Announcement • 21h
Smith & Wesson Brands, Inc., Annual General Meeting, Sep 15, 2026 Smith & Wesson Brands, Inc., Annual General Meeting, Sep 15, 2026. Valuation Update With 7 Day Price Move • Jun 24
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to US$16.74, the stock trades at a forward P/E ratio of 33x. Average forward P/E is 20x in the Leisure industry in Europe. Total returns to shareholders of 49% over the past three years. Declared Dividend • Jun 21
Fourth quarter dividend of US$0.13 announced Dividend of US$0.13 is the same as last year. Ex-date: 1st July 2026 Payment date: 15th July 2026 Dividend yield will be 3.3%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is not covered by earnings (125% earnings payout ratio). However, it is well covered by cash flows (26% cash payout ratio). The dividend has increased by an average of 17% per year over the past 6 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 39% to bring the payout ratio under control. However, EPS is expected to remain steady over the next year, which means the dividend may need to be reduced to reach a sustainable payout ratio. Reported Earnings • Jun 20
Full year 2026 earnings released: EPS: US$0.42 (vs US$0.30 in FY 2025) Full year 2026 results: EPS: US$0.42 (up from US$0.30 in FY 2025). Revenue: US$523.8m (up 10% from FY 2025). Net income: US$18.5m (up 38% from FY 2025). Profit margin: 3.5% (up from 2.8% in FY 2025). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Announcement • Jun 19
Smith & Wesson Brands, Inc. announces Quarterly dividend, payable on July 15, 2026 Smith & Wesson Brands, Inc. announced Quarterly dividend of USD 0.1300 per share payable on July 15, 2026, ex-date on July 01, 2026 and record date on July 01, 2026. Announcement • Jun 05
Smith & Wesson Brands, Inc. to Report Q4, 2026 Results on Jun 17, 2026 Smith & Wesson Brands, Inc. announced that they will report Q4, 2026 results After-Market on Jun 17, 2026 Buy Or Sell Opportunity • May 14
Now 25% overvalued after recent price rise Over the last 90 days, the stock has risen 28% to US$15.03. The fair value is estimated to be US$12.05, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 2.6% over the last 3 years. Earnings per share has declined by 42%. Revenue is forecast to grow by 5.9% in a year. Earnings are forecast to grow by 78% in the next year. Declared Dividend • Mar 16
Third quarter dividend of US$0.13 announced Dividend of US$0.13 is the same as last year. Ex-date: 19th March 2026 Payment date: 2nd April 2026 Dividend yield will be 3.8%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is not covered by earnings (212% earnings payout ratio). However, it is well covered by cash flows (43% cash payout ratio). The dividend has increased by an average of 17% per year over the past 6 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 135% to bring the payout ratio under control. EPS is expected to grow by 59% over the next year, which means the dividend may need to be reduced to reach a sustainable payout ratio. Valuation Update With 7 Day Price Move • Mar 12
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to US$13.97, the stock trades at a forward P/E ratio of 32x. Average forward P/E is 19x in the Leisure industry in Europe. Total returns to shareholders of 45% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at US$11.50 per share. Announcement • Mar 07
Smith & Wesson Brands, Inc. announces Quarterly dividend, payable on April 02, 2026 Smith & Wesson Brands, Inc. announced Quarterly dividend of USD 0.1300 per share payable on April 02, 2026, ex-date on March 19, 2026 and record date on March 19, 2026. Buy Or Sell Opportunity • Mar 07
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 28% to US$13.82. The fair value is estimated to be US$11.36, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 2.6% over the last 3 years. Earnings per share has declined by 42%. Revenue is forecast to grow by 3.5% in a year. Earnings are forecast to grow by 70% in the next year. Reported Earnings • Mar 06
Third quarter 2026 earnings released: EPS: US$0.084 (vs US$0.038 in 3Q 2025) Third quarter 2026 results: EPS: US$0.084 (up from US$0.038 in 3Q 2025). Revenue: US$135.7m (up 17% from 3Q 2025). Net income: US$3.75m (up 126% from 3Q 2025). Profit margin: 2.8% (up from 1.4% in 3Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 1.7% p.a. on average during the next 2 years, compared to a 6.7% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, earnings per share has fallen by 41% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Announcement • Feb 20
