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    Is Patrick Industries (PATK) Cheap As October 29 Earnings Near?

    Simply Wall St·10/16/2026 20:22:58
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    Patrick Industries (PATK) has two dates on investors’ calendars. Argus recently revised its expectations for the manufacturer, and the business is set to report third quarter and nine month 2026 results on October 29.

    Patrick Industries’ share price has been under pressure this year, with a year to date share price return down 38.3%, although the 3 year total shareholder return of 47.19% shows longer term holders have still come out ahead. Recent short term moves tell a different story. The stock jumped 7.61% on a 1 day share price basis and is up 4.70% over 7 days, even though the 90 day share price return is down 22.66%. This suggests sentiment has firmed slightly ahead of the October 29 update and after Argus’ revised outlook.

    Compare Patrick Industries’ recent pullback with other potential rebound candidates by scanning our hand picked 33 high quality undervalued stocks that pair solid balance sheets with attractive pricing signals.

    Patrick Industries has dropped sharply this year, then bounced just ahead of earnings. This puts investors at a fork in the road: step in now, or wait for a potentially cheaper entry point for the same cash flows?

    Most Popular Narrative: 37% Undervalued

    Patrick Industries last closed at $68.13, while the most widely followed narrative anchors fair value at $108. That gap puts more weight on whether the next few years match the cash flow and earnings path baked into that fair value.

    Expansion of Patrick Industries into Marine, Powersports and Housing, where recent growth has helped offset weaker RV revenue while RV and Marine wholesale shipments remain more than 20% below 2019 levels, supports the case for a larger and more resilient revenue base as these end markets continue to contribute a greater share of sales and earnings.

    See why 2 investors see Patrick Industries as 37% undervalued.

    This storyline uses a 10.33% discount rate and assumes revenue growth of about 3.8% a year with profit margins reaching roughly 5.3%. It also leans on earnings rising from $147.3m today to $233.1m by 2029, helped by higher content per RV and Marine unit, aftermarket expansion and the planned LCI merger synergies on a pro forma revenue base of roughly $8.1b.

    To align with that $108 fair value, you would need to accept a future P/E of about 18x those 2029 earnings, compared with a current multiple closer to 14.6x and an industry level around 16.2x. The gap between the present share price and that scenario reflects both the upside analysts see and the risks flagged around RV demand, working capital and margins.

    Result: Fair Value of $108 (UNDERVALUED)

    Still, Patrick Industries needs working capital to stop absorbing cash and stable RV demand to avoid another leg down, or the current undervalued story starts to fray.

    Find out about the key risks to this Patrick Industries narrative.

    Next Steps

    Sentiment around Patrick Industries is split, with clear worries alongside real upside. You can weigh the trade offs yourself by reviewing the 3 key rewards and 1 important warning sign.

    Looking for more Patrick Industries investment ideas?

    If Patrick Industries has your attention, do not stop here. Broaden your watchlist now and pressure test your thesis against other opportunities before the market moves.

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.