NYSE:WGO

Stock Analysis Report

Executive Summary

Winnebago Industries, Inc. manufactures and sells recreation vehicles and marine products primarily for use in leisure travel and outdoor recreation activities.


Snowflake Analysis

Very undervalued with reasonable growth potential.


Similar Companies

Share Price & News

How has Winnebago Industries's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WGO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

29.9%

WGO

20.4%

US Auto

9.4%

US Market


1 Year Return

2.2%

WGO

5.9%

US Auto

-6.8%

US Market

Return vs Industry: WGO underperformed the US Auto industry which returned 3.5% over the past year.

Return vs Market: WGO exceeded the US Market which returned -8.1% over the past year.


Shareholder returns

WGOIndustryMarket
7 Day29.9%20.4%9.4%
30 Day-2.0%-11.9%-3.9%
90 Day-31.8%-12.2%-16.5%
1 Year3.0%2.2%9.1%5.9%-4.8%-6.8%
3 Year46.0%41.7%18.2%8.3%23.4%15.2%
5 Year80.9%68.9%16.8%-3.0%41.3%25.7%

Price Volatility Vs. Market

How volatile is Winnebago Industries's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Winnebago Industries undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WGO ($35.77) is trading below our estimate of fair value ($76.9)

Significantly Below Fair Value: WGO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: WGO is good value based on its PE Ratio (11.6x) compared to the Auto industry average (11.8x).

PE vs Market: WGO is good value based on its PE Ratio (11.6x) compared to the US market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: WGO is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: WGO is good value based on its PB Ratio (1.5x) compared to the US Auto industry average (2.2x).


Next Steps

Future Growth

How is Winnebago Industries forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

31.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WGO's forecast earnings growth (31.7% per year) is above the savings rate (1.7%).

Earnings vs Market: WGO's earnings (31.7% per year) are forecast to grow faster than the US market (13.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: WGO's revenue (11.6% per year) is forecast to grow faster than the US market (6.9% per year).

High Growth Revenue: WGO's revenue (11.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if WGO's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Winnebago Industries performed over the past 5 years?

23.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WGO has high quality earnings.

Growing Profit Margin: WGO's current net profit margins (4.4%) are lower than last year (5.3%).


Past Earnings Growth Analysis

Earnings Trend: WGO's earnings have grown significantly by 23.7% per year over the past 5 years.

Accelerating Growth: WGO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: WGO had negative earnings growth (-6.5%) over the past year, making it difficult to compare to the Auto industry average (-14.5%).


Return on Equity

High ROE: WGO's Return on Equity (12.4%) is considered low.


Next Steps

Financial Health

How is Winnebago Industries's financial position?


Financial Position Analysis

Short Term Liabilities: WGO's short term assets ($564.1M) exceed its short term liabilities ($250.6M).

Long Term Liabilities: WGO's short term assets ($564.1M) exceed its long term liabilities ($519.8M).


Debt to Equity History and Analysis

Debt Level: WGO's debt to equity ratio (58%) is considered high.

Reducing Debt: Insufficient data to determine if WGO's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: WGO's debt is well covered by operating cash flow (43.2%).

Interest Coverage: WGO's interest payments on its debt are well covered by EBIT (6.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Winnebago Industries's current dividend yield, its reliability and sustainability?

1.23%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: WGO's dividend (1.23%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.89%).

High Dividend: WGO's dividend (1.23%) is low compared to the top 25% of dividend payers in the US market (5.26%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, WGO has been paying a dividend for less than 10 years.

Growing Dividend: WGO's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (14.2%), WGO's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.6yrs

Average management tenure


CEO

Mike Happe (48yo)

4.25s

Tenure

US$2,775,830

Compensation

Mr. Michael J. Happe, also known as Mike, has been the Chief Executive Officer and President of Winnebago Industries, Inc. since January 18, 2016. Prior to joining Winnebago, he had been employed by The To ...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD2.78M) is below average for companies of similar size in the US market ($USD4.69M).