Smith & Wesson Brands, Inc. to Report Q3, 2026 Results on Mar 05, 2026 Smith & Wesson Brands, Inc. announced that they will report Q3, 2026 results After-Market on Mar 05, 2026 Declared Dividend • Dec 14
Second quarter dividend of US$0.13 announced Dividend of US$0.13 is the same as last year. Ex-date: 18th December 2025 Payment date: 2nd January 2026 Dividend yield will be 4.8%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is not covered by earnings (249% earnings payout ratio) nor is it covered by cash flows (109% cash payout ratio). The dividend has increased by an average of 21% per year over the past 5 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 176% to bring the payout ratio under control. EPS is expected to grow by 57% over the next year, which means the dividend may need to be reduced to reach a sustainable payout ratio. Valuation Update With 7 Day Price Move • Dec 11
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to US$11.01, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 22x in the Leisure industry in Europe. Total returns to shareholders of 42% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at US$11.44 per share. Announcement • Dec 06
Smith & Wesson Brands, Inc. announces Quarterly dividend, payable on January 02, 2026 Smith & Wesson Brands, Inc. announced Quarterly dividend of USD 0.1300 per share payable on January 02, 2026, ex-date on December 18, 2025 and record date on December 18, 2025. New Risk • Dec 06
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of British stocks, typically moving 7.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Payout ratio: 119% Cash payout ratio: 109% Minor Risks Share price has been volatile over the past 3 months (7.5% average weekly change). Profit margins are more than 30% lower than last year (2.1% net profit margin). Reported Earnings • Dec 05
Second quarter 2026 earnings released: EPS: US$0.043 (vs US$0.093 in 2Q 2025) Second quarter 2026 results: EPS: US$0.043 (down from US$0.093 in 2Q 2025). Revenue: US$124.7m (down 3.9% from 2Q 2025). Net income: US$1.92m (down 54% from 2Q 2025). Profit margin: 1.5% (down from 3.2% in 2Q 2025). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 1.6% p.a. on average during the next 2 years, compared to a 6.7% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, earnings per share has fallen by 46% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Buy Or Sell Opportunity • Nov 04
Now 21% undervalued Over the last 90 days, the stock has risen 17% to US$9.30. The fair value is estimated to be US$11.79, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 6.8% over the last 3 years. Earnings per share has declined by 54%. Revenue is forecast to decline by 1.5% in a year. Earnings are forecast to decline by 8.5% in the next year. Declared Dividend • Sep 15
First quarter dividend of US$0.13 announced Dividend of US$0.13 is the same as last year. Ex-date: 18th September 2025 Payment date: 2nd October 2025 Dividend yield will be 5.5%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is not covered by earnings (194% earnings payout ratio) and the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 21% per year over the past 5 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 115% to bring the payout ratio under control. EPS is expected to grow by 33% over the next year, which means the dividend may need to be reduced to reach a sustainable payout ratio. New Risk • Sep 11
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of British stocks, typically moving 7.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Payout ratio: 194% Paying a dividend despite having no free cash flows. Minor Risks Share price has been volatile over the past 3 months (7.1% average weekly change). Profit margins are more than 30% lower than last year (2.5% net profit margin). Valuation Update With 7 Day Price Move • Sep 11
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to US$9.43, the stock trades at a forward P/E ratio of 40x. Average forward P/E is 23x in the Leisure industry in Europe. Total loss to shareholders of 9.7% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at US$10.25 per share. Reported Earnings • Sep 05
