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Camping World (CWH) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Camping World (CWH - Free Report) closed at $40.74, marking a +0.84% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.64%. Elsewhere, the Dow gained 0.68%, while the tech-heavy Nasdaq added 0.46%.

Heading into today, shares of the recreational vehicle retailer and services provider had lost 2.51% over the past month, lagging the Consumer Discretionary sector's gain of 1% and the S&P 500's gain of 4.56% in that time.

Camping World will be looking to display strength as it nears its next earnings release. On that day, Camping World is projected to report earnings of $1.97 per share, which would represent year-over-year growth of 310.42%. Meanwhile, our latest consensus estimate is calling for revenue of $1.32 billion, up 16.7% from the prior-year quarter.

Any recent changes to analyst estimates for Camping World should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Camping World is currently sporting a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that Camping World has a Forward P/E ratio of 6.13 right now. Its industry sports an average Forward P/E of 26.74, so we one might conclude that Camping World is trading at a discount comparatively.

The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 62, putting it in the top 25% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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