Camping World Holdings: A Story About Growth, Deleveraging And Cash Flow

Jason Merriam
444 Followers

Summary

  • A true hands-on management team continues to grow and evolve the RV and related recreational vehicle lifestyle.
  • Synergistic acquisitions and strategic vertical integration initiatives are foundation for future growth.
  • Improving cash flow prospects set the stage for balance sheet deleveraging and enhanced capital returns.
  • A good chunk of float is held short and contrary to improving fundamentals.
  • CWH is growth, value and income, a literal compounding machine.

Scenic road in the Canadian Rockies

edb3_16/iStock via Getty Images

Camping World Holdings, Inc. (NYSE:CWH) is a stock I have owned for several years. I have purchased shares opportunistically and also trimmed some of my position at various times. However, I maintain a core long position.

This article was written by

444 Followers
Jason Merriam is former publisher and editor of the Merriam Report providing innovative financial analysis based on dual cash-flow, accruals and capital productivity methodologies. An active investor for 35 years, he is also founder and president of Merriam Investor Services since 1990. MIS offers portfolio analysis and investment research services to institutional and retail investor clients. Prior to MIS, Jason was managing partner for Beach and Sea Group, a San Diego based investment LP. Merriam studied corporate finance and accounting with Robert J. Westervelt, retired senior VP of Finance at Warner Lambert and Pfizer. As Mr. Westervelt's intern, Jason assisted and was responsible for financial statement analysis, evaluation of earnings-quality, credit/liquidity/dividend assessment, etc. This opportunity allowed Jason to advance his research of the novel dual cash-flow methodology (based on the pioneering work of Harry Ernst and Jeffrey Fotta in the 1990's). Jason has 22 years experience in active portfolio management and asset allocation. Media appearances include: CNBC, MarketWatch, New York Times and San Diego Union Tribune. Visit his blog: www.merriamreport.blogspot.com

Analyst’s Disclosure:I/we have a beneficial long position in the shares of CWH either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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