Legacy Housing Corp (LEGH)
NASDAQ:LEGH
Want to see LEGH full AI Analyst Report?
Top Page
Legacy Housing
(NASDAQ:LEGH)
Select Model
Select Model
Rating:76Outperform
Price Target:
$26.00
▲(19.38% Upside)
Action:Reiterated
Date:05/09/26
The score is driven primarily by strong financial quality (high margins and an exceptionally low-debt balance sheet) and a constructive technical uptrend. Valuation is supportive with a low P/E, while the latest earnings call adds a balanced outlook—meaningful near-term delivery/backlog opportunities and cost controls offset by inventory build, revenue softness, and upcoming tax-rate headwinds.
Positive Factors
High margins and profitability
Sustained high gross and net margins provide structural earnings resilience versus peers, enabling the company to absorb cyclical volume weakness while funding operations, buybacks, and reinvestment. Durable margin strength supports cash generation and long-term profitability even if top-line growth lags.
Negative Factors
Sharp revenue decline and lower shipments
A pronounced multi-period revenue contraction and lower unit volumes indicate structural demand weakness in key channels. Persistently lower shipments reduce operating leverage and challenge the sustainability of current margins and returns unless demand or market share materially improves.
Read all positive and negative factors
Positive Factors
Negative Factors
High margins and profitability
Sustained high gross and net margins provide structural earnings resilience versus peers, enabling the company to absorb cyclical volume weakness while funding operations, buybacks, and reinvestment. Durable margin strength supports cash generation and long-term profitability even if top-line growth lags.
Read all positive factors
Legacy Housing (LEGH) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$571.00M
Dividend YieldN/A
Average Volume (3M)137.85K
Price to Earnings (P/E)13.5
Beta (1Y)0.79
Revenue Growth-7.56%
EPS Growth-24.44%
CountryUS
Employees594
SectorConsumer Cyclical
Sector Strength84
IndustryResidential Construction
Share Statistics
EPS (TTM)1.77
Shares Outstanding23,781,600
10 Day Avg. Volume134,589
30 Day Avg. Volume137,848
Financial Highlights & Ratios
PEG Ratio-0.35
Price to Book (P/B)0.89
Price to Sales (P/S)2.84
P/FCF Ratio16.63
Enterprise Value/Market Cap0.98
Enterprise Value/Revenue3.42
Enterprise Value/Gross Profit7.03
Enterprise Value/Ebitda10.47
Forecast
1Y Price Target
$28.00Price Target Upside28.56% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)2.13
Revenue Forecast (FY)$183.73M
Legacy Housing Business Overview & Revenue Model
Company Description
Legacy Housing Corporation builds, sells, and finances manufactured homes and tiny houses primarily in the southern United States. The company manufactures and provides for the transport of mobile homes; and offers wholesale financing to dealers a...
How the Company Makes Money
Legacy Housing makes money primarily by manufacturing homes and selling them at a margin over its production costs. Its key revenue stream is home sales to wholesale customers such as independent manufactured-home retailers, developers, and manufa...
Legacy Housing Earnings Call Summary
Earnings Call Date:May 07, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 06, 2026
Earnings Call Sentiment Neutral
The quarter presents a mixed but resilient picture: operational wins (notably strong retail/direct growth, solid credit quality, increased cash and available liquidity, margin support from lower SG&A and tax benefits, and a sizable workforce housing backlog) offset several material headwinds (top-line decline, lower unit shipments, a steep drop in inventory finance sales, rising finished-goods inventory, tariff-driven input-cost pressure, geographic weakness in Georgia, and near-term tax credit expiration). Management is optimistic about near-term deliveries (especially related to Texas/data-center and oilfield demand) and is executing on cost controls and share repurchases, but notable risks and execution items remain.Positive Updates
Solid EPS and Per-Share Performance
Diluted EPS of $0.46, up from $0.41 year-over-year (≈12% increase as reported), driven by margin improvements, lower SG&A and a lower effective tax rate.
Negative Updates
Top-Line Revenue Decline
Total net revenue $34.4M, down 3.7% year-over-year from $35.7M. Product sales were weaker at $21.6M, down 11.3%.
