Camping World (CWH) Q4 Earnings: What To Expect

Recreational vehicle (RV) and boat retailer Camping World (NYSE:CWH) will be reporting earnings this Tuesday after market hours. Here’s what you need to know.

Camping World beat analysts’ revenue expectations last quarter, reporting revenues of $1.81 billion, up 4.7% year on year. It was a stunning quarter for the company, with a beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.

This quarter, the market is expecting Camping World’s revenue to decline 3.8% year on year, a reversal from the 8.6% increase it recorded in the same quarter last year.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Camping World has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Camping World’s peers in the vehicle retailer segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Lithia posted flat year-on-year revenue, missing analysts’ expectations by 0.6%, and Penske Automotive Group reported flat revenue, topping estimates by 2.2%. Lithia traded down 6.7% following the results while Penske Automotive Group was up 7.8%.

Investors in the vehicle retailer segment have had steady hands going into earnings, with share prices flat over the last month. Camping World is down 13.8% during the same time and is heading into earnings with an average analyst price target of $17.58 (compared to the current share price of $12.31).

When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares.