Benchmark lowers Winnebago stock price target to $42 on soft demand

Published 30/06/2025, 13:50
Benchmark lowers Winnebago stock price target to $42 on soft demand

Investing.com - Benchmark has reduced its price target on Winnebago Industries (NYSE:WGO) to $42.00 from $60.00 while maintaining a Buy rating on the recreational vehicle manufacturer. The stock, currently trading near its 52-week low of $28, has declined 37% over the past six months, though InvestingPro analysis suggests the shares are undervalued at current levels.

The price target adjustment follows Winnebago’s third-quarter fiscal 2025 results, which were in line with expectations after the company had previously issued a guidance reduction earlier in June.

Benchmark attributed the lowered outlook to soft seasonal demand and continued pressure in Winnebago-branded products across the recreational vehicle segment.

The research firm noted that Winnebago currently has a product refresh underway while the industry cycle appears to be bottoming out, factors that influenced Benchmark’s decision to reset its fiscal year 2026 expectations.

Despite the significant price target reduction, Benchmark maintained its Buy rating on Winnebago stock, citing the company’s "long-term recovery potential" in the recreational vehicle market.

In other recent news, Winnebago Industries reported disappointing third-quarter earnings for fiscal 2025, with earnings per share (EPS) of $0.81, missing the forecast of $0.90, and revenue reaching $775.1 million, slightly below the expected $779.46 million. The company also revised its full-year fiscal 2025 guidance, lowering its EPS forecast to $1.20-$1.70 and revenue expectations to $2.7-$2.8 billion, down from its previous forecasts. Following these results, several analyst firms adjusted their outlooks for Winnebago. BMO Capital reduced its price target from $50 to $42, maintaining an Outperform rating, while KeyBanc lowered its target from $37 to $34, keeping an Overweight rating. Truist Securities also decreased its price target from $40 to $36, maintaining a Buy rating. Analysts cited broader macroeconomic uncertainties and challenges in Winnebago’s motorized vehicle division as contributing factors. Despite the challenges, BMO Capital expressed confidence in long-term trends for the outdoor recreation industry, while Truist noted some positive developments in market share gains.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.