As of today (2026-07-02), Winnebago Industries's weighted average cost of capital is 10.91%%. Winnebago Industries's ROIC % is 3.33% (calculated using TTM income statement data).
Winnebago Industries earns returns that do not match up to its cost of capital. It will destroy value as it grows.
For a comprehensive WACC calculation, please access the WACC Calculator.
Winnebago Industries (FRA:WI1) WACC % Explanation
Because it costs money to raise capital. A firm that generates higher ROIC % than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.
As of today, Winnebago Industries's weighted average cost of capital is 10.91%%. Winnebago Industries's ROIC % is 3.33% (calculated using TTM income statement data).
Winnebago Industries earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Be Aware
1. GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding latest one-year quarterly average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together.
For companies that report quarterly, GuruFocus combines all of the most recent year's quarterly debt data from the beginning of the year to the year-end and calculates the average.
For companies that report semi-annually, GuruFocus combines all of the most recent year's semi-annual debt data from the start of the year to the year-end and calculates the average.
For companies that report annually, GuruFocus combines the beginning and ending annual debt data from the most recent year and then calculates the average.
2. The WACC formula discussed above does not include Preferred Stock. Please adjust if preferred stock is considered.
3. (Expected Return of the Market - Risk-Free Rate of Return) is also called market premium. GuruFocus requires market premium to be 6%.
4. GuruFocus uses the latest TTM Interest Expense divided by the latest one-year quarterly average debt to get the simplified cost of debt.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Recreational Vehicles subindustry, Winnebago Industries's WACC %, along with its competitors' market caps and WACC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Winnebago Industries WACC % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Winnebago Industries's WACC % distribution charts can be found below:
* The bar in red indicates where Winnebago Industries's WACC % falls into.
The weighted average cost of capital (WACC) is the rate that a company is expected to pay on average to all its security holders to finance its assets. The WACC is commonly referred to as the firm's cost of capital. Generally speaking, a company's assets are financed by debt and equity. WACC is the average of the costs of these sources of financing, each of which is weighted by its respective use in the given situation. By taking a weighted average, we can see how much interest the company has to pay for every dollar it finances.
WACC
=
E
/
(E + D)
*
Cost of Equity
+
D
/
(E + D)
*
Cost of Debt
*
(1 - Tax Rate)
1. Weights:
Generally speaking, a company's assets are financed by debt and equity. We need to calculate the weight of equity and the weight of debt.
The market value of equity (E) is also called "Market Cap". As of today, Winnebago Industries's market capitalization (E) is €771.015 Mil.
The market value of debt is typically difficult to calculate, therefore, GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding the latest one-year quarterly average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together. As of May. 2026, Winnebago Industries's latest one-year quarterly average Book Value of Debt (D) is €465.3328 Mil.
a) weight of equity = E / (E + D) = 771.015 / (771.015 + 465.3328) = 0.6236
b) weight of debt = D / (E + D) = 465.3328 / (771.015 + 465.3328) = 0.3764
2. Cost of Equity:
GuruFocus uses Capital Asset Pricing Model (CAPM) to calculate the required rate of return. The formula is:
Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected Return of the Market - Risk-Free Rate of Return)
a) GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate. It is updated daily. The current risk-free rate is 4.485%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default.
b) Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. Winnebago Industries's beta is 1.8060.
c) (Expected Return of the Market - Risk-Free Rate of Return) is also called market premium. GuruFocus requires market premium to be 6%.
Cost of Equity = 4.485% + 1.8060 * 6% = 15.321%
3. Cost of Debt:
GuruFocus uses latest TTM Interest Expense divided by the latest one-year quarterly average debt to get the simplified cost of debt.
As of May. 2026, Winnebago Industries's interest expense (positive number) was €19.613 Mil. Its total Book Value of Debt (D) is €465.3328 Mil.
Cost of Debt = 19.613 / 465.3328 = 4.2148%.
4. Multiply by one minus TTM Tax Rate:
GuruFocus uses the most recent TTM Tax Expense divided by the most recent TTM Pre-Tax Income to calculate the tax rate. The calculated TTM tax rate is limited to between 0% and 100%. If the calculated tax rate is higher than 100%, it is set to 100%. If the calculated tax rate is less than 0%, it is set to 0%.
The latest calculated TTM Tax Rate = 5.668 / 38.667 = 14.66%.
