What Cavco Industries, Inc. told the SEC could break it.

Cavco is heavily concentrated in Texas — 57 of its 92 company-owned U.S. retail stores are in Texas, it has multiple Texas factories, and its CountryPlace loan book and Standard Casualty insurance are concentrated in Texas (and TX/FL/OK/NM), exposing it to that region's economy and weather/hurricanes more than geographically dispersed peers.

“We distribute our homes through a large network of independent distribution points in 48 states and Canada and 92 Company-owned U.S. retail stores, of which 57 are located in Texas.”

Cavco runs two Mexico production lines that depend on materials shipped from its Presidio, Texas facility and export finished homes back to the U.S.; U.S./Mexico border shutdowns or delays, tariffs on Mexican goods or trade disputes (and tariffs on imported parts more broadly) could disrupt production and raise costs it may not be able to pass through.

“We have two production lines in Mexico which are dependent upon receiving materials from our facility in Presidio, Texas. Shutdown or delays at the United States/Mexico border, tariffs on goods coming from Mexico, and/or trade wars with the Mexican government could impact production at those facilities and our ability to receive the finished goods from those facilities, each of which could adversely affect our results of operations.”