Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock.In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end.However, it's pretty easy to find cutting-edge growth stocks with the help of the Zacks Growth Style Score ...

Company Overview - REV Group (REVG) currently holds a Momentum Style Score of A, indicating strong potential for momentum investing [3] - The company has a Zacks Rank of 1 (Strong Buy), suggesting it is expected to outperform the market [4] Price Performance - Over the past week, REVG shares have increased by 17.5%, significantly outperforming the Zacks Transportation - Services industry, which rose by only 0.44% [6] - In a longer time frame, REVG's shares have risen by 20.68% over the past month, compared to the industry's 4.66% [6] - Over the last three months, REVG shares have appreciated by 43.97%, and over the past year, they have surged by 136.62%, while the S&P 500 has only increased by 9.68% and 20%, respectively [7] Trading Volume - The average 20-day trading volume for REVG is 925,483 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, three earnings estimates for REVG have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $2.45 to $2.65 [10] - For the next fiscal year, three estimates have also moved upwards without any downward revisions [10] Conclusion - Considering the strong price performance, positive earnings outlook, and high Momentum Style Score, REVG is positioned as a promising investment opportunity [12]

Group 1 - REV Group's stock has increased by 16.9% over the past month and has gained 96.9% since the start of the year, outperforming the Zacks Transportation sector and the Zacks Transportation - Services industry [1] - The company has consistently beaten earnings estimates, reporting EPS of $0.79 against a consensus estimate of $0.63 in its last earnings report [2] - For the current fiscal year, REV Group is expected to post earnings of $2.58 per share on revenues of $2.45 billion, reflecting a 62.26% change in EPS and a 2.76% change in revenues [3] Group 2 - REV Group's valuation metrics indicate a current trading multiple of 24.3X current fiscal year EPS estimates, which is above the peer industry average of 22.1X [6] - The stock has a Value Score of C, Growth Score of B, and Momentum Score of A, resulting in a combined VGM Score of A [6] - REV Group currently holds a Zacks Rank of 1 (Strong Buy) due to favorable earnings estimate revisions from analysts [7] Group 3 - The company is projected to earn $3.5 per share on revenues of $2.61 billion for the next fiscal year, indicating a year-over-year change of 35.85% in EPS and 6.58% in revenues [3] - Investors are encouraged to consider stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, which REV Group meets [8]

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying stocks that can fulfill their growth potential is challenging due to associated risks and volatility [1] Group 1: Company Overview - REV Group (REVG) is currently highlighted as a recommended growth stock by the Zacks Growth Style Score system, which evaluates a company's genuine growth prospects beyond traditional metrics [2] - The company has a favorable Growth Score and a top Zacks Rank, indicating strong potential for performance [2] Group 2: Earnings Growth - Historical EPS growth for REV Group stands at 47.8%, but projected EPS growth for this year is significantly higher at 60.4%, far exceeding the industry average of 6.5% [5] Group 3: Cash Flow Growth - REV Group's year-over-year cash flow growth is 4.7%, outperforming many peers and contrasting with the industry average of -7.3% [6] - The company's annualized cash flow growth rate over the past 3-5 years is 6.6%, slightly above the industry average of 6.5% [7] Group 4: Earnings Estimate Revisions - There have been upward revisions in current-year earnings estimates for REV Group, with the Zacks Consensus Estimate increasing by 4.3% over the past month [9] Group 5: Conclusion - REV Group has achieved a Growth Score of A and a Zacks Rank of 2, supported by positive earnings estimate revisions, positioning it well for potential outperformance [10][11]

Core Viewpoint - REV Group (REVG) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system emphasizes the importance of changing earnings estimates in determining near-term stock price movements, making it a valuable tool for investors [2][3]. - The correlation between earnings estimate revisions and stock price movements is strong, with institutional investors using these estimates to assess fair value, leading to buying or selling actions that affect stock prices [3]. Company Performance and Outlook - The upgrade for REV Group indicates an improvement in the company's underlying business, which is expected to positively influence its stock price [4]. - For the fiscal year ending October 2025, REV Group is projected to earn $2.55 per share, with a 5% increase in the Zacks Consensus Estimate over the past three months [7]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [6]. - REV Group's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [9].

Core Insights - The logistics sector has seen significant engagement from investors, particularly in the ASEAN and US markets, highlighting its growth potential [1] - The popularity of insurance companies in the Philippines has influenced investment strategies, leading to diversification beyond traditional savings methods [1] - The trend of investing in blue-chip companies has evolved, with a broader portfolio now including various industries and market capitalizations [1] Investment Strategies - The focus on banking, telecommunications, and retail sectors indicates a strategic approach to capitalize on stable and growing industries [1] - The entry into the US market in 2020 reflects a growing interest in international investments, particularly in sectors like banks, hotels, and logistics [1] - Utilizing platforms like Seeking Alpha for analysis demonstrates a commitment to informed decision-making and knowledge sharing within the investment community [1]

