Last Updated: 14 Sep 2024
Executive Summary
Rev Group Inc. (REVG) is a leading manufacturer of specialty vehicles with a market capitalization of $1.4 billion. The company has a strong financial performance with an EBITDA of $150.2 million and a profit margin of 9.92%. Rev Group's stock is currently trading at $27.64, below its 52-week high of $31.85. Analysts have a mixed outlook on the stock, with one rating it a "Strong Buy," one a "Buy," one a "Hold," and one a "Sell."
Company Overview
Rev Group designs, manufactures, and distributes specialty vehicles, including ambulances, fire trucks, and school buses. The company has a global presence with operations in the United States, Canada, Europe, Africa, and internationally. Rev Group's customers include government agencies, municipalities, and commercial businesses.
Fundamental Analysis
Revenue: Rev Group's revenue for the trailing twelve months (TTM) was $2.48 billion, a decrease of 0.148% year-over-year.
Earnings: The company's diluted EPS for the TTM was $4.42, an increase of 39.8% year-over-year.
Profitability: Rev Group's profit margin is 9.92%, and its operating margin is 6.07%.
Valuation: The stock is trading at a trailing PE ratio of 6.11 and a forward PE ratio of 28.17. The price-to-sales ratio is 0.567, and the price-to-book ratio is 3.559.
Technical Analysis
Trend: The stock is currently in a downtrend, trading below its 50-day and 200-day moving averages.
Support and Resistance: The stock has support at $25.00 and resistance at $30.00.
Momentum: The stock's momentum is negative, with the MACD indicator below the signal line.
Short Term Outlook
In the short term, Rev Group's stock is likely to continue to trade in a range between $25.00 and $30.00. The stock is facing headwinds from the rising interest rate environment and the potential for a recession. However, the company's strong financial performance and its exposure to the growing specialty vehicle market could provide some support for the stock price.
Long Term Outlook
In the long term, Rev Group is well-positioned to benefit from the growing demand for specialty vehicles. The company has a strong track record of innovation and product development, and it is investing in new technologies to meet the evolving needs of its customers. Rev Group's long-term growth prospects are supported by its global presence and its commitment to providing high-quality products and services.
Analyst Recommendations
Analysts have a mixed outlook on Rev Group's stock. One analyst has a "Strong Buy" rating, one has a "Buy" rating, one has a "Hold" rating, and one has a "Sell" rating. The average analyst target price is $29.88, which represents a potential upside of 8.1% from the current price.
