Camping World (NYSE:CWH) Shares Down 11.6% Following Weak Earnings

Key Points

• Camping World's stock price fell 11.6% after the company reported weaker-than-expected quarterly earnings, missing the EPS consensus estimate by $0.01.
• The company declared a quarterly dividend of $0.125, representing a dividend yield of 3.22%, despite a negative dividend payout ratio of -108.70%.
• Analysts have mixed opinions on the stock, with the average rating being "Moderate Buy" and a consensus price target of $22.44.

Camping World (NYSE:CWH - Get Free Report) dropped 11.6% during trading on Wednesday following a weaker than expected earnings announcement. The company traded as low as $15.12 and last traded at $15.60. Approximately 1,227,394 shares changed hands during mid-day trading, a decline of 43% from the average daily volume of 2,154,743 shares. The stock had previously closed at $17.64.

The company reported $0.57 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.58 by ($0.01). Camping World had a negative net margin of 0.13% and a negative return on equity of 3.08%. The firm had revenue of $1.98 billion during the quarter, compared to analyst estimates of $1.87 billion. During the same quarter in the previous year, the business posted $0.38 earnings per share. The business's quarterly revenue was up 9.4% compared to the same quarter last year.

Camping World Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, June 27th. Shareholders of record on Friday, June 13th were issued a $0.125 dividend. This represents a $0.50 annualized dividend and a yield of 3.6%. The ex-dividend date of this dividend was Friday, June 13th. Camping World's dividend payout ratio is currently -250.00%.

Analyst Upgrades and Downgrades

CWH has been the topic of a number of recent analyst reports. Truist Financial lifted their target price on Camping World from $16.00 to $20.00 and gave the stock a "buy" rating in a research note on Tuesday, June 3rd. Baird R W downgraded Camping World from a "strong-buy" rating to a "hold" rating in a report on Friday, April 4th. Robert W. Baird decreased their price objective on Camping World from $18.00 to $15.00 and set a "neutral" rating for the company in a report on Thursday, May 1st. Citigroup reaffirmed a "buy" rating and set a $23.00 price objective (up from $21.00) on shares of Camping World in a research report on Monday, June 16th. Finally, JPMorgan Chase & Co. raised Camping World from a "neutral" rating to an "overweight" rating and lowered their price objective for the company from $23.00 to $21.00 in a research report on Thursday, May 1st. Three research analysts have rated the stock with a hold rating and eight have given a buy rating to the company. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $21.44.

Institutional Trading of Camping World

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Summit Investment Advisors Inc. raised its holdings in Camping World by 33.4% in the fourth quarter. Summit Investment Advisors Inc. now owns 5,546 shares of the company's stock worth $117,000 after purchasing an additional 1,390 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in Camping World by 4.4% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 33,339 shares of the company's stock worth $539,000 after purchasing an additional 1,401 shares in the last quarter. Rafferty Asset Management LLC grew its holdings in Camping World by 9.3% during the 1st quarter. Rafferty Asset Management LLC now owns 18,779 shares of the company's stock worth $303,000 after acquiring an additional 1,593 shares during the last quarter. XTX Topco Ltd grew its holdings in Camping World by 17.8% during the 4th quarter. XTX Topco Ltd now owns 16,373 shares of the company's stock worth $345,000 after acquiring an additional 2,470 shares during the last quarter. Finally, CWM LLC boosted its stake in Camping World by 32.9% during the second quarter. CWM LLC now owns 10,158 shares of the company's stock worth $175,000 after acquiring an additional 2,513 shares in the last quarter. Institutional investors own 52.54% of the company's stock.

Camping World Stock Performance

The firm has a market capitalization of $1.41 billion, a P/E ratio of -68.49 and a beta of 1.86. The company's 50 day moving average is $17.78 and its 200-day moving average is $17.78. The company has a quick ratio of 0.19, a current ratio of 1.26 and a debt-to-equity ratio of 3.53.

About Camping World

Camping World Holdings, Inc, together its subsidiaries, retails recreational vehicles (RVs), and related products and services in the United States. It operates in two segments, Good Sam Services and Plans; and RV and Outdoor Retail. The company provides a portfolio of services, protection plans, products, and resources in the RV industry.