First quarter 2026 earnings released: US$0.077 loss per share (vs US$0.046 loss in 1Q 2025) First quarter 2026 results: US$0.077 loss per share (further deteriorated from US$0.046 loss in 1Q 2025). Revenue: US$85.1m (down 3.7% from 1Q 2025). Net loss: US$3.41m (loss widened 62% from 1Q 2025). Revenue is forecast to grow 2.0% p.a. on average during the next 2 years, compared to a 5.9% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, earnings per share has fallen by 55% per year but the company’s share price has only fallen by 10% per year, which means it has not declined as severely as earnings. Announcement • Aug 22
Smith & Wesson Brands, Inc. to Report Q1, 2026 Results on Sep 04, 2025 Smith & Wesson Brands, Inc. announced that they will report Q1, 2026 results After-Market on Sep 04, 2025 Announcement • Aug 06
Smith & Wesson Brands, Inc., Annual General Meeting, Sep 15, 2025 Smith & Wesson Brands, Inc., Annual General Meeting, Sep 15, 2025. Declared Dividend • Jun 30
Fourth quarter dividend of US$0.13 announced Dividend of US$0.13 is the same as last year. Ex-date: 7th July 2025 Payment date: 21st July 2025 Dividend yield will be 6.1%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is not covered by earnings (172% earnings payout ratio) and the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 21% per year over the past 5 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 91% to bring the payout ratio under control. EPS is expected to grow by 63% over the next 2 years, which means the dividend may need to be reduced to reach a sustainable payout ratio. Buy Or Sell Opportunity • Jun 20
Now 33% undervalued after recent price drop Over the last 90 days, the stock has fallen 7.6% to US$8.83. The fair value is estimated to be US$13.22, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 13% over the last 3 years. Earnings per share has declined by 68%. Revenue is forecast to decline by 8.5% in a year. Earnings are forecast to decline by 87% in the next year. Announcement • Jun 20
Smith & Wesson Brands, Inc. Declares Quarterly Cash Dividend, Payable on July 21, 2025 Consistent with capital allocation strategy, the board of directors of Smith & Wesson Brands, Inc. has authorized a $0.13 per share quarterly dividend, which will be paid to stockholders of record on July 7, 2025 with payment to be made on July 21, 2025. Reported Earnings • Jun 20
Full year 2025 earnings released: EPS: US$0.30 (vs US$0.86 in FY 2024) Full year 2025 results: EPS: US$0.30 (down from US$0.86 in FY 2024). Revenue: US$474.7m (down 11% from FY 2024). Net income: US$13.4m (down 66% from FY 2024). Profit margin: 2.8% (down from 7.4% in FY 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 55 percentage points per year, which is a significant difference in performance. Announcement • Jun 07
Smith & Wesson Brands, Inc. to Report Q4, 2025 Results on Jun 19, 2025 Smith & Wesson Brands, Inc. announced that they will report Q4, 2025 results After-Market on Jun 19, 2025 Declared Dividend • Mar 17
Third quarter dividend of US$0.13 announced Shareholders will receive a dividend of US$0.13. Ex-date: 20th March 2025 Payment date: 3rd April 2025 Dividend yield will be 5.2%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (77% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 21% per year over the past 5 years and payments have been stable during that time. EPS is expected to decline by 2.5% over the next year. However, it would need to fall by 15% to increase the payout ratio to a potentially unsustainable range. New Risk • Mar 10
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 3.6% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 3.6% per year for the foreseeable future. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. New Risk • Mar 08
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 3.0% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Reported Earnings • Mar 07
Third quarter 2025 earnings released: EPS: US$0.038 (vs US$0.17 in 3Q 2024) Third quarter 2025 results: EPS: US$0.038 (down from US$0.17 in 3Q 2024). Revenue: US$115.9m (down 16% from 3Q 2024). Net income: US$1.66m (down 79% from 3Q 2024). Profit margin: 1.4% (down from 5.7% in 3Q 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 2.8% p.a. on average during the next 2 years, compared to a 7.6% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 60 percentage points per year, which is a significant difference in performance. Announcement • Feb 22
