Winnebago Industries crushed analyst expectations with its fourth-quarter results. Management still sees speed bumps ahead, though.
Shares of Winnebago Industries (WGO +28.43%) took a victory lap on Wednesday, rising as much as 29% thanks to a strong earnings report. By 12:30 p.m. ET, the motor home manufacturer had slowed down slightly to a 25.7% gain.
Today’s Change
(28.43%) $8.99
Current Price
$40.61
Key Data Points
Market Cap
$1B
Day’s Range
$36.03 – $40.85
52wk Range
$28.00 – $65.65
Volume
2.9M
Avg Vol
521K
Gross Margin
12.30%
Dividend Yield
0.04%
Winnebago beat the Street by a country mile
In the fourth quarter of fiscal year 2025, Winnebago’s net sales rose 7.8% year over year to $777 million. Adjusted earnings jumped 154% higher, landing at $0.71 per diluted share. Your average analyst firm would have settled for earnings near $0.51 per share on revenues in the neighborhood of $725 million.
Image source: Getty Images.
Watch out for potholes in the road ahead
Winnebago’s results have been hit-and-miss in recent years, with four earnings misses and five negative revenue surprises in the last six reports. Today’s strong showing was a welcome break from these disappointing trends. That said, Winnebago shares still trade 39% below their 52-week highs, and that’s after accounting for Wednesday’s sudden surge.
The company isn’t out of the woods yet, either. Winnebago’s profit margins are paper-thin, and the company is seeking ways to avoid costly tariff charges. It’s unclear exactly how heavy that burden is, but Winnebago’s management looks prepared to deal with the macroeconomic pressure on its RV-component supply chain.
“We’re never comfortable with tariffs, but unfortunately, we’ve gotten better at managing it, and we just have to do that every day now as part of our business model,” CEO Michael Happe said on the earnings call.
Anders Bylund has no position in any of the stocks mentioned. The Motley Fool recommends Winnebago Industries. The Motley Fool has a disclosure policy.