How Did Thor Industries Perform in 1Q17?



Price movement

Thor Industries (THO) rose 11.9% to close at $101.48 per share during the fifth week of November 2016. The stock’s weekly, monthly, and year-to-date (or YTD) price movements were 11.9%, 33.3%, and 83.2%, respectively, as of December 2, 2016.

THO is trading 17.6% above its 20-day moving average, 20.9% above its 50-day moving average, and 41.8% above its 200-day moving average.

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Related ETF and peers

The iShares Morningstar Small Core ETF (JKJ) invests 0.67% of its holdings in Thor Industries. The YTD price movement of JKJ was 19.2% on December 2, 2016.

The market caps of Thor Industries’ competitors are as follows:

  • Berkshire Hathaway (BRK.A): $394.5 billion
  • Drew Industries (DW): $2.6 billion

Performance of Thor Industries in fiscal 1Q17

Thor Industries reported fiscal 1Q17 net sales of $1.7 billion, a rise of 65.8% compared to net sales of $1.0 billion in fiscal 1Q16. Sales of towable RVs (recreational vehicles) and motorized RVs rose 62.6% and 83.8%, respectively, in fiscal 1Q17 compared to fiscal 1Q16.

The company’s gross profit margin fell 90 basis points in fiscal 1Q17 compared to the prior year’s period.

Its net income and EPS (earnings per share) rose to $78.7 million and $1.49, respectively, in fiscal 1Q17 compared to $50.5 million and $0.96, respectively, in fiscal 1Q16.

Thor’s cash and cash equivalents fell 9.8%, and its inventories rose 53.7% in fiscal 1Q17 compared to fiscal 1Q16. Its current ratio fell to 1.6x, and its debt-to-equity ratio rose to 0.80x in fiscal 1Q17 compared to 2.1x and 0.43x, respectively, in fiscal 1Q16.

In the next and final part of this series, we’ll look at Nike (NKE).


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