U.S. Markets closed

Thor Industries’ Performance in a Competitive Market

Gabriel Kane

US Equity Market Update for September 21, 2015

(Continued from Prior Part)

Thor Industries and its peers

An analysis of Thor Industries’ income statement in 4Q15 follows:

  • The net profit margins of Thor Industries (THO), Winnebago Industries (WGO), Drew Industries (DW), Jarden (JAH), General Motors (GM). and Berkshire Hathaway (BRK.A) are 6.51%, 4.32%, 5.76%, 4.28%, 2.99%, and 8%, respectively.
  • The EPS (earnings per share) of Thor Industries, Winnebago Industries, Drew Industries, Jarden, and General Motors are $1.31, $0.44, $0.85, $0.45, and $0.67, respectively.

An analysis of Thor Industries’ balance sheet follows:

  • The current ratios of Thor Industries, Winnebago Industries, Drew Industries, Jarden, and General Motors are 2.05, 3.39, 2.18, 2.14, and 1.22, respectively.

An analysis of Thor Industries’ valuation follows:

  • The PE (price-to-earnings) ratios of Thor Industries, Winnebago Industries, Drew Industries, Jarden. and General Motors are 14.59x, 12.80x, 20.19x, 46.36x, and 11.30x, respectively.
  • The PBV (price-to-book value) ratios of Thor Industries, Winnebago Industries, Drew Industries, Jarden, and General Motors are 2.73x, 2.57x, 3.45x, 3.77x, and 1.39x, respectively.

According to the above findings, the peers are way ahead of Thor Industries. Based on the EPS and net profit margin, Thor Industries outperformed its peers.

ETFs that invest in Thor Industries Inc.

The IndexIQ Canada Small Cap ETF (CNDA) invests 1.59% of its holdings in Thor Industries. CNDA tracks a market-cap-weighted index of small-cap Canadian stocks. The index only invests in companies in the bottom 15% by market capitalization worth at least $150 million.

The First Trust Consumer Discretionary AlphaDEX ETF (FXD) invests 1.25% of its holdings in Thor Industries. FXD tracks an index of large and mid-cap US Consumer Discretionary stocks. The underlying index uses multifactor selection and tiered equal weighting.

The First Trust Mid Cap Value AlphaDex Fund (FNK) invests 0.77% of its holdings in Thor Industries. FNK uses a proprietary quant methodology to select value stocks from the S&P MidCap 400 Index. The index employs a tiered and equal weighting scheme.

Thor Industries compared to its ETFs

An analysis of Thor Industries’ price movement follows:

  • The YTD (year-to-date) price movement of Thor Industries, CNDA, FXD, and FNK are -1.47%, -24.64%, -0.36%, and -9.55%, respectively.

An analysis of Thor Industries’ valuation follows:

  • The PE ratios of Thor Industries, CNDA, FXD, and FNK are 14.59x, -32.65x, 17.48x, and 14.12x, respectively.
  • The PBV ratios of Thor Industries, CNDA, FXD, and FNK are 2.73x, 1.19x, 4.02x, and 1.35x, respectively.

According to the above findings, Thor Industries outperformed its ETFs based on the price movement, PE ratio, and PBV ratio.

Browse this series on Market Realist: