REV Group, Inc. (REVG) Soars to 52-Week High, Time to Cash Out?

Shares of REV Group (REVG) have been strong performers lately, with the stock up 14.3% over the past month. The stock hit a new 52-week high of $64.57 in the previous session. REV Group has gained 4.8% since the start of the year compared to the 13.4% gain for the Zacks Auto-Tires-Trucks sector and the 16.3% return for the Zacks Automotive - Domestic industry.What's Driving the Outperformance?The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on December 10, 2025, REV Group reported EPS of $0.83 versus consensus estimate of $0.78 while it beat the consensus revenue estimate by 2.67%.For the current fiscal year, REV Group is expected to post earnings of $3.72 per share on $2.66 in revenues. This represents a 37.78% change in EPS on a 8.12% change in revenues. For the next fiscal year, the company is expected to earn $4.69 per share on $2.89 in revenues. This represents a year-over-year change of 26.08% and 8.32%, respectively.Valuation MetricsREV Group may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.REV Group has a Value Score of B. The stock's Growth and Momentum Scores are A and C, respectively, giving the company a VGM Score of A.In terms of its value breakdown, the stock currently trades at 17.1X current fiscal year EPS estimates, which is a premium to the peer industry average of 13X. On a trailing cash flow basis, the stock currently trades at 20.3X versus its peer group's average of 8.7X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.Zacks RankWe also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, REV Group currently has a Zacks Rank of #2 (Buy) thanks to a solid earnings estimate revision trend.Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if REV Group meets the list of requirements. Thus, it seems as though REV Group shares could have potential in the weeks and months to come.How Does REVG Stack Up to the Competition?Shares of REVG have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is General Motors Company (GM). GM has a Zacks Rank of #1 (Strong Buy) and a Value Score of A, a Growth Score of C, and a Momentum Score of B.Earnings were strong last quarter. General Motors Company beat our consensus estimate by 22.81%, and for the current fiscal year, GM is expected to post earnings of $11.65 per share on revenue of $184.48 billion.Shares of General Motors Company have gained 9.8% over the past month, and currently trade at a forward P/E of 7.14X and a P/CF of 3.57X.The Automotive - Domestic industry is in the top 41% of all the industries we have in our universe, so it looks like there are some nice tailwinds for REVG and GM, even beyond their own solid fundamental situation.Just Released: Zacks Top 10 Stocks for 2026Hurry – you can still get in early on our 10 top tickers for 2026. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful.From inception in 2012 through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2026. You can still be among the first to see these just-released stocks with enormous potential.See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report REV Group, Inc. (REVG): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks