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REVG

REV Group NYSE:REVG Stock Report

Last Price

US$10.72

Market Cap

US$653.6m

7D

-4.4%

1Y

-31.9%

Updated

04 Jul, 2022

Data

Company Financials +
REVG fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance3/6
Financial Health5/6
Dividends3/6

REVG Stock Overview

REV Group, Inc. designs, manufactures, and distributes specialty vehicles, and related aftermarket parts and services in the United States, Canada, Europe, Africa, and internationally.

REV Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for REV Group
Historical stock prices
Current Share PriceUS$10.72
52 Week HighUS$18.35
52 Week LowUS$9.50
Beta2.16
1 Month Change-11.04%
3 Month Change-15.32%
1 Year Change-31.94%
3 Year Change-23.59%
5 Year Change-59.41%
Change since IPO-57.12%

Recent News & Updates

Jun 27
REV Group (NYSE:REVG) Will Pay A Dividend Of US$0.05

REV Group (NYSE:REVG) Will Pay A Dividend Of US$0.05

REV Group, Inc.'s ( NYSE:REVG ) investors are due to receive a payment of US$0.05 per share on 15th of July. This means...

Jun 26
Return Trends At REV Group (NYSE:REVG) Aren't Appealing

Return Trends At REV Group (NYSE:REVG) Aren't Appealing

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. One common...

Jun 21

REV Group Will Keep Moving, But May Not Speed Up

REV Group, Inc.’s recovery is hampered by its revenue and margin contraction. But, it maintains a stable liquidity position and prudent management of financial leverage. Dividends are still well-covered but growth remains sluggish. The stock price continues to decrease, but overvaluation is evident.

Jun 10
REV Group (NYSE:REVG) Is Due To Pay A Dividend Of US$0.05

REV Group (NYSE:REVG) Is Due To Pay A Dividend Of US$0.05

REV Group, Inc. ( NYSE:REVG ) has announced that it will pay a dividend of US$0.05 per share on the 15th of July. This...

Shareholder Returns

REVGUS MachineryUS Market
7D-4.4%-2.5%-2.2%
1Y-31.9%-22.5%-21.2%

Return vs Industry: REVG underperformed the US Machinery industry which returned -22.5% over the past year.

Return vs Market: REVG underperformed the US Market which returned -21.2% over the past year.

Price Volatility

Is REVG's price volatile compared to industry and market?
REVG volatility
REVG Average Weekly Movement8.9%
Machinery Industry Average Movement6.2%
Market Average Movement8.1%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.3%

Stable Share Price: REVG is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: REVG's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/a6,800Rod Rushinghttps://www.revgroup.com

REV Group, Inc. designs, manufactures, and distributes specialty vehicles, and related aftermarket parts and services in the United States, Canada, Europe, Africa, and internationally. It operates through three segments: Fire & Emergency, Commercial, and Recreation. The Fire & Emergency segment provides fire apparatus equipment under the Emergency One, Kovatch Mobile Equipment, Ferrara, Spartan Emergency Response, Smeal, and Ladder Tower brands; and ambulances under the American Emergency Vehicles, Horton Emergency Vehicles, Leader Emergency Vehicles, Road Rescue, and Wheeled Coach brands.

REV Group Fundamentals Summary

How do REV Group's earnings and revenue compare to its market cap?
REVG fundamental statistics
Market CapUS$653.63m
Earnings (TTM)US$20.80m
Revenue (TTM)US$2.30b

31.4x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
REVG income statement (TTM)
RevenueUS$2.30b
Cost of RevenueUS$2.04b
Gross ProfitUS$254.80m
Other ExpensesUS$234.00m
EarningsUS$20.80m

Last Reported Earnings

Apr 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.34
Gross Margin11.10%
Net Profit Margin0.91%
Debt/Equity Ratio52.4%

How did REVG perform over the long term?

See historical performance and comparison

Dividends

1.9%

Current Dividend Yield

60%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is REVG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for REVG?

Other financial metrics that can be useful for relative valuation.

REVG key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.4x
Enterprise Value/EBITDA10.8x
PEG Ratio0.6x

Price to Earnings Ratio vs Peers

How does REVG's PE Ratio compare to its peers?

REVG PE Ratio vs Peers
The above table shows the PE ratio for REVG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average44.1x
PLOW Douglas Dynamics
26.4x34.6%US$674.5m
WNC Wabash National
67x37.9%US$671.3m
SHYF Shyft Group
12.3x59.2%US$654.5m
ASTE Astec Industries
70.7x68.6%US$948.0m
REVG REV Group
31.4x54.8%US$653.6m

Price-To-Earnings vs Peers: REVG is good value based on its Price-To-Earnings Ratio (31.4x) compared to the peer average (44.1x).


