In this article, we discuss the 10 best RV and camping stocks to invest in.
In its Campground Industry 2019 Trends Report, CBRE mentions that the Recreational Vehicle (RV) industry had an annual economic impact of $114 billion in 2019 — $68 billion for RV manufacturers and suppliers, $20.1 billion for RV sales & services, and $25.6 billion for RV campgrounds & travel. The RV and camping industry, however, was among the industries hit hard with the COVID-19 lockdowns and other social distancing measures.
In its COVID-19 pandemic update to its original Campground Industry 2019 Trends Report, CBRE notes that the US campground industry suffered in late winter and spring in 2020 but rebounded strongly in summer 2020, noting that “people perceived recreating outdoors as safer and healthier than other travel or leisure activities.” In particular, CBRE shows that campers and non-campers see camping as the safest form of travel, citing the KOA North American Camping Report Fall 2020 Update and noting that “when asked to compare camping to other forms of travel, 56 percent of leisure travelers, 63 percent of campers, and 49 percent of prospective campers felt camping was a safer alternative.”
Regarding the industry outlook, CBRE notes that RV shipments were up by 54 percent in July 2020, the highest July shipment numbers in four decades and anticipates 507,200 units for 2021, “eclipsing the 504,600 units shipped in 2017.”
Some recent developments in the RV and camping industry include the following:
• On July 20, Winnebago Industries, Inc. (NYSE: WGO) announced that it has entered into a definitive agreement to acquire Barletta Pontoon Boats for an initial consideration of $255 million in cash and newly issued company shares.
• On July 6, Camping World Holdings, Inc. (NYSE: CWH) announced a land acquisition for TC’s RV dealership in St. Albans City, VT. The location will include a wide range of new and used RVs from top manufacturers in addition to a full assortment of RV and outdoor products and accessories.
As new cases of coronavirus variants surge and the uncertainty over pandemic restrictions persists, the RV and camping industry will likely continue to boom. Some of the companies that are likely to benefit from this RV and camping boom include Winnebago Industries, Inc. (NYSE: WGO), Harley-Davidson, Inc. (NYSE: HOG), and Camping World Holdings, Inc. (NYSE: CWH).
Like the camping and RV industry, the finance industry was also shook to the core by the pandemic. The entire hedge fund industry is feeling the reverberations of the changing financial landscape. Its reputation has been tarnished in the last decade, during which its hedged returns couldn’t keep up with the unhedged returns of the market indices. On the other hand, Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 124 percentage points since March 2017. Between March 2017 and February 26th 2021 our monthly newsletter’s stock picks returned 197.2%, vs. 72.4% for the SPY. Our stock picks outperformed the market by more than 124 percentage points (see the details here). We were also able to identify in advance a select group of hedge fund holdings that significantly underperformed the market. We have been tracking and sharing the list of these stocks since February 2017 and they lost 13% through November 16th. That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.
With this context in mind, here is our list of the 10 best RV and camping stocks to buy now. These companies were ranked keeping in mind the basic business fundamentals, hedge fund sentiment, and analyst ratings for each.
Best RV and Camping Stocks to Buy Now
10. Patrick Industries, Inc. (NASDAQ: PATK)
Number of Hedge Fund Holders: 14
Patrick Industries, Inc. (NASDAQ: PATK) is a recreational vehicles company based in Elkhart, Indiana. It is ranked tenth on our list of 10 best RV and camping stocks to buy now. The stock has returned over 16.68% to investors over the course of the past year.
On April 29, Patrick Industries, Inc. (NASDAQ: PATK) posted earnings for the first quarter of 2021, reporting earnings per share of $2.04, beating estimates by $0.73. The revenue over the period was around $850.5 million, up 44.34% year-over-year.
At the end of the first quarter of 2021, 14 hedge funds in the database of Insider Monkey held stakes worth $120 million in Patrick Industries, Inc. (NASDAQ: PATK). Of the funds tracked by Insider Monkey, Chuck Royce’s Royce & Associates has the most valuable position in Patrick Industries, Inc. (NASDAQ: PATK) as of the end of the first quarter of 2021, worth close to $39 million, comprising 0.26% of its total 13F portfolio.