Smith & Wesson Brands, Inc. to Report Q3, 2025 Results on Mar 06, 2025 Smith & Wesson Brands, Inc. announced that they will report Q3, 2025 results After-Market on Mar 06, 2025 New Risk • Feb 20
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of British stocks, typically moving 6.9% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (430% cash payout ratio). Share price has been volatile over the past 3 months (6.9% average weekly change). New Risk • Jan 02
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of British stocks, typically moving 7.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (430% cash payout ratio). Share price has been volatile over the past 3 months (7.0% average weekly change). Declared Dividend • Dec 16
Second quarter dividend of US$0.13 announced Shareholders will receive a dividend of US$0.13. Ex-date: 19th December 2024 Payment date: 2nd January 2025 Dividend yield will be 4.6%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (63% earnings payout ratio) but not covered by cash flows (430% cash payout ratio). The dividend has increased by an average of 27% per year over the past 4 years and payments have been stable during that time. EPS is expected to grow by 1.6% over the next year, which should provide support to the dividend and adequate earnings cover. Valuation Update With 7 Day Price Move • Dec 12
Investor sentiment deteriorates as stock falls 21% After last week's 21% share price decline to US$10.94, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 14x in the Leisure industry in Europe. Total loss to shareholders of 33% over the past three years. Reported Earnings • Dec 06
Second quarter 2025 earnings released: EPS: US$0.093 (vs US$0.054 in 2Q 2024) Second quarter 2025 results: EPS: US$0.093 (up from US$0.054 in 2Q 2024). Revenue: US$129.7m (up 3.8% from 2Q 2024). Net income: US$4.13m (up 66% from 2Q 2024). Profit margin: 3.2% (up from 2.0% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to stay flat during the next 2 years compared to a 9.9% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 64 percentage points per year, which is a significant difference in performance. New Risk • Dec 06
New major risk - Revenue and earnings growth Earnings have declined by 13% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 13% per year over the past 5 years. Minor Risk Paying a dividend despite having no free cash flows. Announcement • Nov 22
Smith & Wesson Brands, Inc. to Report Q2, 2025 Results on Dec 05, 2024 Smith & Wesson Brands, Inc. announced that they will report Q2, 2025 results After-Market on Dec 05, 2024 Declared Dividend • Sep 16
First quarter dividend of US$0.13 announced Shareholders will receive a dividend of US$0.13. Ex-date: 19th September 2024 Payment date: 3rd October 2024 Dividend yield will be 3.8%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (65% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 27% per year over the past 4 years and payments have been stable during that time. EPS is expected to grow by 29% over the next year, which should provide support to the dividend and adequate earnings cover. New Risk • Sep 07
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of British stocks, typically moving 6.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.6% average weekly change). Reported Earnings • Sep 06
First quarter 2025 earnings released: US$0.046 loss per share (vs US$0.068 profit in 1Q 2024) First quarter 2025 results: US$0.046 loss per share (down from US$0.068 profit in 1Q 2024). Revenue: US$88.3m (down 23% from 1Q 2024). Net loss: US$2.11m (down 168% from profit in 1Q 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 66 percentage points per year, which is a significant difference in performance. Announcement • Sep 06
Smith & Wesson Brands, Inc. (NasdaqGS:SWBI) announces an Equity Buyback for $50 million worth of its shares. Smith & Wesson Brands, Inc. (NasdaqGS:SWBI) announces a share repurchase program. Under the program, the company will repurchase up to $50 million worth of its shares. Any shares of common stock repurchased under the program will be considered issued but not outstanding shares of the company’s common stock. The repurchase program is valid till September 20, 2025. Announcement • Aug 08
