credit crisis are still impacting the manufactured housing industry, especially the reduction in available inventory financing. Nevertheless, the company’s net revenue for the six-month period that ended September 26 totaled $353.63 million, up by 27% year-over-year. As the U.S unemployment rate continues to decrease and consumer confidence levels continue to improve, the company seems to be well-positioned to deliver even stronger performance in the near future.
The number of hedge funds from our database with long positions in the company dropped to eight from 12 during the September quarter, while the value of those positions declined to $153.58 million from $175.94 million quarter-over-quarter. 25.40% of Cavco’s outstanding common stock was held by those eight firms at the end of September. Renaissance Technologies holds 167,500 shares in Cavco Industries Inc. (NASDAQ:CVCO) as of September 30.
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Lastly, another Schedule 13G filing revealed that Jonathan Auerbach’s Hound Partners LLC owns a 6.98 million share-stake in Impax Laboratories Inc. (NASDAQ:IPXL), which accounts for 9.90% of the company’s outstanding shares. Hound Partners owned 7.11 million shares of Impax on September 30, according to its 13F filing for the September quarter. The shares of the specialty pharmaceutical company are up by 31% in 2015 despite being caught in the healthcare equities sell-off at the end of September. The company’s consolidated total revenue for the third quarter reached $221.1 million, up by 40% relative to the same period of last year. This increase was mainly attributable to additional product revenue as a result of the acquisition of Tower for $691.3 million, which was completed on March 9, as well as additional sales from its internally-developed RYTARY (IPX066). Pharmaceutical product RYTARY, which is designed to treat Parkinson’s disease, parkinsonism, and post-encephalitic parkinsonism, was approved by the FDA on January 7, 2015. At the end of November, the European Commission granted market authorization for IPX066 (brand name NUMIENT outside the U.S), so the company could deliver even higher revenue growth in the upcoming quarters.
The pharmaceutical company lost some of its charm among the hedge funds tracked by Insider Monkey during the third quarter, as the number of top money managers invested in the company declined to 26 from 31 during the period. Those asset managers owned 28.60% of the company’s shares on September 30, while the value of their investments dropped to $729.97 million from $1.03 billion quarter-over-quarter. Anand Parekh’s Alyeska Investment Group acquired a new stake of approximately 754,000 shares of Impax Laboratories Inc. (NASDAQ:IPXL) during the third quarter.
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