Analyzing THOR INDUSTRIES INC (NYSE:THO)'s Dividend Potential.

Discover THOR INDUSTRIES INC (NYSE:THO)—a stock that our stock screener has recognized as a solid dividend pick with strong fundamentals. THO showcases decent financial health and profitability while providing a sustainable dividend. We'll explore the specifics further.

Unpacking THO's Dividend Rating

ChartMill assigns a Dividend Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing various dividend elements, such as yield, historical performance, dividend growth, and sustainability. THO has been awarded a 7 for its dividend quality:

• Compared to an average industry Dividend Yield of 4.82, THO pays a better dividend. On top of this THO pays more dividend than 85.37% of the companies listed in the same industry.
• THO has been paying a dividend for at least 10 years, so it has a reliable track record.
• THO has not decreased their dividend for at least 10 years, which is a reliable track record.
• THO's earnings are growing more than its dividend. This makes the dividend growth sustainable.

How We Gauge Health for THO

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. THO has earned a 7 out of 10:

• THO has an Altman-Z score of 3.48. This indicates that THO is financially healthy and has little risk of bankruptcy at the moment.
• The Altman-Z score of THO (3.48) is better than 90.24% of its industry peers.
• The Debt to FCF ratio of THO is 2.03, which is a good value as it means it would take THO, 2.03 years of fcf income to pay off all of its debts.
• THO's Debt to FCF ratio of 2.03 is amongst the best of the industry. THO outperforms 100.00% of its industry peers.
• A Debt/Equity ratio of 0.27 indicates that THO is not too dependend on debt financing.
• THO has a Debt to Equity ratio of 0.27. This is in the better half of the industry: THO outperforms 65.85% of its industry peers.
• THO has a better Current ratio (1.71) than 65.85% of its industry peers.

Exploring THO's Profitability

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For THO, the assigned 7 is a significant indicator of profitability:

• The Return On Assets of THO (3.01%) is better than 80.49% of its industry peers.
• With a decent Return On Equity value of 5.12%, THO is doing good in the industry, outperforming 73.17% of the companies in the same industry.
• With a decent Return On Invested Capital value of 4.82%, THO is doing good in the industry, outperforming 78.05% of the companies in the same industry.
• The last Return On Invested Capital (4.82%) for THO is well below the 3 year average (11.53%), which needs to be investigated, but indicates that THO had better years and this may not be a problem.
• Looking at the Profit Margin, with a value of 2.13%, THO is in the better half of the industry, outperforming 73.17% of the companies in the same industry.
• In the last couple of years the Profit Margin of THO has grown nicely.
• THO has a better Operating Margin (3.56%) than 78.05% of its industry peers.
• THO's Gross Margin has improved in the last couple of years.

More Best Dividend stocks can be found in our Best Dividend screener.

Check the latest full fundamental report of THO for a complete fundamental analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.