Winnebago Industries Inc (WGO)
Financial leverage ratio
| Aug 31, 2024 | May 25, 2024 | Feb 24, 2024 | Nov 25, 2023 | Aug 26, 2023 | May 27, 2023 | Feb 25, 2023 | Nov 26, 2022 | Aug 27, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 2,384,200 | 2,425,000 | 2,433,900 | 2,368,900 | 2,432,400 | 2,412,800 | 2,445,400 | 2,394,000 | 2,416,700 | 2,427,130 | 2,309,430 | 2,206,360 | 2,062,570 | 1,979,770 | 1,855,800 | 1,780,990 | 1,713,700 | 1,533,040 | 1,571,930 | 1,553,620 |
| Total stockholders’ equity | US$ in thousands | 1,273,300 | 1,318,400 | 1,324,600 | 1,354,000 | 1,368,100 | 1,361,300 | 1,337,300 | 1,288,600 | 1,263,000 | 1,263,900 | 1,209,000 | 1,159,300 | 1,056,900 | 1,010,260 | 942,364 | 871,558 | 827,500 | 784,810 | 801,524 | 785,609 |
| Financial leverage ratio | 1.87 | 1.84 | 1.84 | 1.75 | 1.78 | 1.77 | 1.83 | 1.86 | 1.91 | 1.92 | 1.91 | 1.90 | 1.95 | 1.96 | 1.97 | 2.04 | 2.07 | 1.95 | 1.96 | 1.98 |
August 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,384,200K ÷ $1,273,300K
= 1.87
Winnebago Industries Inc has shown varying levels of financial leverage over the historical period. The financial leverage ratio has fluctuated between 1.75 to 2.07, with an average of around 1.89.
A financial leverage ratio above 1 indicates that the company is relying more on debt to finance its operations than equity. A higher ratio suggests higher financial risk due to increased debt levels, as the company may have higher interest payments and potential solvency issues in the long term.
Winnebago's financial leverage ratio has generally been above 1.8, indicating a significant reliance on debt financing. It peaked at 2.07 in Aug 28, 2020, which could have been a cause for concern as it suggests a high level of debt relative to equity.
Overall, investors and creditors should closely monitor Winnebago's financial leverage ratio to assess the company's ability to meet its debt obligations and manage financial risk effectively.
Peer comparison
Aug 31, 2024