REV Group (REVG): Revisiting Valuation After a Multi‑Year Surge in Shareholder Returns

REV Group (REVG) has quietly turned into a strong performer this year, with the stock up sharply and recent returns outpacing the broader market, drawing fresh attention to its specialty vehicle business.

See our latest analysis for REV Group.

The latest move takes REV Group's share price to $59.2, capping an 85.93% year to date share price return. The 5 year total shareholder return of 722.38% indicates that momentum has been building for a long time.

If this kind of run has you rethinking your watchlist, it might be worth scanning auto manufacturers for other vehicle names with interesting trajectories.

With earnings expanding faster than revenue, an intrinsic value estimate suggesting room to run, and the share price already near analyst targets, the key question is clear: is REV Group still a buy, or is future growth already priced in?

Most Popular Narrative Narrative: 1.7% Undervalued

With REV Group closing at $59.2 against a narrative fair value near $60, the story centers on whether future earnings can truly stretch that gap.

Recent revisions to estimates and price targets highlight a more balanced risk reward profile for REV Group as it pursues the Terex transaction and integrates aerials into its broader platform.

Analysts note that execution on the merger, and the quality of earnings from the combined business, will be key drivers of whether the stock can justify a mid to high 50s fair value over the next 12 to 18 months.

Read the complete narrative.

To see what kind of earnings profile aligns with this near market level fair value, and how margin shifts and future multiples reshape the upside case, dive into the full narrative and review the assumptions behind that price.

Result: Fair Value of $60.20 (ABOUT RIGHT)

Have a read of the narrative in full and understand what's behind the forecasts.

However, that upside assumes smooth sailing, and deal execution missteps or prolonged cost and tariff pressures could quickly compress margins and challenge the current valuation.

Find out about the key risks to this REV Group narrative.

Build Your Own REV Group Narrative

If you see the story differently or want to stress test the numbers yourself, you can build a complete view in minutes: Do it your way.

A great starting point for your REV Group research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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