Winnebago Industries Return On Equity vs. Profit Margin

WGO Stock  USD 61.10  2.17  3.68%   
Based on Winnebago Industries' profitability indicators, Winnebago Industries may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in December. Profitability indicators assess Winnebago Industries' ability to earn profits and add value for shareholders.
 
Return On Equity  
First Reported
2010-12-31
Previous Quarter
0.01020969
Current Value
0.009699
Quarterly Volatility
0.07342942
 
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Covid
At this time, Winnebago Industries' Days Sales Outstanding is very stable compared to the past year. As of the 26th of November 2024, Sales General And Administrative To Revenue is likely to grow to 0.07, while Price To Sales Ratio is likely to drop 0.58. At this time, Winnebago Industries' Income Before Tax is very stable compared to the past year. As of the 26th of November 2024, Net Income Applicable To Common Shares is likely to grow to about 260.7 M, while Accumulated Other Comprehensive Income is likely to drop (483 K).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.140.1458
Sufficiently Down
Slightly volatile
Net Profit Margin0.00420.0044
Notably Down
Slightly volatile
Operating Profit Margin0.03050.0337
Moderately Down
Pretty Stable
Pretax Profit Margin0.01230.0129
Sufficiently Down
Pretty Stable
Return On Assets0.00520.0055
Notably Down
Slightly volatile
Return On Equity0.00970.0102
Notably Down
Slightly volatile
For Winnebago Industries profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Winnebago Industries to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Winnebago Industries utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Winnebago Industries's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Winnebago Industries over time as well as its relative position and ranking within its peers.
  
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Is Automobile Manufacturers space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Winnebago Industries. If investors know Winnebago will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Winnebago Industries listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.44)
Dividend Share
1.24
Earnings Share
0.44
Revenue Per Share
101.832
Quarterly Revenue Growth
(0.07)
The market value of Winnebago Industries is measured differently than its book value, which is the value of Winnebago that is recorded on the company's balance sheet. Investors also form their own opinion of Winnebago Industries' value that differs from its market value or its book value, called intrinsic value, which is Winnebago Industries' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Winnebago Industries' market value can be influenced by many factors that don't directly affect Winnebago Industries' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Winnebago Industries' value and its price as these two are different measures arrived at by different means. Investors typically determine if Winnebago Industries is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Winnebago Industries' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Winnebago Industries Profit Margin vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Winnebago Industries's current stock value. Our valuation model uses many indicators to compare Winnebago Industries value to that of its competitors to determine the firm's financial worth.
Winnebago Industries is rated below average in return on equity category among its peers. It also is rated below average in profit margin category among its peers fabricating about  0.45  of Profit Margin per Return On Equity. The ratio of Return On Equity to Profit Margin for Winnebago Industries is roughly  2.23 . At this time, Winnebago Industries' Return On Equity is very stable compared to the past year. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Winnebago Industries' earnings, one of the primary drivers of an investment's value.

Winnebago Profit Margin vs. Return On Equity

Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Winnebago Industries

Return On Equity

 = 

Net Income

Total Equity

 = 
0.0098
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.

Winnebago Industries

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
0 %
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.

Winnebago Profit Margin Comparison

Winnebago Industries is currently under evaluation in profit margin category among its peers.

Winnebago Industries Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Winnebago Industries, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Winnebago Industries will eventually generate negative long term returns. The profitability progress is the general direction of Winnebago Industries' change in net profit over the period of time. It can combine multiple indicators of Winnebago Industries, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-460 K-483 K
Operating Income100.2 M77.8 M
Income Before Tax38.4 M73.6 M
Total Other Income Expense Net-61.8 M-58.7 M
Net Income13 M12.3 M
Income Tax Expense25.4 M19.6 M
Net Income Applicable To Common Shares248.3 M260.7 M
Net Income From Continuing Ops13 M12.3 M
Non Operating Income Net Other-24.7 M-23.5 M
Interest Income23.6 M26.5 M
Net Interest Income-21.1 M-22.2 M
Change To Netincome19 M19.9 M
Net Income Per Share 0.45  0.42 
Income Quality 11.07  11.62 
Net Income Per E B T 0.34  0.32 

Winnebago Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Winnebago Industries. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Winnebago Industries position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Winnebago Industries' important profitability drivers and their relationship over time.

Use Winnebago Industries in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Winnebago Industries position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Winnebago Industries will appreciate offsetting losses from the drop in the long position's value.

Winnebago Industries Pair Trading

Winnebago Industries Pair Trading Analysis

The ability to find closely correlated positions to Winnebago Industries could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Winnebago Industries when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Winnebago Industries - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Winnebago Industries to buy it.
The correlation of Winnebago Industries is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Winnebago Industries moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Winnebago Industries moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Winnebago Industries can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Winnebago Industries position

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When determining whether Winnebago Industries offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Winnebago Industries' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Winnebago Industries Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Winnebago Industries Stock:
Check out Your Current Watchlist.
To learn how to invest in Winnebago Stock, please use our How to Invest in Winnebago Industries guide.
You can also try the Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
To fully project Winnebago Industries' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Winnebago Industries at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Winnebago Industries' income statement, its balance sheet, and the statement of cash flows.
Potential Winnebago Industries investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Winnebago Industries investors may work on each financial statement separately, they are all related. The changes in Winnebago Industries's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Winnebago Industries's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.