Winnebago Industries's Weighted Average Cost Of Capital (WACC) for Today is calculated as:
WACC
=
E / (E + D)
*
Cost of Equity
+
D / (E + D)
*
Cost of Debt
*
(1 - Tax Rate)
=
0.6236
*
15.321%
+
0.3764
*
4.2148%
*
(1 - 14.66%)
=
10.91%
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Winnebago Industries (FRA:WI1) has a WACC % of 10.91% as of Jul. 02, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Winnebago Industries and its competitors. This is near median its historical median of 10.33. Over the past decade, Winnebago Industries' WACC % has ranged from 7.59 to 14.69. According to the industry distribution chart, Winnebago Industries ranks #936 out of 1345 companies in the Vehicles & Parts industry, placing it in the top 69.6%.
Is Winnebago Industries' WACC % too high?
Winnebago Industries' current WACC % of 10.91% is near median its 10-year median of 10.33. Over the past 10 years, this metric has ranged from a low of 7.59 to a high of 14.69. The Vehicles & Parts industry median WACC % is 8.47. Winnebago Industries' value of 10.91% is 28.8% above this industry median. Based on the distribution chart, Winnebago Industries ranks #936 out of 1345 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Winnebago Industries has a GF Score™ of 71/100, reflecting its overall financial health beyond just this single metric.
How does Winnebago Industries' WACC % compare to MCFT and MBUU?
According to the Vehicles & Parts industry distribution chart, Winnebago Industries ranks #936 out of 1345 companies for WACC %. This places Winnebago Industries in the lower half of its industry. The industry median WACC % is 8.47. Winnebago Industries' value of 10.91% is 28.8% above this benchmark. Historically, Winnebago Industries' own WACC % has ranged from 7.59 to 14.69 over the past decade. While the company's 10-year median is 10.33 vs. the industry median of 8.47, Winnebago Industries has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good WACC % for a Vehicles & Parts company?
The median WACC % among Vehicles & Parts companies is 8.47, based on 1,345 companies in the industry. Companies in the top quartile (top 25%) have a WACC % significantly above this median, while those in the bottom quartile fall well below. However, WACC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Winnebago Industries's current WACC % of 10.91% is 28.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high WACC % mean?
A high WACC % can signal that a stock is expensive relative to its fundamentals. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Winnebago Industries and its competitors. For the Vehicles & Parts industry, the median WACC % is 8.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Winnebago Industries's current WACC % is 10.91%, which is near median its own 10-year median of 10.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Winnebago Industries stock overvalued right now?
Winnebago Industries (FRA:WI1) has a current WACC % of 10.91%. The stock's GF Value™ is €42.88, compared to a current price of €27.20 — trading 36.6% below its estimated fair value. The current WACC % is 10.91%, which is near median its 10-year median of 10.33 and 28.8% above the Vehicles & Parts industry median of 8.47. Winnebago Industries' overall GF Score™ is 71/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is WACC % calculated?
WACC % is calculated from a company's financial statements. For Winnebago Industries (FRA:WI1), the current WACC % is 10.91% as of Jul. 02, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Winnebago Industries (FRA:WI1) Overvalued in 2026?
Based on GuruFocus' analysis, Winnebago Industries stock appears to be undervalued.
The current stock price of €27.20 is trading 36.6% below its estimated GF Value™ of €42.88.
Key valuation signals for FRA:WI1:
WACC %: 10.91% (near median its 10-year median of 10.33)
GF Value™: €42.88 vs. price of €27.20 (36.6% below fair value)
Industry Position: 28.8% above the Vehicles & Parts median (#936 of 1345)
No single metric tells the full story. See the FRA:WI1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Winnebago Industries manufactures Class A, B, and C motor homes along with towables, customized specialty vehicles, boats, and parts. Headquartered in Eden Prairie, Minnesota, Winnebago has been producing recreational vehicles since 1958. Revenue was $2.8 billion in fiscal 2025. Winnebago expanded into towables in 2011 with the acquisition of SunnyBrook and acquired Grand Design in November 2016. Towables made up 84% of the firm's RV unit volume, up from 31% in fiscal 2016. The company's total fiscal 2025 RV unit volume was 36,911. Winnebago expanded into boating in 2018 with the purchase of Chris-Craft, bought premium motor home maker Newmar in November 2019, and bought Barletta pontoon boats in August 2021. It also is developing electric and autonomous technology.
71GF Score
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