01:55 PM EST, 03/03/2025 (MT Newswires) -- Thor Industries ( THO ) appears set to regain market share, especially at its largest customer, Camping World ( CWH ) , amid signs of "green shoots" for the overall recreational vehicle industry, BofA Securities said in Monday note.

Thor's share of Camping World's ( CWH ) retail sales decreased by 740 basis points in 2024, while rival Forest River's share rose by 760 basis points, the brokerage said, citing SSI data. BofA estimates the market share loss at Camping World ( CWH ) to be about 64% of Thor's overall retail market share decline last year.

In 2025, Thor "was able to hit sharper price points across towable contract manufacturing lines," BofA said, estimating the company's inventory at Camping World ( CWH ) to have increased about 700 basis points since December. Such development supports higher shipment volumes in fiscal second quarter, according to the report.

The brokerage sees potential share gains with other large customers of Thor, especially as Chief Executive Bob Martin intends to refocus on North America.

"Barring further future macroeconomic headwinds, it is our expectation that retail activity will begin to trend positively in the latter half of our fiscal 2025, particularly in North America, where we anticipate the return of a stronger retail market," Martin said late last year.

BofA upgraded its rating on the Thor stock to buy from neutral and raised the price target to $125 from $110. The company's shares were up 1.9% in Monday afternoon trade.

Thor is scheduled to release its fiscal second-quarter financials Wednesday, with BofA expecting adjusted per-share earnings of $0.21, above Wall Street's estimate of $0.12, according to the note. The brokerage upgraded its fiscal 2025 adjusted EPS estimate to $5.05, higher than the Street's consensus of $4.37.

Looking at the broader recreation vehicle industry, BofA said signs of green shoots have emerged, including lean channel inventory levels, a recent increase in prices of used units, and strong industry shipment data. Channel checks indicate that dealer optimism has improved ahead of the peak selling season, according to the note.

"We see the RV market as structurally attractive," BofA said. "(Thor) should benefit from favorable demographics longer term as millennials are likely to increase RV usage with age similar to prior generations."

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