Thor Industries (THO) Stock Forecast & Price Target

Thor Industries has demonstrated robust growth with a segment backlog increase of 29.3% year-over-year, reaching $1.005 billion, indicating strong demand for its products. In fiscal 2025, the company reported notable revenue increases across various segments, including fifth wheel revenues rising by 11.5% to $387.8 million, Class B revenues by 16.0% to $114.1 million, and Class C revenues by 20.7% to $289.3 million. This growth in unit sales, particularly in the Class C segment, which experienced a unit sales increase of 28.0%, underscores the company's competitive position in the recreational vehicle market.

Thor Industries has reported a significant downturn in its European segment, with gross profit declining by 130 basis points year-over-year to 16.2%, primarily due to increased sales discounting. Additionally, campervan revenues fell 20.1% year-over-year to $246.4 million, accompanied by a 26.9% decrease in unit sales, highlighting a troubling trend in consumer demand. Furthermore, caravan revenues also experienced a decline of 22.2% year-over-year to $43.4 million, with a decrease in unit sales of 25.3%, contributing to a broader concern reflected in the segment’s earnings before tax (EBT) margin, which dropped by 310 basis points to 5.2%.