THOR INDUSTRIES INC (THO) Stock Fundamental Analysis
NYSE:THO - New York Stock Exchange, Inc. - US8851601018 - Common Stock - Currency: USD
Taking everything into account, THO scores 7 out of 10 in our fundamental rating. THO was compared to 40 industry peers in the Automobiles industry. THO gets an excellent profitability rating and is at the same time showing great financial health properties. THO has a correct valuation and a medium growth rate. THO also has an excellent dividend rating. With these ratings, THO could be worth investigating further 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.
THO had positive earnings in each of the past 5 years.
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 82.50% of its industry peers.
Looking at the Return On Equity, with a value of 5.12%, THO is in the better half of the industry, outperforming 72.50% of the companies in the same industry.
THO has a Return On Invested Capital of 4.82%. This is in the better half of the industry: THO outperforms 80.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for THO is above the industry average of 6.75%.
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.
| 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
Looking at the Profit Margin, with a value of 2.13%, THO is in the better half of the industry, outperforming 72.50% of the companies in the same industry.
In the last couple of years the Profit Margin of THO has grown nicely.
THO's Operating Margin of 3.56% is fine compared to the rest of the industry. THO outperforms 77.50% of its industry peers.
THO's Operating Margin has been stable in the last couple of years.
THO has a Gross Margin of 14.21%. This is in the better half of the industry: THO outperforms 62.50% of its industry peers.
In the last couple of years the Gross Margin of THO has grown nicely.
| 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.
The debt/assets ratio for THO has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.49 indicates that THO is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 3.49, THO belongs to the best of the industry, outperforming 92.50% of the companies in the same industry.
THO has a debt to FCF ratio of 2.03. This is a good value and a sign of high solvency as THO would need 2.03 years to pay back of 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 95.00% of the companies in the same industry.
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 72.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.03 | ||
| Altman-Z | 3.49 |
ROIC/WACC0.36
WACC13.3%
2.3 Liquidity
A Current Ratio of 1.71 indicates that THO should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.71, THO is doing good in the industry, outperforming 70.00% of the companies in the same industry.
A Quick Ratio of 0.78 indicates that THO may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.78, THO is in line with its industry, outperforming 47.50% of the companies in the same industry.
The current and quick ratio evaluation for THO is rather negative, while it does have 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.
THO shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.50% yearly.
Looking at the last year, THO shows a decrease in Revenue. The Revenue has decreased by -8.47% in the last year.
The Revenue has been growing slightly by 5.01% on average over the past years.
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
The Earnings Per Share is expected to grow by 21.52% on average over the next years. This is a very strong growth
Based on estimates for the next years, THO will show a small growth in Revenue. The Revenue will grow by 7.44% on average per year.
EPS Next Y-29.78%
EPS Next 2Y1.43%
EPS Next 3Y12.21%
EPS Next 5Y21.52%
Revenue Next Year-7.38%
Revenue Next 2Y-0.25%
Revenue Next 3Y3.19%
Revenue Next 5Y7.44%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
The Price/Earnings ratio is 19.91, which indicates a rather expensive current valuation of THO.
Based on the Price/Earnings ratio, THO is valued cheaply inside the industry as 82.50% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 28.22. THO is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 14.17, the valuation of THO can be described as correct.
Based on the Price/Forward Earnings ratio, THO is valued a bit cheaper than 80.00% 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 20.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.91 | ||
| Fwd PE | 14.17 |
4.2 Price Multiples
87.50% of the companies in the same industry are more expensive than THO, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of THO indicates a rather cheap valuation: THO is cheaper than 95.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.41 | ||
| EV/EBITDA | 7.44 |
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
With a Yearly Dividend Yield of 2.72%, THO has a reasonable but not impressive dividend return.
In the last 3 months the price of THO has falen by -27.01%. 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 3.83, THO pays a better dividend. On top of this THO pays more dividend than 85.00% of the companies listed in the same industry.
THO's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
5.2 History
The dividend of THO has a limited annual growth rate of 4.27%.
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.
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%
75.06
+1.65 (+2.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners101.62%
Inst Owner Change0.67%
Ins Owners4.51%
Ins Owner Change-0.58%
Market Cap3.99B
Analysts56.67
Price Target84.47 (12.54%)
Short Float %8.12%
Short Ratio4.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
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)-22.89%
PT rev (3m)-22.09%
EPS NQ rev (1m)-0.96%
EPS NQ rev (3m)-9.41%
EPS NY rev (1m)-0.8%
EPS NY rev (3m)-18.1%
Revenue NQ rev (1m)0.15%
Revenue NQ rev (3m)-4.74%
Revenue NY rev (1m)-1.67%
Revenue NY rev (3m)-1.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.91 | ||
| Fwd PE | 14.17 | ||
| P/S | 0.42 | ||
| P/FCF | 7.41 | ||
| P/OCF | 6.13 | ||
| P/B | 1.01 | ||
| P/tB | 2.83 | ||
| EV/EBITDA | 7.44 |
EPS(TTM)3.77
EY5.02%
EPS(NY)5.3
Fwd EY7.06%
FCF(TTM)10.13
FCFY13.5%
OCF(TTM)12.24
OCFY16.31%
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 | 3.49 |
F-Score6
WACC13.3%
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-7.38%
Revenue Next 2Y-0.25%
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%