WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.

<TABLE> <S> <C>

<ARTICLE>                                          5
<MULTIPLIER>                                       1,000


THE  SCHEDULE   CONTAINS  SUMMARY  FINANCIAL  INFORMATION  EXTRACTED  FROM   THE
CONSOLIDATED BALANCE SHEETS AND CONSOLIDATED  STATEMENTS OF  INCOME OF  CAVALIER
HOMES, INC. & SUBSIDIARIES AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.

<S>                                                <C>                <C>                 <C>
<PERIOD-TYPE>                                      YEAR               YEAR                YEAR
<FISCAL-YEAR-END>                                  DEC-31-1997        DEC-31-1996         DEC-31-1995
<PERIOD-END>                                       DEC-31-1997        DEC-31-1996         DEC-31-1995
<CASH>                                                   41276              37994               29777
<SECURITIES>                                                 0               1097                3583
<RECEIVABLES>                                             8449              11361                9195
<ALLOWANCES>                                              1175                837                 787
<INVENTORY>                                              29697              28172               16966
<CURRENT-ASSETS>                                         89515              89582               67172
<PP&E>                                                   71383              61902               41875
<DEPRECIATION>                                           17949              12048                8169
<TOTAL-ASSETS>                                          211554             196387              132694
<CURRENT-LIABILITIES>                                    61031              64836               45015
<BONDS>                                                      0                  0                   0
<PREFERRED-MANDATORY>                                        0                  0                   0
<PREFERRED>                                                  0                  0                   0
<COMMON>                                                  1994               1974                1830
<OTHER-SE>                                              131557             120678               73289
<TOTAL-LIABILITY-AND-EQUITY>                            211554             196387              132694
<SALES>                                                 555842             573838              420790
<TOTAL-REVENUES>                                        561188             577171              422554
<CGS>                                                   466749             482302              354811
<TOTAL-COSTS>                                           466749             482302              354811
<OTHER-EXPENSES>                                          7359                  0                   0
<LOSS-PROVISION>                                           669                389                 301
<INTEREST-EXPENSE>                                        1511                845                1333
<INCOME-PRETAX>                                          18339              44186               28798
<INCOME-TAX>                                              8092              16707               11168
<INCOME-CONTINUING>                                      10247              27479               17630
<DISCONTINUED>                                               0                  0                   0
<EXTRAORDINARY>                                              0                  0                   0
<CHANGES>                                                    0                  0                   0
<NET-INCOME>                                             10247              27479               17630
<EPS-PRIMARY>                                              .52               1.42                1.06
<EPS-DILUTED>                                              .51               1.39                1.03



</TABLE>