On June 29, Baird kept its Outperform rating on Patrick Industries, Inc. (NASDAQ: PATK) with a $104 price target, expecting that Patrick Industries, Inc. (NASDAQ: PATK) will have higher shipments than previously expected by Baird.
Just like Winnebago Industries, Inc. (NYSE: WGO), Harley-Davidson, Inc. (NYSE: HOG), and Camping World Holdings, Inc. (NYSE: CWH), Patrick Industries, Inc. (NASDAQ: PATK) is one of the best RV and camping stocks to buy now.
9. Fox Factory Holding Corp. (NASDAQ: FOXF)
Number of Hedge Fund Holders: 14
Fox Factory Holding Corp. (NASDAQ: FOXF) is a recreational vehicles company based in Braselton, Georgia. It is ranked ninth on our list of 10 best RV and camping stocks to buy now. The stock has returned over 93.05% to investors over the course of the past year.
On May 6, Fox Factory Holding Corp. (NASDAQ: FOXF) posted earnings for the first quarter of 2021, reporting earnings per share of $1.05, beating estimates by $0.23. The revenue over the period was around $281 million, up 52.49% year-over-year.
At the end of the first quarter of 2021, 14 hedge funds in the database of Insider Monkey held stakes worth $107 million in Fox Factory Holding Corp. (NASDAQ: FOXF). Of the funds tracked by Insider Monkey, Richard Driehaus’s Driehaus Capital has the most valuable position in Fox Factory Holding Corp. (NASDAQ: FOXF) as of the end of the first quarter of 2021, worth close to $36 million, comprising 0.53% of its total 13F portfolio.
On June 21, Jefferies gave a Buy rating to Fox Factory Holding Corp. (NASDAQ: FOXF) with a $185 price target. Jefferies argued that Fox Factory Holding Corp. (NASDAQ: FOXF) has a competitive strength in premium ride dynamic technology that unlocks significant potential upside as its addressable market expands.
Just like Winnebago Industries, Inc. (NYSE: WGO), Harley-Davidson, Inc. (NYSE: HOG), and Camping World Holdings, Inc. (NYSE: CWH), Fox Factory Holding Corp. (NASDAQ: FOXF) is one of the best RV and camping stocks to buy now.
Polen U.S. Small Company Growth Fund, in its Q1 2021 investor letter, mentioned Fox Factory Holding Corp. (NASDAQ: FOXF). Here is what the fund said:
“Fox Factory was another top contributor during the quarter. The company designs, manufactures, and sells high-performance products for bicycles and on-road and off-road vehicles. The company reported its second consecutive quarter of record revenues and is guiding towards another strong year of +20% revenue growth. The company achieved this growth despite key U.S. manufacturing facilities suffering from COVID-19 shutdowns. Their ability to flex production capacity allowed the company to meet unprecedented and volatile demand from original equipment manufacturers (OEMs) and a wider customer base. Management noted that the company continues to expand its relationships with OEMs, and their order backlog already runs into 2022. However, management reported that certain bike and automotive components are becoming difficult to source as global supply chains remain stretched, and they remain focused on improved factory utilization and well-managed inventory.”
8. BRP Inc. (NASDAQ: DOOO)
Number of Hedge Fund Holders: 17
BRP Inc. (NASDAQ: DOOO) is a recreational vehicles company based in Valcourt, Quebec in Canada. It is ranked eighth on our list of 10 best RV and camping stocks to buy now. The stock has returned over 92.43% to investors over the course of the past year.
On June 3, BRP Inc. (NASDAQ: DOOO) posted earnings for the first quarter of 2021, reporting earnings per share of $2.09, beating estimates by $0.99. The revenue over the period was around $1.47 billion, up 66.56% year-over-year.
At the end of the first quarter of 2021, 17 hedge funds in the database of Insider Monkey held stakes worth $197 million in BRP Inc. (NASDAQ: DOOO), up from 15 the preceding quarter worth $182 million.
