American firearms manufacturer Smith & Wesson (NASDAQ:SWBI) will be announcing earnings results tomorrow after market close. Here’s what investors should know.
Smith & Wesson missed analysts’ revenue expectations by 2.9% last quarter, reporting revenues of $129.7 million, up 3.8% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ EPS estimates.
Is Smith & Wesson a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Smith & Wesson’s revenue to decline 13.1% year on year to $119.5 million, a reversal from the 6.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.02 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Smith & Wesson has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Smith & Wesson’s peers in the leisure products segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Malibu Boats’s revenues decreased 5.1% year on year, beating analysts’ expectations by 4.8%, and Acushnet reported revenues up 7.8%, falling short of estimates by 2.1%. Malibu Boats’s stock price was unchanged after the results, while Acushnet was down 2.8%.
Read our full analysis of Malibu Boats’s results here and Acushnet’s results here.
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