Smith & Wesson Brands, Inc., Annual General Meeting, Sep 17, 2024 Smith & Wesson Brands, Inc., Annual General Meeting, Sep 17, 2024. Declared Dividend • Jul 01
Fourth quarter dividend increased to US$0.13 Dividend of US$0.13 is 8.3% higher than last year. Ex-date: 11th July 2024 Payment date: 25th July 2024 Dividend yield will be 3.4%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (56% earnings payout ratio) but not covered by cash flows (106% cash payout ratio). The dividend has increased by an average of 27% per year over the past 4 years and payments have been stable during that time. EPS is expected to remain steady over the next year, which should provide adequate earnings cover for the dividend. Reported Earnings • Jun 21
Full year 2024 earnings released: EPS: US$0.86 (vs US$0.80 in FY 2023) Full year 2024 results: EPS: US$0.86 (up from US$0.80 in FY 2023). Revenue: US$535.8m (up 12% from FY 2023). Net income: US$39.6m (up 7.4% from FY 2023). Profit margin: 7.4% (down from 7.7% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 53 percentage points per year, which is a significant difference in performance. Buy Or Sell Opportunity • Jun 04
Now 21% undervalued Over the last 90 days, the stock has risen 23% to US$16.27. The fair value is estimated to be US$20.61, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 31% over the last 3 years. Earnings per share has declined by 61%. Revenue is forecast to grow by 8.8% in a year. Earnings are forecast to grow by 83% in the next year. Board Change • Jun 01
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 4 experienced directors. 2 highly experienced directors. Director Michelle Lohmeier was the last director to join the board, commencing their role in 2023. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Buy Or Sell Opportunity • May 08
Now 21% undervalued Over the last 90 days, the stock has risen 18% to US$16.00. The fair value is estimated to be US$20.31, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 31% over the last 3 years. Earnings per share has declined by 61%. Revenue is forecast to grow by 8.8% in a year. Earnings are forecast to grow by 83% in the next year. Declared Dividend • Mar 17
Third quarter dividend of US$0.12 announced Shareholders will receive a dividend of US$0.12. Ex-date: 20th March 2024 Payment date: 4th April 2024 Dividend yield will be 2.7%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (80% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 24% per year over the past 4 years and payments have been stable during that time. EPS is expected to grow by 64% over the next year, which should provide support to the dividend and adequate earnings cover. Recent Insider Transactions • Mar 14
Executive VP recently sold US$229k worth of stock On the 11th of March, Deana McPherson sold around 13k shares on-market at roughly US$17.49 per share. This transaction amounted to 15% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Deana's only on-market trade for the last 12 months. Valuation Update With 7 Day Price Move • Mar 14
Investor sentiment improves as stock rises 31% After last week's 31% share price gain to US$17.55, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 14x in the Leisure industry in Europe. Total returns to shareholders of 2.1% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at US$20.22 per share. New Risk • Mar 10
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 21% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (8.8% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (5.1% net profit margin). Announcement • Mar 10
Smith & Wesson Brands, Inc. Announces Quarterly Dividend, Payable on April 4, 2024 Smith & Wesson Brands, Inc. has authorized a $0.12 per share quarterly dividend, which will be paid to stockholders of record on March 21, 2024 with payment to be made on April 4, 2024. New Risk • Mar 08
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of British stocks, typically moving 7.8% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (7.8% average weekly change). Profit margins are more than 30% lower than last year (5.1% net profit margin). Reported Earnings • Mar 08
