Demand for RVs reached record highs in the first half of the year, mainly driven by people’s active interest in camping and offbeat recreational travels. Moreover, the U.S. tax code treating RVs as second homes, providing owners tax advantage on RV purchase loans, the sales of these vehicles are on the rise.
The pandemic fueled the demand for RVs and RV rentals last year, as RVs offer a self-contained way to travel. As the vaccination progresses rapidly and people are once again engaging in outdoor activities and recreational travels, RV sales are expected to soar in the upcoming months. The RV market is expected to reach $48 billion by 2026, registering a CAGR of 7% during 2021-2026. Therefore, RV stocks WGO and THO should benefit.