Hey friend,

With 35% market share (the leading company in ATV/Snowmobile industry), Polaris has thrived over the past decade.

After a mediocre 20Q1 performance with sales decreasing 6% to $1.4 billion, and a net loss of $0.09 per share, Polaris is looking to navigate through the economic uncertainty of the Covid-19 pandemic.

On March 23, Polaris was forced to switch game plans and withdrew its full year 2020 guidance. So it is unlikely this quarter will yield amazing numbers.

But don’t count them out just yet...

Likefolio data is showing an increase in Purchase Intent mentions over the last 3 months.

 

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With Purchase Intent up +30% YoY, Summer weather in full effect, and a growing interest in the outdoors, PII has great potential. Nationwide shut-downs through May helped to generate buzz for Polaris products. 

LikeFolio recorded significant strength in the Polaris RZR and Indian Motorcycle brands specifically.

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This tells us one thing: People want to be outdoors more than usual and they're turning to Polaris.

Heading into earnings (tomorrow before the bell)... Polaris has already rebounded from March market weakness, reaching a 2020 high in June. In addition, Wall Street expects a substantial YoY decline in revenue.

With an Earnings Score of +35 and growing buzz and consumer demand, a surprise to the upside is not out of the question this week.

Enjoy,

Andy Swan
founder, LikeFolio