Third quarter 2024 earnings released: EPS: US$0.17 (vs US$0.24 in 3Q 2023) Third quarter 2024 results: EPS: US$0.17 (down from US$0.24 in 3Q 2023). Revenue: US$137.5m (up 6.5% from 3Q 2023). Net income: US$7.88m (down 29% from 3Q 2023). Profit margin: 5.7% (down from 8.6% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.1% p.a. on average during the next 2 years, compared to a 7.7% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, earnings per share has fallen by 61% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. Announcement • Feb 24
Smith & Wesson Brands, Inc. to Report Q3, 2024 Results on Mar 07, 2024 Smith & Wesson Brands, Inc. announced that they will report Q3, 2024 results After-Market on Mar 07, 2024 Reported Earnings • Dec 08
Second quarter 2024 earnings released: EPS: US$0.054 (vs US$0.21 in 2Q 2023) Second quarter 2024 results: EPS: US$0.054 (down from US$0.21 in 2Q 2023). Revenue: US$125.0m (up 3.2% from 2Q 2023). Net income: US$2.50m (down 74% from 2Q 2023). Profit margin: 2.0% (down from 8.0% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.3% p.a. on average during the next 2 years, compared to a 8.4% growth forecast for the Leisure industry in Europe. Announcement • Dec 08
Smith & Wesson Brands, Inc. Declares Quarterly Dividend, Payable on January 4, 2024 The board of directors of Smith & Wesson Brands, Inc. has authorized a $0.12 per share quarterly dividend, which will be paid to stockholders of record on December 21, 2023 with payment to be made on January 4, 2024. Announcement • Dec 06
Newman Ferrara with Congregations of Catholic Sisters File Suit Related to Smith & Wesson’s Marketing and Sale of AR-15 Assault Rifles Newman Ferrara LLP announced that a coalition of four congregations of Catholic Sisters represented by the firm filed a stockholder derivative lawsuit naming officers and directors of Smith & Wesson Brands Inc. (“Smith & Wesson” or the “Company”) for wrongdoing related to the marketing and sale of AR-15-style assault weapons. The suit, filed in the Eighth Judicial District Court, Clark County, Nevada, alleges that the defendants breached their fiduciary duty to the Company and its stockholders by knowingly and intentionally violating federal, state, and local laws, thereby exposing the Company to significant liability. In connection with the lawsuit, the congregations of Catholic Sisters released the following joint statement: As Catholic Sisters and women of faith who believe in the sanctity of life, the hearts ache at the exponential rise in gun deaths and mass shootings in the country that have ravaged the lives of so many children, women, men, their families, and communities. AR-15-style rifles, like those manufactured by Smith & Wesson, have been the weapon of choice for killers responsible for the deadliest mass shootings in American history. By design, they inflict the greatest number of casualties with maximum bodily harm in the shortest amount of time and are easily modified for automatic fire. These rifles have no purpose other than mass murder. They are not the sporting rifles that members of the own families and other responsible gun owners value. As Smith & Wesson stockholders – and long-time proponents of corporate responsibility in the environmental, social and governance policies of companies in which Newman Ferrara invest – Newman Ferrara have sponsored resolutions that provide shareholders with an understanding of the company’s practices and exposure to risk and liability regarding the manufacture of AR-15 rifles. The most recent is a resolution calling for a third-party Human Rights Impact Assessment of the company’s practices in light of the significant and costly human rights risks the company faces. While the board recommended voting against the proposal at the September 2023 shareholder meeting, 26.7% of shareholders supported it. Announcement • Sep 21
Smith & Wesson Brands, Inc. (NasdaqGS:SWBI) announces an Equity Buyback for $50 million worth of its shares. Smith & Wesson Brands, Inc. (NasdaqGS:SWBI) announces a share repurchase program. Under the program, the company will repurchase up to $50 million worth of its shares. Any shares of common stock repurchased under the program will be considered issued but not outstanding shares of the company’s common stock. The repurchase program is valid till September 19, 2024. Reported Earnings • Sep 08
