THOR INDUSTRIES INC (THO) Stock Fundamental Analysis
NYSE:THO - New York Stock Exchange, Inc. - US8851601018 - Common Stock - Currency: USD
THO gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 38 industry peers in the Automobiles industry. THO has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. THO is not valued too expensively and it also shows a decent growth rate. THO also has an excellent dividend rating. These ratings could make THO a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
THO had positive earnings in the past year.
In the past year THO had a positive cash flow from operations.
In the past 5 years THO has always been profitable.
In the past 5 years THO always reported a positive cash flow from operatings.
1.2 Ratios
THO has a Return On Assets of 3.01%. This is amongst the best in the industry. THO outperforms 84.21% of its industry peers.
The Return On Equity of THO (5.12%) is better than 71.05% of its industry peers.
THO's Return On Invested Capital of 4.82% is fine compared to the rest of the industry. THO outperforms 78.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for THO is above the industry average of 6.65%.
The 3 year average ROIC (11.53%) for THO is well above the current ROIC(4.82%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.01% | ||
| ROE | 5.12% | ||
| ROIC | 4.82% |
ROA(3y)8.1%
ROA(5y)7.61%
ROE(3y)15.87%
ROE(5y)15.96%
ROIC(3y)11.53%
ROIC(5y)11.18%
1.3 Margins
THO has a better Profit Margin (2.13%) than 71.05% of its industry peers.
In the last couple of years the Profit Margin of THO has grown nicely.
With a decent Operating Margin value of 3.56%, THO is doing good in the industry, outperforming 76.32% of the companies in the same industry.
In the last couple of years the Operating Margin of THO has remained more or less at the same level.
THO's Gross Margin of 14.21% is fine compared to the rest of the industry. THO outperforms 63.16% of its industry peers.
THO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.56% | ||
| PM (TTM) | 2.13% | ||
| GM | 14.21% |
OM growth 3Y-17.3%
OM growth 5Y-1.19%
PM growth 3Y-21%
PM growth 5Y9.28%
GM growth 3Y-2.05%
GM growth 5Y3.16%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), THO is destroying value.
THO has less shares outstanding than it did 1 year ago.
THO has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, THO has an improved debt to assets ratio.
2.2 Solvency
THO has an Altman-Z score of 3.60. This indicates that THO is financially healthy and has little risk of bankruptcy at the moment.
THO has a better Altman-Z score (3.60) than 92.11% 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.
Looking at the Debt to FCF ratio, with a value of 2.03, THO belongs to the top of the industry, outperforming 94.74% of the companies in the same industry.
THO has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
THO has a Debt to Equity ratio of 0.27. This is in the better half of the industry: THO outperforms 73.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.03 | ||
| Altman-Z | 3.6 |
ROIC/WACC0.36
WACC13.55%
2.3 Liquidity
A Current Ratio of 1.71 indicates that THO should not have too much problems paying its short term obligations.
THO's Current ratio of 1.71 is fine compared to the rest of the industry. THO outperforms 71.05% of its industry peers.
THO has a Quick Ratio of 1.71. This is a bad value and indicates that THO is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.78, THO is in line with its industry, outperforming 47.37% of the companies in the same industry.
THO does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
The earnings per share for THO have decreased strongly by -28.33% in the last year.
The Earnings Per Share has been decreasing by -0.50% on average over the past years.
Looking at the last year, THO shows a decrease in Revenue. The Revenue has decreased by -8.47% in the last year.
THO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.01% yearly.
EPS 1Y (TTM)-28.33%
EPS 3Y-24.23%
EPS 5Y-0.5%
EPS Q2Q%-102.86%
Revenue 1Y (TTM)-8.47%
Revenue growth 3Y-6.58%
Revenue growth 5Y5.01%
Sales Q2Q%-8.57%
3.2 Future
THO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.52% yearly.
The Revenue is expected to grow by 7.44% on average over the next years.
EPS Next Y-29.78%
EPS Next 2Y1.43%
EPS Next 3Y12.21%
EPS Next 5Y21.52%
Revenue Next Year-7.47%
Revenue Next 2Y-0.29%
Revenue Next 3Y3.19%
Revenue Next 5Y7.44%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.62, the valuation of THO can be described as rather expensive.
Based on the Price/Earnings ratio, THO is valued cheaper than 81.58% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 24.85. THO is around the same levels.
THO is valuated correctly with a Price/Forward Earnings ratio of 15.38.
Based on the Price/Forward Earnings ratio, THO is valued a bit cheaper than 78.95% of the companies in the same industry.
THO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.62 | ||
| Fwd PE | 15.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, THO is valued cheaper than 84.21% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of THO indicates a rather cheap valuation: THO is cheaper than 94.74% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.04 | ||
| EV/EBITDA | 8.23 |
4.3 Compensation for Growth
THO has an outstanding profitability rating, which may justify a higher PE ratio.
THO's earnings are expected to grow with 12.21% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.43%
EPS Next 3Y12.21%
5. Dividend
5.1 Amount
THO has a Yearly Dividend Yield of 2.62%.
In the last 3 months the price of THO has falen by -21.56%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.70, THO pays a better dividend. On top of this THO pays more dividend than 84.21% of the companies listed in the same industry.
THO's Dividend Yield is comparable with the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.62% |
5.2 History
The dividend of THO has a limited annual growth rate of 4.27%.
THO has paid a dividend for at least 10 years, which is a reliable track record.