On July 1, Raymond James gave a Strong Buy rating to BRP Inc. (NASDAQ: DOOO) with a C$122 price target. Raymond James argued that BRP Inc. (NASDAQ: DOOO) has numerous growth opportunities such as SSV market share gains, 3WV market expansion.
Just like Winnebago Industries, Inc. (NYSE: WGO), Harley-Davidson, Inc. (NYSE: HOG), and Camping World Holdings, Inc. (NYSE: CWH), BRP Inc. (NASDAQ: DOOO) is one of the best RV and camping stocks to buy now.
7. Malibu Boats, Inc. (NASDAQ: MBUU)
Number of Hedge Fund Holders: 16
Malibu Boats, Inc. (NASDAQ: MBUU) is a recreational vehicles company based in Loudon, Tennessee, manufacturing powerboats. It is ranked seventh on our list of 10 best RV and camping stocks to buy now. The stock has returned over 47.95% to investors over the course of the past year.
On May 4, Malibu Boats, Inc. (NASDAQ: MBUU) posted earnings for the first quarter of 2021, reporting earnings per share of $1.82, beating estimates by $0.17. The revenue over the period was around $273 million, up 49.83% year-over-year.
At the end of the first quarter of 2021, 16 hedge funds in the database of Insider Monkey held stakes worth $150 million in Malibu Boats, Inc. (NASDAQ: MBUU).
Of the funds tracked by Insider Monkey, Jim Simons’ Renaissance Technologies has the most valuable position in Malibu Boats, Inc. (NASDAQ: MBUU) as of the end of the first quarter of 2021, worth over $58 million, comprising 0.07% of its total 13F portfolio.
On July 9, Barron’s recommended buying shares of Malibu Boats, Inc. (NASDAQ: MBUU), quoting a Berenberg analyst who believes Malibu Boats, Inc. (NASDAQ: MBUU) will hit $100 per share. Barron’s also argued that the company would see sustained growth with its market-leading brands and innovative technologies.
Just like Winnebago Industries, Inc. (NYSE: WGO), Harley-Davidson, Inc. (NYSE: HOG), and Camping World Holdings, Inc. (NYSE: CWH), Malibu Boats, Inc. (NASDAQ: MBUU) is one of the best RV and camping stocks to buy now.
Polen U.S. Small Company Growth Fund, in its Q1 2021 investor letter, mentioned Malibu Boats, Inc. (NASDAQ: MBUU). Here is what the fund said:
“Malibu Boats was also a top contributor during the quarter. Malibu is the leading designer and manufacturer of powerboats in the U.S. with brands such as Malibu, Axis, Cobalt, and Pursuit.
Additionally, the company is now also a leader in premium saltwater outboard boats following its recent acquisition of Maverick Boat Group, which added brands like Cobia, Pathfinder, and Maverick. Boating demand was strong leading up to the
pandemic, but there was also a marked increase in demand for boats during the pandemic as people found more time for outdoor activities. This has led to a historic backlog for all of Malibu’s brands.The company is currently meeting this demand with responsible manufacturing that we believe will uphold continued growth in brand strength. For example, the company was able to achieve 5- million-man hours without a single lost-time accident, an unheardof feat despite the pressure of record demand and backlogs. Management attributes this success to their safety-first culture.
Malibu is an example of why we believe a culture that emphasizes all stakeholders can be a competitive advantage.”
6. OneWater Marine Inc. (NASDAQ: ONEW)
Number of Hedge Fund Holders: 14
OneWater Marine Inc. (NASDAQ: ONEW) is a recreational vehicles company based in Buford, Georgia. It is ranked sixth on our list of 10 best RV and camping stocks to buy now. The stock has returned over 105.41% to investors over the course of the past year.
On April 29, OneWater Marine Inc. (NASDAQ: ONEW) posted earnings for the first quarter of 2021, reporting earnings per share of $1.86, beating estimates by $1.17. The revenue over the period was around $318 million, up 74.74% year-over-year.