Price to Earnings Ratio vs Industry

How does REVG's PE Ratio compare vs other companies in the US Machinery Industry?

Price-To-Earnings vs Industry: REVG is expensive based on its Price-To-Earnings Ratio (31.4x) compared to the US Machinery industry average (20.2x)


Price to Earnings Ratio vs Fair Ratio

What is REVG's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

REVG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio31.4x
Fair PE Ratio44.4x

Price-To-Earnings vs Fair Ratio: REVG is good value based on its Price-To-Earnings Ratio (31.4x) compared to the estimated Fair Price-To-Earnings Ratio (44.4x).


Share Price vs Fair Value

What is the Fair Price of REVG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: REVG ($10.72) is trading above our estimate of fair value ($10.32)

Significantly Below Fair Value: REVG is trading above our estimate of fair value.


Price to Earnings Growth Ratio

PEG Ratio: REVG is good value based on its PEG Ratio (0.6x)


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Future Growth

How is REV Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


54.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: REVG's forecast earnings growth (54.8% per year) is above the savings rate (1.9%).

Earnings vs Market: REVG's earnings (54.8% per year) are forecast to grow faster than the US market (13.6% per year).

High Growth Earnings: REVG's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: REVG's revenue (3% per year) is forecast to grow slower than the US market (8.2% per year).

High Growth Revenue: REVG's revenue (3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: REVG's Return on Equity is forecast to be low in 3 years time (14.7%).


Discover growth companies

Past Performance

How has REV Group performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-13.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: REVG has a large one-off loss of $9.0M impacting its April 30 2022 financial results.

Growing Profit Margin: REVG's current net profit margins (0.9%) are higher than last year (0.3%).


Past Earnings Growth Analysis

Earnings Trend: REVG's earnings have declined by 13.7% per year over the past 5 years.

Accelerating Growth: REVG's earnings growth over the past year (205.9%) exceeds its 5-year average (-13.7% per year).

Earnings vs Industry: REVG earnings growth over the past year (205.9%) exceeded the Machinery industry 23.3%.


Return on Equity

High ROE: REVG's Return on Equity (4.5%) is considered low.


Discover strong past performing companies

Financial Health

How is REV Group's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: REVG's short term assets ($824.6M) exceed its short term liabilities ($517.2M).

Long Term Liabilities: REVG's short term assets ($824.6M) exceed its long term liabilities ($305.1M).


Debt to Equity History and Analysis

Debt Level: REVG's net debt to equity ratio (51.2%) is considered high.

Reducing Debt: REVG's debt to equity ratio has reduced from 52.6% to 52.4% over the past 5 years.

Debt Coverage: REVG's debt is well covered by operating cash flow (61.2%).

Interest Coverage: REVG's interest payments on its debt are well covered by EBIT (3.9x coverage).


Balance Sheet


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Dividend

What is REV Group current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.87%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: REVG's dividend (1.87%) is higher than the bottom 25% of dividend payers in the US market (1.6%).

High Dividend: REVG's dividend (1.87%) is low compared to the top 25% of dividend payers in the US market (4.25%).


Stability and Growth of Payments

Stable Dividend: REVG has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: REVG has only been paying a dividend for 5 years, and since then payments have not increased.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (60.2%), REVG's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (9.8%), REVG's dividend payments are thoroughly covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Rod Rushing (55 yo)

2.33yrs

Tenure

US$5,874,288

Compensation

Mr. Rodney N. Rushing, also known as Rod, has been Chief Executive Officer and Director of REV Group, Inc. since March 23, 2020 and serves as its President since March 2020. Mr. Rushing assumes day-to-day...


CEO Compensation Analysis

Compensation vs Market: Rod's total compensation ($USD5.87M) is above average for companies of similar size in the US market ($USD4.04M).

Compensation vs Earnings: Rod's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: REVG's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: REVG's board of directors are considered experienced (6.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

REV Group, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: REV Group, Inc.
  • Ticker: REVG
  • Exchange: NYSE
  • Founded: NaN
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Implied Market Cap: US$653.634m
  • Shares outstanding: 60.97m
  • Website: https://www.revgroup.com

Number of Employees


Location

  • REV Group, Inc.
  • 245 South Executive Drive
  • Suite 100
  • Brookfield
  • Wisconsin
  • 53005
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/04 00:00
End of Day Share Price2022/07/01 00:00
Earnings2022/04/30
Annual Earnings2021/10/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.