Skyline Champion's Strategic Leap: Analyst Eyes Positive Turn With ECN Investment And Triad Integration
Portfolio Pulse from Shivani Kumaresan
Skyline Champion Corporation (NYSE:SKY) has invested about $138 million into Canadian company ECN Capital, acquiring 33.55 million ECN common shares and 27.45 million convertible preferred Series E shares. This investment gives Skyline access to ECN's subsidiary Triad Financial Services (TFS), a competitor in consumer manufactured home finance and floorplan lending. ECN Capital and SKY are forming a new entity, Champion Financing LLC, which will offer a consumer retail finance program and a branded floor plan offering. Wedbush analyst Jay McCanless reiterated an Outperform rating on SKY shares with a price target of $78.
September 27, 2023 | 6:34 pm
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Skyline Champion's investment in ECN Capital and the formation of Champion Financing LLC could potentially boost its position in the market. Analyst Jay McCanless has reiterated an Outperform rating on SKY shares with a price target of $78.
The investment in ECN Capital gives Skyline access to Triad Financial Services, a competitor in consumer manufactured home finance and floorplan lending. This could potentially strengthen Skyline's position in the market. The formation of Champion Financing LLC, a new entity offering a consumer retail finance program and a branded floor plan offering, could also be a positive development for the company. The analyst's Outperform rating and price target of $78 suggest a positive outlook for the company's stock.
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