$Camping World (CWH.US)$It is an American company listed at ...

In the past five years, the gross profit margin fell from 29.1% to 25.1% and then rose to 34.6%. Because the net assets are very small, the return on net assets does not have much reference value.

Revenue has grown continuously over the past five years, with an average growth rate of 14.4%, while operating profit has declined to two consecutive years of substantial growth after 2019. The net profit curve is similar to operating profit, and has been growing rapidly for two consecutive years since it entered the loss range in 2019.

In the first two quarters of 2022, revenue rose 5.8 per cent, operating profit fell 16 per cent and net profit fell 22.4 per cent to $300m.

The income statement shows that the company's interest expenses have dropped from 110 million to 61 million in the last three years. Interest expenses account for less than 8% of operating profits in 2021, and the burden is not high. It is still acceptable to increase to 11% in the first two quarters of 2022.

There are some asset impairment and special expenses every year, and the proportion has dropped to a relatively low level in recent years.

The balance sheet has been extremely high for five years, with 2022Q2 falling to 93.5 per cent.

Cash has increased a lot over the past five years, and accounts receivable have not changed much, but cash declined rapidly in the first two quarters of 2022, while accounts receivable increased rapidly.

Inventory increased by 660 million in 2021 to 1.79 billion, reaching 25% of revenue in 2021, an increase of 640 million of the net profit level of that year. I wonder if there will be a significant asset impairment in the future. Inventories further increased to 2 billion in the second quarter of 2022.

Over the past five years, the net operating volume totaled 1.28 billion, and the net investment totaled 1.36 billion, which has not yet generated a shareholder surplus.

The current price-to-earnings ratio is 5.1and TTM 5.8.If second-half earnings are the same as in the first half, the corresponding price-to-earnings ratio is 2.2. the difference is huge because 200 million treasury stocks have not yet been written off.

Although there seems to be some risk, the low price-to-earnings ratio is still attractive and can be chosen carefully (⭐️)