Analyst: Polaris sled retail sales up 20% in Q1

Expect Polaris to announce record revenue and earnings per share in the first quarter, according to Wells Fargo Securities analyst Tim Conder.

In a research note provided to Powersports Business by Conder, he reports that dealer checks in recent weeks reveal the following estimated year-over-year retail sales trends by Polaris dealers:

Side-by-side: Up mid-teens percent
ATV: Up mid-single digits
Victory: Up 5-10 percent
Snowmobiles: Up 20 percent

Conder also notes the ATV industry being down 8 percent year-over-year, with Polaris “continuing to gain share in core ATV/SxS on strong product features and price/value.”

Conder also writes that “overall financing remains available/affordable for reasonably qualified borrowers and appears to have loosened incrementally over the last six months.”

The report also says that Wells Fargo Securities’ outlook “acknowledges that the recent 20%+ annual sales growth and 35%+ annual earnings growth is in the process of slowing to more sustainable high single/low double-digit rate and 15-20% levels, respectively.”

Wells Fargo Securities rates Polaris stock as “Outperform.”