Legacy Housing Corporation (NASDAQ:LEGH) Chairman Curtis Drew Hodgson sold 6,000 shares of the company’s common stock. The shares were sold at an average price of $25.60 each, resulting in a total transaction value of $153,600. Following this sale, Hodgson directly owns 508,522 shares. Additionally, he is a trustee of Hodgson Ventures, the Hodgson 2015 Grand Child Trust, and Cusach, Inc. holds indirect ownership shares through entities such as 1,000,000, 2,669,056, and 100,000 shares. The sale was made on May 15, 2024 under a pre-determined trading plan.
In other recent news, Legacy Housing Corporation (NASDAQ: ) announced mixed results for Q3 2024, with product sales down $6.8 million (18.3%) but interest income from consumer loans down $1.5 million (17.3%). increased. The company’s net income also decreased 1.8% to $15.8 million, and earnings per share decreased by $0.01 (1.5%). Despite these results, Legacy Housing is optimistic about future sales and production improvements, with a significant backlog of orders through Q1 2025 and plans to increase production rates in Q4 2024.
Legacy Housing also reported the sale of additional land for $2.7 million and the ongoing development of 1,100 pads near Austin. As part of its strategic plans, the company is opening new dealerships and focusing on adding independent dealers at strategic locations.
In other board developments, Legacy Housing appointed Skylar M. Houghton, an experienced Dallas-based attorney, as a new independent director. Ms. Houghton will serve on the Compensation Committee, the Nominating and Corporate Governance Committee, and the Audit Committee. The Board has determined that Ms. Houghton meets the independence standards set forth by the SEC and NASDAQ.
InvestingPro Insights
While Curtis Drew Hudson’s recent sale of shares of Legacy Housing Corp. ( NASDAQ:LEGH ) may raise eyebrows, a closer look at the company’s financials via InvestingPro data provides additional context. Despite the sale, Legacy Housing maintains a solid financial position with a market capitalization of $616.76 million and a price-to-earnings ratio of 11.49, suggesting the stock may still be reasonably valued.
Investing Pro Tips highlights that Legacy Housing operates with moderate debt and has more liquid assets than short-term liabilities, indicating financial stability. This may explain why Hodgson has retained a significant share of ownership despite recent sales.
However, investors should note that analysts expect sales to decline in the current year, with revenue already down 29.12% over the past twelve months. This is consistent with another InvestingPro tip indicating that four analysts have revised their earnings estimates for the coming period.
For those seeking a more comprehensive analysis, InvestingPro offers 5 additional tips for Legacy Housing, providing a deeper understanding of the company’s prospects and potential risks.
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