Polaris, Camping World among Raymond James leisure product downgrades

Raymond James analyst Joseph Altobello downgraded a handful of names in the leisure products space, including Polaris (PII) to Market Perform from Strong Buy, and Camping World (CWH), MarineMax (HZO) and OneWater Marine (ONEW) to Market Perform from Outperform. While the firm’s overall view of their business models and strategies remains positive, it does not see much near-term upside in the stocks from current levels. A number of revenue and margin headwinds remain and could limit further upside, including a weakening macroeconomic backdrop, higher borrowing rates and heightened promotional activity, the analyst tells investors in a research note. Camping World shares now reflect solid execution and improved trends in 2024, while Polaris shares are pricing in improved retail trends, the firm contends. Raymond James believes MarineMax’s and OneWater’s dealer margins could be impacted by sluggish demand and higher promotions.