Compensation vs Earnings: Mike's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Michael Happe
CEO, President & Director4.25yrsUS$2.78m0.16% $1.9m
Bryan Hughes
CFO, VP of Finance2.92yrsUS$1.12m0.056% $670.2k
Stacy Bogart
VP, General Counsel & Corporate Secretary2.25yrsUS$968.30k0.013% $160.2k
Donald Clark
President of Grand Design & VPno dataUS$5.56m2.27% $27.3m
Brian Hazelton
VP & GM of Motorhome Business Unit3.67yrsUS$1.09m0.045% $548.2k
Christopher West
Vice President of Operations3.58yrsno data0.030% $358.6k
Bret Woodson
Vice President of Administration5.25yrsno data0.075% $905.4k
Steven Stuber
Director of Investor Relations & Financial Planning and Analysisno datano datano data
Stephen Heese
President of Chris-Craft1.25yrsno datano data
Steven Degnan
VP & GM of Towables Business3.83yrsUS$1.24m0.082% $990.5k

3.6yrs

Average Tenure

52yo

Average Age

Experienced Management: WGO's management team is considered experienced (3.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael Happe
CEO, President & Director4.25yrsUS$2.78m0.16% $1.9m
John Murabito
Independent Director3yrsUS$175.01k0.020% $244.6k
Robert Chiusano
Independent Director11.5yrsUS$201.67k0.082% $990.7k
Richard Moss
Independent Director3.17yrsUS$180.01k0.024% $291.1k
Christopher Braun
Independent Director4.33yrsUS$170.01k0.044% $527.1k
Sara Armbruster
Director0.33yrno datano data
William Fisher
Independent Director4.92yrsUS$175.01k0.059% $706.0k
David Miles
Independent Chairman of the Board0.83yrUS$182.30k0.029% $348.3k
Maria Blase
Independent Director1.58yrsUS$166.26k0.0089% $107.2k

3.2yrs

Average Tenure

60yo

Average Age

Experienced Board: WGO's board of directors are considered experienced (3.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: WGO insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Winnebago Industries, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Winnebago Industries, Inc.
  • Ticker: WGO
  • Exchange: NYSE
  • Founded: 1958
  • Industry: Automobile Manufacturers
  • Sector: Automobiles
  • Market Cap: US$1.205b
  • Shares outstanding: 33.70m
  • Website: https://www.winnebagoind.com

Number of Employees


Location

  • Winnebago Industries, Inc.
  • P.O. Box 152
  • Forest City
  • Iowa
  • 50436
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WGONYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1969
WI1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1969
WI1BRSE (Berne Stock Exchange)YesCommon StockCHCHFJan 1969

Biography

Winnebago Industries, Inc. manufactures and sells recreation vehicles and marine products primarily for use in leisure travel and outdoor recreation activities. The company operates in five segments: Grand Design Towables, Winnebago Towables, Winnebago Motorhomes, Chris-Craft Marine, and Winnebago Specialty Vehicles. It provides towable products that are non-motorized vehicles to be towed by automobiles, pickup trucks, SUVs, or vans for use as temporary living quarters for recreational travel, such as conventional travel trailers and fifth wheels under the Winnebago and Grand Design brand names; and other outdoor lifestyle products under the Chris-Craft brand name. The company also offers motorhomes, which are self-propelled mobile dwellings used primarily as temporary living quarters during vacation and camping trips, or to support active and mobile lifestyles under the Winnebago brand name. In addition, it offers other specialty commercial vehicles for law enforcement command centers, mobile medical clinics, and mobile office spaces; commercial vehicles as bare shells to third-party up fitters; and boats in the recreational powerboat industry. Further, the company is involved in the original equipment manufacturing of parts for other manufacturers and commercial vehicles. The company sells its products primarily through independent dealers in the United States and Canada. Winnebago Industries, Inc. was founded in 1958 and is based in Forest City, Iowa. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/10 00:22
End of Day Share Price2020/04/09 00:00
Earnings2020/02/29
Annual Earnings2019/08/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.