THO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.27%
Div Incr Years14
Div Non Decr Years33
5.3 Sustainability
THO pays out 51.53% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of THO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP51.53%
EPS Next 2Y1.43%
EPS Next 3Y12.21%
81.51
-1.03 (-1.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners101.62%
Inst Owner Change2.73%
Ins Owners4.51%
Ins Owner Change-0.58%
Market Cap4.34B
Analysts56.67
Price Target84.47 (3.63%)
Short Float %10.13%
Short Ratio5.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.62% |
Yearly Dividend1.92
Dividend Growth(5Y)4.27%
DP51.53%
Div Incr Years14
Div Non Decr Years33
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-109.35%
Min EPS beat(2)-114.48%
Max EPS beat(2)-104.21%
EPS beat(4)2
Avg EPS beat(4)-44.27%
Min EPS beat(4)-114.48%
Max EPS beat(4)27.94%
EPS beat(8)5
Avg EPS beat(8)-5.21%
EPS beat(12)8
Avg EPS beat(12)0.76%
EPS beat(16)12
Avg EPS beat(16)10.04%
Revenue beat(2)1
Avg Revenue beat(2)-2.05%
Min Revenue beat(2)-5.35%
Max Revenue beat(2)1.26%
Revenue beat(4)3
Avg Revenue beat(4)-0.2%
Min Revenue beat(4)-5.35%
Max Revenue beat(4)1.71%
Revenue beat(8)5
Avg Revenue beat(8)1.19%
Revenue beat(12)8
Avg Revenue beat(12)1.79%
Revenue beat(16)12
Avg Revenue beat(16)3.95%
PT rev (1m)-7.32%
PT rev (3m)-21.05%
EPS NQ rev (1m)-2.02%
EPS NQ rev (3m)-16.83%
EPS NY rev (1m)-0.8%
EPS NY rev (3m)-17.26%
Revenue NQ rev (1m)-0.15%
Revenue NQ rev (3m)-3.24%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-1.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.62 | ||
| Fwd PE | 15.38 | ||
| P/S | 0.46 | ||
| P/FCF | 8.04 | ||
| P/OCF | 6.66 | ||
| P/B | 1.1 | ||
| P/tB | 3.07 | ||
| EV/EBITDA | 8.23 |
EPS(TTM)3.77
EY4.63%
EPS(NY)5.3
Fwd EY6.5%
FCF(TTM)10.13
FCFY12.43%
OCF(TTM)12.24
OCFY15.02%
SpS178.5
BVpS74.28
TBVpS26.57
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.01% | ||
| ROE | 5.12% | ||
| ROCE | 6.46% | ||
| ROIC | 4.82% | ||
| ROICexc | 5.19% | ||
| ROICexgc | 10.69% | ||
| OM | 3.56% | ||
| PM (TTM) | 2.13% | ||
| GM | 14.21% | ||
| FCFM | 5.68% |
ROA(3y)8.1%
ROA(5y)7.61%
ROE(3y)15.87%
ROE(5y)15.96%
ROIC(3y)11.53%
ROIC(5y)11.18%
ROICexc(3y)12.36%
ROICexc(5y)12.16%
ROICexgc(3y)26.95%
ROICexgc(5y)27.77%
ROCE(3y)15.37%
ROCE(5y)14.9%
ROICexcg growth 3Y-27.81%
ROICexcg growth 5Y-5.33%
ROICexc growth 3Y-25.87%
ROICexc growth 5Y-1.71%
OM growth 3Y-17.3%
OM growth 5Y-1.19%
PM growth 3Y-21%
PM growth 5Y9.28%
GM growth 3Y-2.05%
GM growth 5Y3.16%
F-Score6
Asset Turnover1.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.03 | ||
| Debt/EBITDA | 1.74 | ||
| Cap/Depr | 40.77% | ||
| Cap/Sales | 1.18% | ||
| Interest Coverage | 4.41 | ||
| Cash Conversion | 106.11% | ||
| Profit Quality | 266.67% | ||
| Current Ratio | 1.71 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 3.6 |
F-Score6
WACC13.55%
ROIC/WACC0.36
Cap/Depr(3y)70.25%
Cap/Depr(5y)64.21%
Cap/Sales(3y)1.58%
Cap/Sales(5y)1.42%
Profit Quality(3y)141.79%
Profit Quality(5y)136.07%
High Growth Momentum
Growth
EPS 1Y (TTM)-28.33%
EPS 3Y-24.23%
EPS 5Y-0.5%
EPS Q2Q%-102.86%
EPS Next Y-29.78%
EPS Next 2Y1.43%
EPS Next 3Y12.21%
EPS Next 5Y21.52%
Revenue 1Y (TTM)-8.47%
Revenue growth 3Y-6.58%
Revenue growth 5Y5.01%
Sales Q2Q%-8.57%
Revenue Next Year-7.47%
Revenue Next 2Y-0.29%
Revenue Next 3Y3.19%
Revenue Next 5Y7.44%
EBIT growth 1Y-26.35%
EBIT growth 3Y-22.74%
EBIT growth 5Y3.77%
EBIT Next Year49.16%
EBIT Next 3Y28.65%
EBIT Next 5Y26.36%
FCF growth 1Y-17.32%
FCF growth 3Y0.69%
FCF growth 5Y1.45%
OCF growth 1Y-25.78%
OCF growth 3Y1.19%
OCF growth 5Y1.44%