Thor Industries to Report Q3 Earnings Results: What to Expect?

🌥️As the world slowly recovers from the COVID-19 pandemic, investors have focused on companies that prospered, through the pandemic or those poised to benefit from the recovery. One such company that has been making headlines is Thor Industries. The company, which designs and manufactures recreational vehicles (RVs), is set to report its Q3 earnings on June 6th, 2023, at 12:00 AM EST.

Thor Industries is one of the largest RV makers in America, and its products have been in high demand as individuals turn to road trips for a safe way to travel during the pandemic. Given this trend and the company’s recent financial performance, we can expect the earnings results to be positive. Let’s delve into the data to examine the fundamental and technical factors that will impact Thor Industries‘ earnings report.

Fundamental Analysis:

Thor Industries‘ past year financial results have been impressive, with a consistent increase in net income and total revenue each quarter. In Q2 2022, Thor Industries reported a net income of 27.1 million USD and total revenue of 2346.6 million USD, culminating in diluted EPS of 0.50. However, the company’s most significant quarter was Q3 2022, with a net income of $348.1 million. One key metric to look out for is a possible increase in earnings per share (EPS) for Q3 2023. MorningStar’s consensus EPS estimate for Q3 stands at $1.21 per share, similar to estimates 7 days ago, 30 days ago, and 60 days ago.

Additionally, Thor Industries has had consistent sales growth for several quarters, with Q2 2022 seeing a year-on-year sales growth rate of 58.07%. Moreover, their RV segment has seen an increase in sales of 87.22% in Q2 2022 and 123.23% in Q3 2022. As such, we can expect sales trends to continue on the same trajectory in Q3 2023.

Technical Analysis:

In the past three months, Thor Industries‘ stock price has been unpredictable. The price appreciated by 5.1% in the last one month but lost 10.3% of its value over the past three months. However, the stock price has been recovering since April, gaining 4% in the last month alone, closing at $81.7 on May 26th, 2023.

One technical indicator to note is the stock’s moving average convergence divergence (MACD) indicator. The MACD, which calculates the difference between a short-term and long-term moving average (26-day and 12-day) of prices, provides insight into the overall momentum of the company’s stock. A positive MACD indicates upward momentum, while a negative MACD suggests downward momentum, and a horizontal MACD implies that no clear trend exists. As of May 26th, 2023, Thor Industries‘ MACD is currently positive, suggesting that the trend is bullish.

Historical Guidance:

Thor Industries‘ historical guidance shows consistent growth in earnings and revenue for several quarters. The company’s last three earnings reports have exceeded earnings expectations and indicate healthy fundamentals. The company has also emphasized its desire to continue increasing sales through acquisitions and expanding its product offerings and market share.

Analysts Estimates:

Thor Industries‘ upcoming earnings call will be highly anticipated for investors, and analysts’ estimates reflect this expectation. According to MorningStar’s consensus estimate for Q3 earnings, Thor Industries is expected to report EPS of $1.21, which is consistent with the estimates made over the past 90 days.

According to Nasdaq, six analysts have provided estimates for Thor Industries‘ earnings, with estimates ranging from $1.17 to $1.25. We can expect that the company’s future guidance will be an essential aspect of this quarter’s earnings report.

Conclusion:

Thor Industries has had a strong 2022/2023 financial year, with consistent growth in earnings and revenue across all quarters. The recreational vehicles market saw a surge in demand during the Pandemic, which bolstered sales and contributed to the company reaching new heights. Additionally, the company has several new product lines in store, such as the e-mobility division, which will undoubtedly contribute to its future success.

Based on MorningStar’s consensus estimates, we can anticipate Thor Industries meeting analysts’ expectations for Q3 2023 EPS of $1.21, and among the six analysts covering Thor Industries, estimates range from $1.17 to $1.25.

Investors and industry enthusiasts should tune in to Thor Industries‘ Q3 earnings call on June 6th, 2023, at 12:00 AM EST. The call will provide insights into the company’s future outlook and plans for growth in the RV market. With a bullish MACD trend and consistent sales growth across all quarters, there is much to look forward to from Thor Industries in the coming months.