Cavco Industries Inc (CVCO) is slightly overvalued and NVR Inc (NVR) is slightly undervalued.
Against our estimates of intrinsic value, NVR trades at the wider discount: a margin of safety of +15%, against -12% for CVCO.
Values as of the 19 Oct 2026 close.
Discounting its cash flows at 11.1% (average of 3 methods) values the shares at $457.76; the price of $510.97 is 12% above that value, and 70% of that value comes from beyond year five.
Leak Score 63/100 on 12 of 12 signals
Discounting its cash flows at 9.4% (average of 3 methods) values the shares at $6,822.75; the price of $5,828.00 is 15% below that value, and 75% of that value comes from beyond year five.
Leak Score 81/100 on 10 of 12 signals
| Metric | CVCO | NVR |
|---|---|---|
| Verdict | Slightly overvalued | Slightly undervalued |
| Price | $510.97 | $5828.00 |
| Intrinsic value | $457.76 | $6822.75 |
| Margin of safety | -12% | +15% |
| Leak Score | 63/100 (12/12) | 81/100 (10/12) |
| Market cap | $3.9B | $15.5B |
| Revenue growth, 5 years | 15.3% | 6.5% |
| Operating margin | 9.6% | 13.0% |
| Net margin | 7.9% | 12.2% |
| Return on equity | 16.7% | 31.5% |
| Debt to equity | 0.04 | 0.31 |
| P/E | 22.2x | 15.1x |
| Forward P/E | 18.2x | 14.8x |
| P/B | 3.5x | 4.4x |