At the end of the first quarter of 2021, 14 hedge funds in the database of Insider Monkey held stakes worth $79 million in OneWater Marine Inc. (NASDAQ: ONEW), up from 12 the preceding quarter worth $58 million.
Of the funds tracked by Insider Monkey, Chuck Royce’s Royce & Associates has the most valuable position in OneWater Marine Inc. (NASDAQ: ONEW) as of the end of the first quarter of 2021 and increased their stake in OneWater Marine Inc. (NASDAQ: ONEW) in the first quarter of 2021 by around 18%, bringing the worth of their stake to over $46 million.
Also, of the funds tracked by Insider Monkey, Andrew Bellas’s General Equity Partners has the second most valuable position in OneWater Marine Inc. (NASDAQ: ONEW) as of the end of the first quarter of 2021 and increased their stake in OneWater Marine Inc. (NASDAQ: ONEW) in the first quarter of 2021 by around 113%, bringing the worth of their stake to over $15 million.
Just like Winnebago Industries, Inc. (NYSE: WGO), Harley-Davidson, Inc. (NYSE: HOG), and Camping World Holdings, Inc. (NYSE: CWH), OneWater Marine Inc. (NASDAQ: ONEW) is one of the best RV and camping stocks to buy now.
5. Thor Industries, Inc. (NYSE: THO)
Number of Hedge Fund Holders: 21
Thor Industries, Inc. (NYSE: THO) is a recreational vehicles company based in Elkhart, Indiana. It is ranked fifth on our list of 10 best RV and camping stocks to buy now. The stock has returned over 0.81% to investors over the course of the past year.
On June 8, Thor Industries, Inc. (NYSE: THO) posted earnings for the first quarter of 2021, reporting earnings per share of $3.29, beating estimates by $0.96. The revenue over the period was around $3.46 billion, up 105.70% year-over-year.
At the end of the first quarter of 2021, 21 hedge funds in the database of Insider Monkey held stakes worth $184 million in Thor Industries, Inc. (NYSE: THO). Of the funds tracked by Insider Monkey, Alexander Mitchell’s Scopus Asset Management initiated a new stake in Thor Industries, Inc. (NYSE: THO) in the first quarter of 2021, worth close to $50 million, comprising 0.63% of its total 13F portfolio.
On July 1, Citi upgraded Thor Industries, Inc. (NYSE: THO) to Buy from Neutral with a $150 price target, noting that outdoor recreation trends “remain robust” in Q2 after Q1 results.
4. Polaris Inc. (NYSE: PII)
Number of Hedge Fund Holders: 29
Polaris Inc. (NYSE: PII) is a recreational vehicles company based in Medina, Minnesota. It is ranked fourth on our list of 10 best RV and camping stocks to buy now. The stock has returned over 41.29% to investors over the course of the past year.
On April 27, Polaris Inc. (NYSE: PII) posted earnings for the first quarter of 2021, reporting earnings per share of $2.30, beating estimates by $0.70. The revenue over the period was around $1.95 billion, up 38.85% year-over-year.
At the end of the first quarter of 2021, 29 hedge funds in the database of Insider Monkey held stakes worth $510 million in Polaris Inc. (NYSE: PII).
Of the funds tracked by Insider Monkey, John Overdeck and David Siegel’s Two Sigma Advisors has the most valuable position in Polaris Inc. (NYSE: PII) as of the end of the first quarter of 2021, worth close to $78 million, comprising 0.21% of its total 13F portfolio. In the first quarter of 2021, Two Sigma Advisors increased their stake in Polaris Inc. (NYSE: PII) by around 16%.
3. Camping World Holdings, Inc. (NYSE: CWH)
Number of Hedge Fund Holders: 24
Camping World Holdings, Inc. is a recreational vehicles company based in Lincolnshire, Illinois. It is ranked third on our list of 10 best RV and camping stocks to buy now. The stock has returned over 12.96% to investors over the course of the past year.
