THOR INDUSTRIES INC (THO)

US8851601018 - Common Stock

126.33  +2.02 (+1.62%)

After market: 126.33 0 (0%)

Fundamental Rating

6

Overall THO gets a fundamental rating of 6 out of 10. We evaluated THO against 40 industry peers in the Automobiles industry. THO has an excellent profitability rating, but there are some minor concerns on its financial health. THO has a correct valuation and a medium growth rate.



7

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.
Each year in the past 5 years THO has been profitable.
THO had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

THO has a better Return On Assets (4.07%) than 87.18% of its industry peers.
THO has a better Return On Equity (7.45%) than 76.92% of its industry peers.
THO has a Return On Invested Capital of 6.76%. This is amongst the best in the industry. THO outperforms 89.74% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for THO is significantly above the industry average of 8.30%.
The 3 year average ROIC (14.58%) for THO is well above the current ROIC(6.76%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 4.07%
ROE 7.45%
ROIC 6.76%
ROA(3y)10.14%
ROA(5y)7.33%
ROE(3y)21.22%
ROE(5y)15.93%
ROIC(3y)14.58%
ROIC(5y)11.42%

1.3 Margins

THO has a Profit Margin of 2.77%. This is in the better half of the industry: THO outperforms 79.49% of its industry peers.
In the last couple of years the Profit Margin of THO has declined.
With a decent Operating Margin value of 4.64%, THO is doing good in the industry, outperforming 79.49% of the companies in the same industry.
THO's Operating Margin has declined in the last couple of years.
THO has a Gross Margin of 13.96%. This is in the better half of the industry: THO outperforms 69.23% of its industry peers.
In the last couple of years the Gross Margin of THO has remained more or less at the same level.
Industry RankSector Rank
OM 4.64%
PM (TTM) 2.77%
GM 13.96%
OM growth 3Y4.22%
OM growth 5Y-6.81%
PM growth 3Y7.22%
PM growth 5Y-8.21%
GM growth 3Y1.59%
GM growth 5Y0.52%

6

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), THO is creating some value.
Compared to 1 year ago, THO has less shares outstanding
The number of shares outstanding for THO has been increased compared to 5 years ago.
Compared to 1 year ago, THO has an improved debt to assets ratio.

2.2 Solvency

An Altman-Z score of 3.90 indicates that THO is not in any danger for bankruptcy at the moment.
The Altman-Z score of THO (3.90) is better than 84.62% of its industry peers.
THO has a debt to FCF ratio of 1.78. This is a very positive value and a sign of high solvency as it would only need 1.78 years to pay back of all of its debts.
THO has a Debt to FCF ratio of 1.78. This is amongst the best in the industry. THO outperforms 94.87% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that THO is not too dependend on debt financing.
THO has a Debt to Equity ratio (0.34) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.34
Debt/FCF 1.78
Altman-Z 3.9
ROIC/WACC0.6
WACC11.18%

2.3 Liquidity

A Current Ratio of 1.63 indicates that THO should not have too much problems paying its short term obligations.
THO has a Current ratio of 1.63. This is comparable to the rest of the industry: THO outperforms 56.41% of its industry peers.
THO has a Quick Ratio of 1.63. This is a bad value and indicates that THO is not financially healthy enough and could expect problems in meeting its short term obligations.
THO has a Quick ratio of 0.64. This is in the lower half of the industry: THO underperforms 69.23% of its industry peers.
Industry RankSector Rank
Current Ratio 1.63
Quick Ratio 0.64

4

3. Growth

3.1 Past

THO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -71.21%.
The Earnings Per Share has been decreasing by -4.06% on average over the past years.
Looking at the last year, THO shows a very negative growth in Revenue. The Revenue has decreased by -32.00% in the last year.
THO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.95% yearly.
EPS 1Y (TTM)-71.21%
EPS 3Y12.51%
EPS 5Y-4.06%
EPS growth Q2Q-60.87%
Revenue 1Y (TTM)-32%
Revenue growth 3Y10.84%
Revenue growth 5Y5.95%
Revenue growth Q2Q-19.54%

3.2 Future

THO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.41% yearly.
THO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.37% yearly.
EPS Next Y-2.58%
EPS Next 2Y13%
EPS Next 3Y12.67%
EPS Next 5Y17.41%
Revenue Next Year-1.39%
Revenue Next 2Y2.78%
Revenue Next 3Y3.89%
Revenue Next 5Y7.37%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

5

4. Valuation

4.1 Price/Earnings Ratio

THO is valuated rather expensively with a Price/Earnings ratio of 23.35.
Based on the Price/Earnings ratio, THO is valued a bit cheaper than the industry average as 76.92% of the companies are valued more expensively.
THO's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.81.
The Price/Forward Earnings ratio is 14.24, which indicates a correct valuation of THO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of THO indicates a somewhat cheap valuation: THO is cheaper than 79.49% of the companies listed in the same industry.
THO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.49.
Industry RankSector Rank
PE 23.35
Fwd PE 14.24

4.2 Price Multiples

THO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. THO is cheaper than 87.18% 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 94.87% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 8.9
EV/EBITDA 9.79

4.3 Compensation for Growth

THO has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as THO's earnings are expected to grow with 12.67% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y13%
EPS Next 3Y12.67%

6

5. Dividend

5.1 Amount

THO has a Yearly Dividend Yield of 1.57%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.82, THO pays a better dividend. On top of this THO pays more dividend than 84.62% of the companies listed in the same industry.
THO's Dividend Yield is slightly below the S&P500 average, which is at 2.45.
Industry RankSector Rank
Dividend Yield 1.57%

5.2 History

The dividend of THO has a limited annual growth rate of 3.90%.
THO has paid a dividend for at least 10 years, which is a reliable track record.
As THO did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)3.9%
Div Incr Years8
Div Non Decr Years8

5.3 Sustainability

32.91% of the earnings are spent on dividend by THO. This is a low number and sustainable payout ratio.
THO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP32.91%
EPS Next 2Y13%
EPS Next 3Y12.67%

THOR INDUSTRIES INC

NYSE:THO (2/26/2024, 7:04:01 PM)

After market: 126.33 0 (0%)

126.33

+2.02 (+1.62%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap6.74B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 1.57%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
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Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 23.35
Fwd PE 14.24
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 4.07%
ROE 7.45%
ROCE
ROIC
ROICexc
ROICexgc
OM 4.64%
PM (TTM) 2.77%
GM 13.96%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.47
Health
Industry RankSector Rank
Debt/Equity 0.34
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.63
Quick Ratio 0.64
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-71.21%
EPS 3Y12.51%
EPS 5Y
EPS growth Q2Q
EPS Next Y-2.58%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-32%
Revenue growth 3Y10.84%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y