Winnebago Industries (WGO) saw its stock price plummet 5.14% in pre-market trading on Friday following the release of its second quarter fiscal 2025 earnings report and reduced full-year guidance. The recreational vehicle manufacturer cited weakening consumer sentiment and ongoing challenges in the RV industry as key factors behind the outlook revision.

In its earnings call, Winnebago lowered its fiscal 2025 adjusted EPS guidance to a range of $2.75 to $3.75 per diluted share, down from the previous forecast of $3.10 to $4.40. The company also reduced its consolidated revenue forecast to between $2.8 billion and $3 billion, compared to the earlier projection of $2.9 billion to $3.2 billion. Management attributed the guidance cut primarily to reduced consumer confidence and sentiment, as well as ongoing soft retail conditions in the RV market.

Investors are also weighing potential impacts from proposed tariffs on motorized chassis imported from Mexico, which could affect Winnebago's cost structure. While the company is working to mitigate these potential cost increases through supplier negotiations and possible resourcing to U.S.-based operations, uncertainty remains. Despite these challenges, Winnebago highlighted positive developments, including market share gains in key segments and the successful launch of new products like the Grand Design Motorhome Lineage lineup. The company remains focused on operational efficiency improvements and strategic product innovation to navigate the current market environment.