David Ristau
Growth at reasonable price, research analyst, newsletter provider, long/short equity

Thor Industries: Innovating Motor Homes, But Lack Of Diversification Limits Long-Term Appeal

As one of the top players in the RV market, Thor Industries (NYSE:THO) has enjoyed recent success, fueled by the strong rebound of the RV industry. When we look at Thor, we see a business that consistently outperforms the RV market, but remains vulnerable to industry trends. Currently, the company is taking initiatives that will further enhance its presence within the motor home industry. At the same time, the recent divestiture of a main operating segment limits the company's growth potential to the RV market. These initiatives and concerns lead to a Hold recommendation on the stock and are reflected in our $59 price target for the next 12 months.

Business Overview

The two sources of revenue for...

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