On May 4, Camping World Holdings, Inc. (NYSE: CWH) posted earnings for the first quarter of 2021, reporting earnings per share of $1.40, beating estimates by $0.66. The revenue over the period was around $1.42 billion, up 51.85% year-over-year.
At the end of the first quarter of 2021, 24 hedge funds in the database of Insider Monkey held stakes worth $326 million in Camping World Holdings, Inc. (NYSE: CWH). Of the funds tracked by Insider Monkey, David Abrams’ Abrams Capital Management has the most valuable position in Camping World Holdings, Inc. (NYSE: CWH) as of the end of the first quarter of 2021, worth close to $186 million, comprising 4.18% of its total 13F portfolio.
On July 1, Raymond James gave an Outperform rating to Camping World Holdings, Inc. (NYSE: CWH) with a $45 price target, noting that Camping World Holdings, Inc. (NYSE: CWH) was positioned to gain market share as it was growing its dealer footprint and expanding into higher margin and less cyclical sources of revenue.
In its Q4 2020 investor letter, Wasatch Core Growth Fund highlighted a few stocks and Camping World Holdings Inc. (NYSE:CWH) is one of them. Here is what the fund said:
“A relative underperformer for the quarter was Camping World Holdings, Inc. (CWH), which operates more than 160 retail locations specializing in recreational vehicles and associated parts, accessories and services. Even before the pandemic, similar to our analysis for YETI, we had already recognized the trends favoring Camping World’s market segment. Although the stock was relatively flat for the quarter, we think the price is still reasonable based on strong consumer interest and the business improvements made by the management team in recent years.”
2. Harley-Davidson, Inc. (NYSE: HOG)
Number of Hedge Fund Holders: 28
Harley-Davidson, Inc. (NYSE: HOG) is a recreational vehicles company based in Milwaukee, Wisconsin. It is ranked second on our list of 10 best RV and camping stocks to buy now. The stock has returned over 56.43% to investors over the course of the past year.
On July 21, Harley-Davidson, Inc. (NYSE: HOG) posted earnings for the second quarter of 2021, reporting earnings per share of $1.41, beating estimates by $0.23. The revenue over the period was around $1.53 billion, up 77% year-over-year.
At the end of the first quarter of 2021, 28 hedge funds in the database of Insider Monkey held stakes worth $823 million in Harley-Davidson, Inc. (NYSE: HOG). Of the funds tracked by Insider Monkey, Rehan Jaffar’s H Partners Management has the most valuable position in Harley-Davidson, Inc. (NYSE: HOG) as of the end of the first quarter of 2021, worth close to $337 million, comprising 30.58% of its total 13F portfolio.
On July 1, Baird kept an Outperform rating to Harley-Davidson, Inc. (NYSE: HOG) with a $50 price target. Baird argued that their dealer survey on Harley-Davidson, Inc. (NYSE: HOG) showed retail growth for the second consecutive quarter.
1. Winnebago Industries, Inc. (NYSE: WGO)
Number of Hedge Fund Holders: 30
Winnebago Industries, Inc. (NYSE: WGO) is a recreational vehicles company based in Forest City, Iowa. It is ranked first on our list of 10 best RV and camping stocks to buy now. The stock has returned over 10.33% to investors over the course of the past year.
On June 23, Winnebago Industries, Inc. (NYSE: WGO) posted earnings for the first quarter of 2021, reporting earnings per share of $2.16, beating estimates by $0.38. The revenue over the period was around $960.7 million, up 138.72% year-over-year.
At the end of the first quarter of 2021, 30 hedge funds in the database of Insider Monkey held stakes worth $441 million in Winnebago Industries, Inc. (NYSE: WGO), up from 27 the preceding quarter worth $331 million.
On June 24, Baird kept its Outperform rating on Winnebago Industries, Inc. (NYSE: WGO) with an $85 price target, noting that the industry will have stronger shipments through 2022 as the industry will fail to make a dent in its inventory shortage based on a revised outlook.
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Disclosure: None. 10 Best RV and Camping Stocks to Buy Now is originally published on Insider Monkey.
