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Buy 3 Outdoor Industry Stocks Amid Short-Term Double-Digit Potential

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Key Takeaways

  • Polaris delivered $1.97 in Q2 adjusted EPS, topping estimates, with a maximum upside of 31.9%.
  • Trex expects 5.6% revenue and 15.2% earnings growth, with 29% maximum price upside.
  • YETI expects 7.6% revenue and 16.5% earnings growth, with 81.8% maximum upside.

The outdoor industry benefits from steady demand across various age groups and regions driven by shifting consumer values toward health, sustainability, and experience-driven living. Many companies in this space leverage brand loyalty, product innovation, and direct-to-consumer strategies to drive recurring sales and maintain premium positioning.

Here, we recommend three mid-cap outdoor industry stocks with a favorable Zacks Rank to strengthen your portfolio. These stocks have double-digit upside price potential. The stocks are: Polaris Inc. (PII - Free Report) , Trex Co. Inc. (TREX - Free Report) and YETI Holdings Inc. (YETI - Free Report) . 

The chart below shows the price performance of our three picks year to date.

Zacks Investment Research
Image Source: Zacks Investment Research

Polaris Inc.

Zacks Rank #1 (Strong Buy) Polaris designs, engineers, manufactures, and markets powersports vehicles in the United States, Canada, and internationally. PII operates through three segments: Off Road, On Road, and Marine.

PII offers off-road vehicles (ORVs), including all-terrain vehicles and side-by-side vehicles, military and commercial ORVs, snowmobiles, motorcycles, moto-roadsters, quadricycles, and pontoon and deck boats. PII sells its products through dealers and distributors as well as online.

PII came up with second-quarter 2026 adjusted earnings of $1.97 per share, against the Zacks Consensus Estimate of a loss of $0.77 per share. This compares to earnings of $0.4 per share a year ago. Quarterly revenues of $2.02 billion surpassed the Zacks Consensus Estimate by 2.51%. This compares to year-ago revenues of $1.85 billion.

Polaris has an expected revenue and earnings growth rate of 4.5% and more than 100%, respectively, for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 76% over the last 30 days.

Solid Short-Term Price Upside Potential

The short-term average price target of brokerage firms represents an increase of 16.1% from the last closing price of $64.43. The brokerage target price is currently in the range of $67-$85. This indicates a maximum upside of 31.9% and no downside.

Trex Co. Inc.

Trex is a manufacturer of wood-alternative decking and railing in the United States. TREX sells its products through wholesale distributors, retail lumber dealers, and Home Depot and Lowe's stores.

TREX has an expected revenue and earnings growth rate of 5.6% and 15.2%, respectively, for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 4.8% over the last 60 days.

Currently, TREX carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Strong Short-Term Price Upside Potential

The short-term average price target of brokerage firms represents an increase of 14.3% from the last closing price of $47.30. The brokerage target price is currently in the range of $42-$61. This indicates a maximum upside of 29% and a downside of 11.2%.

YETI Holdings Inc.

Zacks Rank #2 YETI Holdings designs, markets and distributes products for the outdoor and recreation market under the YETI brand primarily in the United States. YETI’s products are designed for use in outdoor activities, including recreational and professional pursuits targeting various categories, including hunting, fishing, camping, barbecue, farm and ranch activities and others.

YETI Holdings has an expected revenue and earnings growth rate of 7.6% and 16.5%, respectively, for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 0.3% over the last seven days.

Impressive Short-Term Price Upside Potential

The short-term average price target of brokerage firms represents an increase of 24.3% from the last closing price of $44.00. The brokerage target price is currently in the range of $37-$80. This indicates a maximum upside of 81.8% and a downside of 15.9%.

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