REV Group, Inc. (REVG) Hit a 52 Week High, Can the Run Continue?

Core Viewpoint - REV Group (REVG) has shown strong stock performance, with a 56.9% increase since the beginning of the year, outperforming the Zacks Transportation sector and the Zacks Transportation - Services industry [1][2]. Financial Performance - REV Group has consistently beaten earnings estimates, reporting EPS of $0.7 against a consensus estimate of $0.59 in its last earnings report [2]. - For the current fiscal year, REV Group is projected to achieve earnings of $2.45 per share on revenues of $2.41 billion, reflecting a 54.09% increase in EPS and a 1.07% increase in revenues [3]. - The next fiscal year forecasts earnings of $3.36 per share on revenues of $2.6 billion, indicating a year-over-year change of 37.01% in EPS and 7.89% in revenues [3]. Valuation Metrics - REV Group has a Value Score of B, a Growth Score of A, and a Momentum Score of F, resulting in a combined VGM Score of B [6]. - The stock trades at 20.4 times the current fiscal year EPS estimates, which is above the peer industry average of 18.8 times [6]. - On a trailing cash flow basis, the stock trades at 26.1 times compared to the peer group's average of 7.5 times, indicating a premium valuation [6]. Zacks Rank - REV Group holds a Zacks Rank of 1 (Strong Buy) due to rising earnings estimates, suggesting potential for further stock price appreciation [7]. - The combination of a Zacks Rank of 1 or 2 and Style Scores of A or B positions REV Group favorably for investors [7].