Thor stock rises after the RV maker delivered record sales

Yahoo Finance Video
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Yahoo Finance Live anchors discuss fourth-quarter earnings for Thor.

Video Transcript

BRAD SMITH: We're also watching shares of Thor here after the market open. Shares of Thor, the RV maker, not the god of thunder, the ticker symbol THO. What's it doing, though? It's moving higher by about 2.2% this morning after reporting earnings and beating out expectations on the top and bottom lines for the fourth quarter. The company also saw net sales for the fiscal year, it actually increased by about 32% year over year. Good RV company there, Thor. For a lot of people that--

JULIE HYMAN: I'd like to buy a share in Chris Hemsworth's future earnings, please. I would like a share of Thor--

BRIAN SOZZI: Make an ETF.

JULIE HYMAN: I would like a share of--

BRIAN SOZZI: Make an ETF.

JULIE HYMAN: OK, I'll do that. I'll do that.

BRAD SMITH: Exactly. Liam also, he also--

JULIE HYMAN: Sure, we can combine one. Just say Hemsworth ETF.

BRAD SMITH: Just Hemsworth ETF.

JULIE HYMAN: Or ETF.

BRAD SMITH: I mean he almost beat him out for that role, anyway. So--

BRIAN SOZZI: What's the ticker symbol, HOT? What is it?

JULIE HYMAN: OK, all right, we're getting off track here. I'm sorry. It's my fault. It's my fault.

BRIAN SOZZI: It is your fault.

JULIE HYMAN: Bring it back to RVs.

BRIAN SOZZI: OK, well, RVs were good.

JULIE HYMAN: Bringing it back in.

BRIAN SOZZI: This business, what you just said before, the high end consumer doing pretty well. North American motorized RVs, these are expensive RVs-- in many cases, over $100,000-- sales of these things, these RVs, up 24 and 1/2% year over year. Operating profits for this business up close to 105% year over year. Now the rest of the businesses, they continue to battle through the supply chain challenge. But at least this business, big hulking RVs, that's a standout. That's a huge number and stacked alongside a stock market that's in a bear market.

BRAD SMITH: I think it's a direct correlation to what we've seen in travel consumers of the experience economy also wanting to take the experience into their own hands. Over the course of the pandemic, where it was just safe to be outside and perhaps in an area where you could have a safe social distance, you had people flocking to some of the RV purchases or some of the camper purchases.

Look, my mother has gone from RV to camper. And she's continued to just live her best life and being able to kind of park the camper anywhere she's going. And so I think a lot of people who are of the outdoorsy mindset, they say, you know what? Yeah, this is a viable long-term purchase for me.

JULIE HYMAN: Man, your parents are cool.

BRAD SMITH: They're way cooler than me.

JULIE HYMAN: They ride motorcycles. They've got a camper. I will say, though, that the company, it's not all wine and roses here because Thor did talk about some softening demand for what they call towable products, stuff like campers, right, that you're not driving, but you're towing behind your car. And so because of that, they reduced production levels for their towable products to keep inventory levels balanced. They said they had anticipated the decline in that towable activity, though. So it looks like the Street is giving them a pass here and saying that they're managing through this relatively well.