Patrick Industries (PATK) AI Stock Analysis

• Market Cap: $3.49B
• Dividend Yield: 1.5%
• Average Volume (3M): 256.97K
• Price to Earnings (P/E): 30.0
• Beta (1Y): 1.28
• Revenue Growth: 6.08%
• EPS Growth: -22.18%
• Country: US
• Employees: 10,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 1.01
• Shares Outstanding: 33,278,675
• 10 Day Avg. Volume: 337,220
• 30 Day Avg. Volume: 256,974
• PEG Ratio: -0.54
• Price to Book (P/B): 2.40
• Price to Sales (P/S): 0.73
• P/FCF Ratio: 10.77
• Enterprise Value/Market Cap: 1.47
• Enterprise Value/Revenue: 1.33
• Enterprise Value/Gross Profit: 5.80
• Enterprise Value/Ebitda: 16.17
• 1Y Price Target: $111.00
• Price Target Upside: 4.25% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 4.31
• Revenue Forecast (FY): $3.85B

• Rating: 65 Neutral
• Price Target: $112.00 ▲(5.19% Upside)

Patrick Industries shows stable financial performance with improved leverage but faces challenges in profitability and cash flow management. The technical indicators suggest mixed momentum, and the stock appears overvalued with a modest dividend yield. The earnings call provided optimism for future growth, particularly in the Marine and Powersports segments, but highlighted declining margins and net income as concerns. Overall, the stock presents a balanced risk-reward profile with potential for growth in specific segments.

Positive Factors

Revenue Growth

Consistent revenue growth reflects strong market demand and effective sales strategies, indicating potential for sustained business expansion.

Strong Balance Sheet

A strong balance sheet with high liquidity provides the company with financial flexibility to invest in growth opportunities and weather economic downturns.

Marine and Powersports Growth

Significant growth in Marine and Powersports segments highlights successful diversification and potential for future revenue streams.

Negative Factors

Declining Margins

Declining margins suggest rising costs or pricing pressures, which could impact profitability if not addressed effectively.

Net Income Decrease

A decrease in net income indicates challenges in maintaining profitability, potentially affecting shareholder returns and investment capacity.

Housing Market Challenges

Challenges in the housing market could limit growth in this segment, affecting overall revenue and diversification efforts.

Patrick Industries Business Overview & Revenue Model

Company Description

Patrick Industries, Inc. manufactures and distributes components, building products, and materials for the recreational vehicle, marine, manufactured housing, and industrial markets in the United States, China, and Canada. Its Manufacturing segment manufactures and sells furniture, shelving, wall, countertop, and cabinet product; cabinet door, fiberglass bath fixture, and tile system; hardwood furniture, vinyl printing, amplifiers, tower speakers, soundbars, and subwoofers; solid surface, granite, and quartz countertop fabrication; aluminum product; fiberglass and plastic components; RV painting; decorative vinyl and paper laminated panels; softwoods lumber; custom cabinet; polymer-based flooring product; dash panels; and other products. This segment also provides wrapped vinyl, paper, and hardwood profile moulding; interior passage doors; air handling products; slide-out trim and fascia; treated, untreated, and laminated plywood; fiberglass and plastic helm systems and components; boat covers, tower, top, and frame; adhesives and sealants; thermoformed shower surrounds; specialty bath, and closet building products; wiring and wire harnesses; aluminum and plastic fuel tanks; CNC molds, composite part, marine hardware; slotwall panels, components; and other products. The company's Distribution segment distributes pre-finished wall and ceiling panel, drywall and finishing product, electronic, audio system component, appliance, marine accessories, wiring product, electrical and plumbing product, fiber reinforced polyester product; cement siding product, raw and processed lumber, interior passage, roofing, laminate, and ceramic flooring product, shower door, furniture, fireplace and surround, interior and exterior lighting product, and other products. This segment also offers transportation and logistics service. The company was founded in 1959 and is headquartered in Elkhart, Indiana.

How the Company Makes Money

Patrick Industries generates revenue primarily through the sale of its manufactured products to the RV and manufactured housing industries. Key revenue streams include the sale of structural products, such as cabinetry and countertops, as well as decorative and functional components. The company also earns income from supplying materials used in industrial applications. Significant partnerships with OEMs and distributors in the RV and housing sectors enhance its market presence and contribute to consistent revenue generation. Additionally, the company's strategic acquisitions of complementary businesses have expanded its product offerings and customer reach, further bolstering its earnings.

Patrick Industries Financial Statement Overview

Summary

Patrick Industries demonstrates stable revenue growth and improved financial stability with reduced leverage. However, profitability margins have declined, and free cash flow growth is negative, indicating potential challenges in maintaining cash reserves. The company shows resilience in its operations, but there is room for improvement in profitability and cash flow management.

Income Statement

Patrick Industries shows a moderate revenue growth rate of 1.47% TTM, indicating stability in sales. The gross profit margin of 22.91% and net profit margin of 3.11% TTM reflect consistent profitability, although the net margin has decreased from the previous year. The EBIT margin of 4.32% and EBITDA margin of 7.13% TTM suggest operational efficiency, albeit with a decline compared to the previous year. Overall, the income statement reflects steady performance with room for improvement in profitability.

Balance Sheet

The company's debt-to-equity ratio has significantly improved to 0.18 TTM from 1.35 the previous year, indicating a reduction in leverage and a stronger equity position. The return on equity of 10.52% TTM shows a decline, suggesting reduced profitability on shareholders' equity. The equity ratio of 37.14% TTM indicates a solid equity base relative to total assets. Overall, the balance sheet shows improved financial stability with reduced leverage, but profitability on equity could be enhanced.