Financial Data and Key Metrics Changes - Consolidated net sales for Q3 2025 were $644.9 million, up from $579.4 million in Q3 2024, representing a 20.5% increase when excluding the impact of the exited E and C transit bus business [13] - Adjusted EBITDA for Q3 2025 was $64.1 million, compared to $45.2 million in Q3 2024, marking a 66.1% year-over-year increase when excluding the impact of the divested bus business [14][25] - Year-to-date cash flow was strong, with cash from operating activities totaling $164.7 million [23] Business Line Data and Key Metrics Changes - Specialty Vehicles segment sales increased to $483.3 million, an 11.8% increase compared to the prior year, with adjusted EBITDA rising by 71.4% to $64.6 million [15][16] - Fire unit shipments increased by 11% and ambulance unit shipments increased by 7% compared to the previous year [6][16] - Recreational Vehicle segment sales rose to $161.7 million, a 9.7% increase, but adjusted EBITDA decreased by 13.8% due to increased dealer assistance and tariff impacts [19][20] Market Data and Key Metrics Changes - Specialty Vehicles segment backlog at the end of Q3 was $4.3 billion, reflecting continued demand for fire apparatus and ambulance units [17][58] - Recreational Vehicle segment backlog declined by 7% year-over-year, indicating soft end market demand [21] Company Strategy and Development Direction - The company is focused on reinvesting in its businesses to drive long-term growth, pursuing opportunistic share repurchases, and maintaining a sustainable dividend [12] - A major facility expansion in South Dakota is expected to increase fire apparatus production capacity by 40%, enhancing delivery times and throughput [8][47] - The company aims to streamline operations and improve cost discipline, with a focus on lean manufacturing and workforce training [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to manage tariff impacts and maintain strong performance, raising the fiscal 2025 outlook [12][25] - The company anticipates continued demand for its products, despite macroeconomic uncertainties affecting the recreational vehicle market [19][21] - Management highlighted the importance of maintaining competitive lead times and quality in response to market conditions [50][64] Other Important Information - The company completed the sale of its Lance Camper business, streamlining its RV portfolio to focus on motorized RVs [10] - Capital expenditures for the quarter were $11.6 million, with a focus on improving efficiency and quality [23] Q&A Session Summary Question: Were the record EBITDA margins in line with expectations? - Management confirmed that the company is on track with its midterm targets and is pleased with the progression [29] Question: How will tariffs impact the first quarter of fiscal 2026? - Management expects a typical sequential decline in sales of 10-15% in the first quarter due to working and shipping days [31] Question: Are pricing strategies effectively offsetting inflation and tariffs? - Management is actively reviewing pricing strategies to offset inflation and has not yet taken price increases in response to tariffs [33][44] Question: How is the company managing tariff impacts on steel and aluminum? - Management indicated that the expected drag from tariffs remains consistent, with ongoing efforts to minimize impacts through supply chain management [41][42] Question: What is the outlook for the fire business and its capacity expansion? - The South Dakota facility expansion will enhance production capabilities, with full operational capacity expected in 2027 [47] Question: How does the company view pricing competition in the market? - Management noted that they are currently not seeing significant price competition and remain competitive in both price and lead time [62][64] Question: What are the capital deployment plans given strong cash flow? - Management emphasized the importance of internal investments for productivity improvements while remaining opportunistic regarding M&A opportunities [73][75]

REV Group (REVG) Q3 2025 Earnings Call September 03, 2025 10:00 AM ET Speaker0Greetings, and welcome to REV Group's Third Quarter Fiscal twenty twenty five Results Conference At this time, all participants are in a listen only mode. A question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. It is now my pleasure to turn the conference over to your host, Mr. Drew Connip.Thank you. You may begin.Speaker1Good morning, and thanks for joining us. Earlier ...

Fiscal Third Quarter 2025 Highlights - REV Group experienced momentum in year-over-year throughput increases[7] - The company broke ground for a $20 million investment in the Brandon, SD facility[7] - REV Group completed the sale of Lance Camper[7] - The company demonstrated strong cash generation and a solid balance sheet position[7] - REV Group raised its fiscal year 2025 outlook[7] Third Quarter Fiscal 2025 Consolidated Results - Net sales increased to $644.9 million in Q3 2025, compared to $579.4 million in Q3 2024[9], a $109.7 million or 20.5% increase excluding Bus Manufacturing Businesses[13] - Adjusted EBITDA increased to $64.1 million in Q3 2025, compared to $45.2 million in Q3 2024[9], a $25.5 million or 66.1% increase excluding Bus Manufacturing Businesses[13] Full Year Fiscal 2025 Outlook - REV Group updated its net sales guidance to $2.40 to $2.45 billion, compared to the prior guidance of $2.35 to $2.45 billion and the 2024 actual of $2.38 billion[27] - The company updated its Adjusted EBITDA guidance to $220 to $230 million, compared to the prior guidance of $200 to $220 million and the 2024 actual of $162.8 million[27] - REV Group updated its Free Cash Flow guidance to $140 to $150 million, compared to the prior guidance of $100 to $120 million[27] Balance Sheet & Other Financial Items - Year-to-date cash from operations totaled $164.2 million[25] - Net debt was $54.0 million[25] - Trade working capital decreased by $56.6 million compared to 4Q24[26] - $117.6 million cash was returned to shareholders year to date[26]

FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 31, 2025 UNITED STATES SECURITIES AND EXCHANGE COMMISSION OR WASHINGTON, DC 20549 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 001-37999 REV Group, Inc. (Exact Name of Registrant as Specified in its Charter) Delaware 26-3013415 (State or other jurisdiction of incorporation or organization) 245 ...