Shares of recreational vehicles (RV) and accessories provider Thor Industries (NYSE:THO) are tanking in the pre-market session today after the company drove in a second-quarter miss.
Revenue dropped 39.4% year-over-year to $2.35 billion, missing the cut by $140 million. EPS at $0.50 too came in lower than expectations by $0.49. Further, gross margin contracted by 530 basis points over the prior year to 12.1%.
Looking ahead, for 2023, the company now sees revenue ranging between $10.5 billion and $11.5 billion. EPS is anticipated to hover between $5.50 and $6.50. While near-term challenges persist, THO expects demand softening to be temporary and is witnessing a robust spring retail show season.
Overall, Wall Street has a consensus price target of $89.75 on THO, implying a 3% potential downside in the stock. That’s after a nearly 23% rise in THO shares so far in 2023.
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