Winnebago (WGO) Up 29.5% Q1 2019

Winnebago reported earnings of 70 cents per share in the first quarter of fiscal 2019 (ended Nov 24, 2018), beating the Zacks Consensus Estimate of 57 cents. In the year-ago period, earnings were 57 cents a share. Net income rose 23.4% year over year to $22.2 million.

Nation’s take:

Growth has continued for Grand Design’s parent Winnebago which is good but there have been indications throughout the industry that we may see shrinking in 2019. It is yet to be seen the true impact of tarrifs and trade deals that may affect subassembly prices starting later this year may impact prices of the individual units.

Winnebago motorhome line has been diversifying adding and working on handicapped accessable, electric propulsion (EV), and expansion of the marine line in Chris-Craft. This puts Winnebago in a unique position in the recreation market.