LCI employees. Source: Reuters
LCI Industries (LCII) reported Q1 2019 revenue of $592.1 million and eps of $1.38. The company beat on revenue and earnings and the stock is up slightly post-earnings. Despite the earnings beat, LCII remains a sell for the following reasons:
Falling Revenue
LCII supplies components for leading original equipment manufacturers ("OEMs") in the recreational and industrial product markets. Such OEMs manufacture products for recreational vehicles ("RVS") and adjacent industries. The company also provides components to the aftermarkets of these industries.
Its revenue of $592 million was off 9% Y/Y,