April 4, 2023 – Thor Industries, Inc. (NYSE:THO), a leading manufacturer and seller of recreational vehicles in North America and Europe, has received an average rating of “Hold” from twelve analysts currently covering the company. This information was reported by Bloomberg Ratings which listed two investment analysts with sell recommendations, six with hold recommendations, and one with a buy recommendation for the company.
Over the past year, Thor’s stock has been evaluated by these twelve experts who have provided an average twelve-month target price of $80.63. While this figure is lower than the current market value of $78.47, it is important to note that THO’s stock has had a volatile year with a low of $66.26 and high of $105.36.
The company operates through three main segments: North American Towable Recreational Vehicles, North American Motorized Recreational Vehicles, and European Recreational Vehicles. Its popular brands include Airstream, Heartland, Jayco Keystone and KZ.
In terms of financial performance indicators, Thor boasts a market capitalization of approximately $4.20 billion dollars as well as a price-to-earnings ratio (P/E) of 5.41 with a beta score of 1.79 showcasing its resilience to market conditions on account of its sizeable operations.
Thor’s current ratio stands at 1.95 while its quick ratio hovers around 0.68- indicating that they possess adequate assets when measured against their liabilities thus positions them positively for future growth opportunities without encountering liquidity difficulties.
With impressive figures across different metrics such as return on equity (ROE) presenting at -13% over the last quarter along with their debt-to-equity ratio hovering around 0.46 depicts an effective capital structure relative to THO`s peers in their industry.
In conclusion from analysis carried out stretching across different yardsticks suggest that THO’s hedging strategy might be promising since they have proved resilient in weathering market conditions thus placing Thor Industries as a model for their peers to follow.
THOR Industries Inc.: Mixed Ratings and Institutional Interest Amid Earnings Dip
THOR Industries Inc. is a vehicle manufacturing company that specializes in recreational vehicles (RVs), such as towable and motorized RVs. The company has been in the news lately due to its recent earnings report, as well as its stock ratings and stock purchases by institutional investors.
On March 7th, THO reported an earnings per share (EPS) of $0.50 for the quarter, which was lower than expected at $1.10. Its net margin was 5.69% and its return on equity was 21.88%. Despite falling short of expectations, the firm had revenue of $2.35 billion for the quarter, which was relatively close to the consensus estimate of $2.49 billion.
Institutional investors have also taken an interest in THO recently. For instance, Vanguard Group bought an additional 53,286 shares during the last quarter and now owns over 5 million shares worth about $418 million in total value. Kayne Anderson Rudnick Investment Management LLC increased its stake by 2.6%, Royal London Asset Management Ltd boosted its position by 37.3%, Dimensional Fund Advisors LP grew its stake by 10.4%, and LSV Asset Management increased its holdings by a staggering 47.2%.
As for stock ratings, Roth Capital reaffirmed a “neutral” rating on shares of THOR Industries on March 7th while Citigroup lifted their price target from $87 to $94 per share and gave the stock a “neutral” rating on February 24th. Additionally, Truist Financial boosted their target price from $70 to $80 per share on February 17th and StockNews.com initiated coverage with a “hold” rating in mid-March.
Despite these mixed signals, THO remains committed to providing value to shareholders: on April 26th it declared a quarterly dividend of $0.45 per share to be paid to shareholders of record on April 12th. This represents an annualized dividend payout of $1.80 per share and a dividend yield of 2.29%.
In summary, THO has received mixed ratings from research firms, but institutional investors have taken a keen interest in the stock. Additionally, THO must work to regain some momentum after falling short of earnings expectations in its most recently reported results. Nevertheless, the company’s commitment to returning value to shareholders through dividends is a good sign and suggests that it remains committed to creating value over the long term.