Read all updates
Q1-2026 Updates
Positive
Negative
Solid EPS and Per-Share Performance
Diluted EPS of $0.46, up from $0.41 year-over-year (≈12% increase as reported), driven by margin improvements, lower SG&A and a lower effective tax rate.
Read all positive updates
Company Guidance
Management’s forward-looking guidance centered on workforce-housing demand and near-term financial posture: management said roughly 600 workforce units have deposits (about $8.0M in nonrefundable deposits), with at least half (200–300 units) expected to ship in Q2 and substantially all such orders to be recognized in calendar 2026, driving what management called potentially three very strong upcoming quarters; they also said the quarter-to-date run-rate and cash/credit position support this (cash $14.1M, inventories $50.4M, < $1M drawn on a $50M revolver → ~ $49M available, stockholders’ equity $539.0M), will continue buybacks under the $10.0M authorization (≈31k shares repurchased for $0.6M this quarter, ≈$9.4M remaining), expect SG&A to decline further (management flagged a possible ~10% reduction by year-end), and warned the effective tax rate should move up toward the 21% statutory rate after the Section 45L credit expires June 30, 2026; credit quality remains strong (>97% of consumer and park loans <30 days past due) even as loan loss reserves were modestly increased.Legacy Housing Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
90
Very Positive
Cash Flow
66
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 163.26M | 164.57M | 184.19M | 189.14M | 257.01M | 197.51M |
| Gross Profit | 79.48M | 78.02M | 94.12M | 89.45M | 106.90M | 83.46M |
| EBITDA | 53.38M | 53.45M | 78.63M | 71.39M | 84.30M | 63.10M |
| Net Income | 42.46M | 41.81M | 61.64M | 54.46M | 67.77M | 49.87M |
Balance Sheet | ||||||
| Total Assets | 591.47M | 580.34M | 534.19M | 506.74M | 437.81M | 368.05M |
| Cash, Cash Equivalents and Short-Term Investments | 14.11M | 8.48M | 1.15M | 748.00K | 11.23M | 1.04M |
| Total Debt | 2.12M | 2.54M | 1.40M | 25.57M | 5.32M | 7.99M |
| Total Liabilities | 52.48M | 51.72M | 40.24M | 70.01M | 55.71M | 58.65M |
| Stockholders Equity | 538.99M | 528.61M | 493.96M | 436.74M | 382.10M | 309.39M |
Cash Flow | ||||||
| Free Cash Flow | 29.93M | 28.15M | 26.78M | -21.25M | -5.49M | 54.34M |
| Operating Cash Flow | 39.20M | 37.15M | 35.99M | -13.54M | -1.69M | 60.30M |
| Investing Cash Flow | -20.76M | -22.08M | -6.71M | -9.77M | 9.08M | -31.94M |
| Financing Cash Flow | -7.73M | -7.75M | -28.88M | 21.23M | -5.61M | -28.08M |
Legacy Housing Technical Analysis
Positive
21.78
Price Trends
21.47
Positive
21.29
Positive
22.37
Positive
Market Momentum
0.68
Negative
64.12
Neutral
79.19
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LEGH, the sentiment is Positive. The current price of 21.78 is below the 20-day moving average (MA) of 22.57, above the 50-day MA of 21.47, and below the 200-day MA of 22.37, indicating a bullish trend. The MACD of 0.68 indicates Negative momentum. The RSI at 64.12 is Neutral, neither overbought nor oversold. The STOCH value of 79.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LEGH.
Legacy Housing Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $571.00M | 13.46 | 8.08% | ― | -7.56% | -24.44% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
60 Neutral | $686.45M | 19.50 | 4.39% | ― | -4.77% | -87.32% | |
57 Neutral | $1.52B | 11.63 | 5.16% | 1.99% | -7.87% | -54.59% | |
51 Neutral | $694.01M | -185.99 | -0.32% | ― | -13.36% | -104.38% | |
50 Neutral | $1.13B | 15.65 | 3.39% | ― | -22.62% | -60.74% |
* Consumer Cyclical Sector Average
LEGH
Legacy Housing
24.01
2.08
9.48%
BZH
Beazer Homes
25.39
4.70
22.72%
HOV
Hovnanian Enterprises
110.36
22.40
25.47%
LGIH
LGI Homes
47.81
-0.74
-1.52%
CCS
Century Communities
52.82
2.77
5.54%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.