Camping World at seven-month high as DA Davidson upgrades stock to 'buy'

Camping World Holdings

30/06/2023 16:20

** Shares of recreational vehicles (RV) retailer Camping
World Holdings  CWH.N  up as much as 6% at seven-month high of
$30.48
    ** DA Davidson upgrades CWH and another RV retailer Lazydays
Holdings  LAZY.O  to "buy" from "neutral"
    ** Brokerage raises PT on CWH to $36, a Street high, from
$25; increases PT on LAZY to $14 from $11
    ** LAZY rises as much as 12% to $11.50
    ** CWH's acquisition strategy is "likely to pay off" in
upcoming years as smaller dealers flag difficulty to compete
with larger dealership chains such as CWH - DA Davidson
    ** "Dealers we spoke with indicated customers in this
elevated interest rate environment are extremely
price-conscious, which has resulted in increased used RV sales,"
says brokerage
    ** Expects higher-margin used RV sales to offset near-term
new-vehicle margin weakness
    ** Seven of 11 brokerages rate CWH "buy" or higher, 4
"hold"; median PT is $28 - Refinitiv
    ** Up to last close, CWH up ~29 YTD, while LAZY down ~14%   

 (Reporting by Juveria Tabassum in Bengaluru)
 ((Juveria.Tabassum@thomsonreuters.com;))