Winnebago Industries (WGO) & Its Competitors Critical Comparison

Winnebago Industries (NYSE:WGO) is one of 119 publicly-traded companies in the “Automobiles” industry, but how does it weigh in compared to its rivals? We will compare Winnebago Industries to similar businesses based on the strength of its earnings, institutional ownership, analyst recommendations, risk, profitability, dividends and valuation.

Risk and Volatility

Winnebago Industries has a beta of 1.11, meaning that its share price is 11% more volatile than the S&P 500. Comparatively, Winnebago Industries’ rivals have a beta of 0.96, meaning that their average share price is 4% less volatile than the S&P 500.

Insider & Institutional Ownership

39.2% of shares of all “Automobiles” companies are owned by institutional investors. 4.9% of Winnebago Industries shares are owned by insiders. Comparatively, 14.6% of shares of all “Automobiles” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Dividends

Winnebago Industries pays an annual dividend of $1.40 per share and has a dividend yield of 4.7%. Winnebago Industries pays out 102.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Automobiles” companies pay a dividend yield of 145.2% and pay out 7.2% of their earnings in the form of a dividend. Winnebago Industries has increased its dividend for 6 consecutive years. Winnebago Industries lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Analyst Ratings

This is a summary of recent ratings and target prices for Winnebago Industries and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Winnebago Industries	1	8	3	0	2.17
Winnebago Industries Competitors	2056	5048	6310	188	2.34

Winnebago Industries currently has a consensus target price of $36.33, suggesting a potential upside of 20.83%. As a group, “Automobiles” companies have a potential upside of 70.65%. Given Winnebago Industries’ rivals stronger consensus rating and higher possible upside, analysts clearly believe Winnebago Industries has less favorable growth aspects than its rivals.

Profitability

This table compares Winnebago Industries and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Winnebago Industries	1.36%	4.65%	2.74%
Winnebago Industries Competitors	-1,522.54%	-126.86%	-11.74%

Valuation & Earnings

This table compares Winnebago Industries and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Winnebago Industries	$2.80 billion	$25.70 million	22.11
Winnebago Industries Competitors	$53.41 billion	$1.13 billion	7.44

Winnebago Industries’ rivals have higher revenue and earnings than Winnebago Industries. Winnebago Industries is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Summary

Winnebago Industries rivals beat Winnebago Industries on 10 of the 15 factors compared.

Winnebago Industries Company Profile

Winnebago Industries, Inc. manufactures and sells recreation vehicles and marine products primarily for use in leisure travel and outdoor recreation activities. The company operates through three segments: Towable RV, Motorhome RV, and Marine. 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, fifth wheels, folding camper trailers, and truck campers under the Winnebago and Grand Design brand names. The company also offers motorhome RV, a self-propelled mobile dwelling used primarily as temporary living quarters during vacation and camping trips, or to support active and mobile lifestyles under the Winnebago and Newmar brand names. 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, as well as manufactures and sells recreational boats under the Chris-Craft and Barletta brand names. Further, the company is involved in the original equipment manufacturing of parts for other manufacturers and commercial vehicles. It sells its products primarily through independent dealers in the United States, Canada, and internationally. Winnebago Industries, Inc. was incorporated in 1958 and is based in Eden Prairie, Minnesota.