Cash Flow

Operating cash flow to net income ratio of 0.74 TTM indicates healthy cash generation relative to net income, although it has decreased from the previous year. Free cash flow has declined by 21.73% TTM, reflecting challenges in maintaining cash reserves. The free cash flow to net income ratio of 0.61 TTM suggests adequate cash flow coverage, but with room for improvement. Overall, the cash flow statement shows solid cash generation, but declining free cash flow growth is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.87B	3.72B	3.47B	4.88B	4.08B	2.49B
Gross Profit	887.41M	835.89M	782.23M	1.06B	801.19M	459.02M
EBITDA	318.27M	424.58M	404.74M	626.93M	456.52M	246.64M
Net Income	120.53M	138.40M	142.90M	328.20M	224.91M	97.06M
Balance Sheet
Total Assets	3.15B	3.02B	2.56B	2.78B	2.65B	1.75B
Cash, Cash Equivalents and Short-Term Investments	20.70M	33.56M	11.41M	22.85M	122.85M	44.77M
Total Debt	211.88M	1.52B	1.21B	1.45B	1.45B	937.48M
Total Liabilities	1.98B	1.89B	1.52B	1.83B	1.88B	1.19B
Stockholders Equity	1.17B	1.13B	1.05B	955.17M	767.56M	559.44M
Cash Flow
Free Cash Flow	183.23M	251.16M	349.69M	331.86M	187.33M	128.05M
Operating Cash Flow	301.22M	326.84M	408.67M	411.74M	252.13M	160.15M
Investing Cash Flow	-164.34M	-512.85M	-86.55M	-321.47M	-574.73M	-337.88M
Financing Cash Flow	-168.79M	208.16M	-333.56M	-190.27M	400.69M	83.11M

Patrick Industries Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 106.47
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PATK, the sentiment is Positive. The current price of 106.47 is above the 20-day moving average (MA) of 100.86, above the 50-day MA of 104.83, and above the 200-day MA of 94.45, indicating a bullish trend. The MACD of 0.38 indicates Negative momentum. The RSI at 59.15 is Neutral, neither overbought nor oversold. The STOCH value of 80.10 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PATK.

Patrick Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PATK	65 Neutral	$3.49B	29.95	10.49%	1.50%	6.08%	-22.18%
MHK	64 Neutral	$6.84B	16.48	5.20%	―	-0.82%	-23.99%
MBC	63 Neutral	$1.60B	17.54	6.19%	―	1.77%	-44.11%
LEG	62 Neutral	$1.21B	5.55	26.20%	2.27%	-6.03%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MLKN	55 Neutral	$1.05B	―	-1.18%	4.39%	5.37%	-127.27%
WHR	51 Neutral	$3.96B	―	-6.68%	8.25%	-11.36%	-133.01%

Patrick Industries Corporate Events

Patrick Industries Reports Solid Q3 Growth Amid Challenges

Patrick Industries, Inc. recently held its earnings call, revealing a generally positive sentiment despite some challenges. The company reported solid revenue growth across various segments and maintained a strong balance sheet, driven by both organic growth and strategic acquisitions. However, there were concerns regarding declining margins and net income. Nonetheless, the company expressed optimism about future growth opportunities, particularly in the Marine and Powersports segments.

Patrick Industries Reports Mixed Q3 2025 Results

Patrick Industries, Inc., a leading component solutions provider for the RV, Marine, Powersports, and Housing markets, has reported its financial results for the third quarter of 2025. The company, known for its comprehensive solutions model, continues to serve manufacturers and outdoor enthusiasts with a focus on innovation and quality.

Patrick Industries Reports Q3 2025 Sales Growth

Patrick Industries reported a 6% increase in net sales to $976 million for the third quarter of 2025, driven by organic growth and acquisitions, despite a decline in industry shipments. The company saw revenue growth across all its primary markets, although operating income and net income decreased compared to the previous year. Strategic investments in innovation and acquisitions, such as the purchase of LilliPad Marine, are enhancing Patrick’s product offerings and market presence. The company returned $13 million to shareholders through dividends and maintained a total net liquidity of $779 million, positioning itself strongly for future growth.

The most recent analyst rating on (PATK) stock is a Hold with a $109.00 price target. To see the full list of analyst forecasts on Patrick Industries stock, see the PATK Stock Forecast page.

Patrick Industries Declares Quarterly Cash Dividend

On August 14, 2025, Patrick Industries, Inc. declared a quarterly cash dividend of $0.40 per share of common stock, payable on September 8, 2025, to shareholders of record as of August 25, 2025. This announcement reflects the company’s ongoing commitment to returning value to its shareholders, potentially enhancing its attractiveness to investors and reinforcing its market position.

The most recent analyst rating on (PATK) stock is a Buy with a $106.66 price target. To see the full list of analyst forecasts on Patrick Industries stock, see the PATK Stock Forecast page.

Patrick Industries’ Resilient Earnings Call Amid Challenges

Patrick Industries’ Earnings Call Reveals Resilience Amid Challenges

Patrick Industries Reports Q2 2025 Financial Results

Patrick Industries, Inc., a leading component solutions provider for the RV, Marine, Powersports, and Housing markets, has reported its financial results for the second quarter of 2025. The company, headquartered in Elkhart, Indiana, is known for its comprehensive solutions model that integrates design, manufacturing, distribution, and transportation.