First quarter 2024 earnings released: EPS: US$0.068 (vs US$0.072 in 1Q 2023) First quarter 2024 results: EPS: US$0.068 (down from US$0.072 in 1Q 2023). Revenue: US$114.2m (up 35% from 1Q 2023). Net income: US$3.12m (down 5.9% from 1Q 2023). Profit margin: 2.7% (down from 3.9% in 1Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to stay flat during the next 2 years compared to a 8.6% growth forecast for the Leisure industry in Europe. Announcement • Aug 30
John Chevedden Files an Exempt Solicitation Statement to Smith & Wesson Brands On August 29, 2023, John Chevedden filed an exempt solicitation statement soliciting proxies and urged the shareholders of Smith & Wesson Brands, Inc. to vote against proposal 5 that it calls for certain procedures and requirements ‘to be determined’ by the Board. John Chevedden added that the proposal 5 is not a real proposal because it omits critical information on the certain procedures and requirements that the Board can hide until a later date to hobble its proposal 5 so that shareholders might think they have a right to call a special shareholder meeting until they seriously consider using such a right and find the bureaucratic hurdles insurmountable. Announcement • Aug 11
Smith & Wesson Brands, Inc., Annual General Meeting, Sep 19, 2023 Smith & Wesson Brands, Inc., Annual General Meeting, Sep 19, 2023, at 10:00 US Eastern Standard Time. Agenda: To discuss the election of seven directors; to consider the advisory vote to approve executive compensation; to consider advisory vote on frequency of future say-on-pay votes; to approve ratification of appointment of Deloitte & Touche, Llp; to approve the management proposal - advisory vote to call special stockholder meeting; to approve management proposal - ratification of Nevada exclusive forum provision; to approve stockholder proposal - right to call special shareholder meeting; and to discuss stockholder proposal - human rights impact assessment. Announcement • Jul 18
Smith & Wesson Brands, Inc Appoints Michelle J. Lohmeier to the Board of Directors Smith & Wesson Brands, Inc. announced that Michelle J. Lohmeier has been appointed to the company’s board of directors. This appointment further strengthens the board’s expertise and breadth of experience. Ms. Lohmeier is a former senior advisor to the CEO of Spirit AeroSystems Holdings, Inc. She previously served as SVP and General Manager of Airbus Programs at Spirit AeroSystems until her retirement in 2019. Prior to joining Spirit AeroSystems, she held a number of senior positions with Raytheon Company, including VP of the Land Warfare Systems product line at Raytheon Missile Systems. Ms. Lohmeier is currently a member of the board of directors of Mistras Group, Inc. and Kaman Corp. She holds a bachelor’s degree and a master’s degree in systems engineering from the University of Arizona. Upcoming Dividend • Jul 05
Upcoming dividend of US$0.12 per share at 3.6% yield Eligible shareholders must have bought the stock before 12 July 2023. Payment date: 27 July 2023. Payout ratio is a comfortable 50% but the company is not cash flow positive. Trailing yield: 3.6%. Lower than top quartile of British dividend payers (6.0%). Higher than average of industry peers (2.3%). Announcement • Jun 25
Smith & Wesson Brands, Inc.(NasdaqGS:SWBI) dropped from Russell 2000 Growth Index Smith & Wesson Brands, Inc.(NasdaqGS:SWBI) dropped from Russell 2000 Growth Index Reported Earnings • Jun 23
Full year 2023 earnings released: EPS: US$0.80 (vs US$4.12 in FY 2022) Full year 2023 results: EPS: US$0.80 (down from US$4.12 in FY 2022). Revenue: US$479.2m (down 45% from FY 2022). Net income: US$36.9m (down 81% from FY 2022). Profit margin: 7.7% (down from 23% in FY 2022). The decrease in margin was driven by lower revenue. Announcement • Jun 21
Smith & Wesson Brands, Inc. to Report Q4, 2023 Results on Jun 22, 2023 Smith & Wesson Brands, Inc. announced that they will report Q4, 2023 results After-Market on Jun 22, 2023 Reported Earnings • Mar 10
Third quarter 2023 earnings released: EPS: US$0.24 (vs US$0.65 in 3Q 2022) Third quarter 2023 results: EPS: US$0.24 (down from US$0.65 in 3Q 2022). Revenue: US$129.0m (down 27% from 3Q 2022). Net income: US$11.1m (down 64% from 3Q 2022). Profit margin: 8.6% (down from 17% in 3Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 3.3% p.a. on average during the next 2 years, compared to a 8.6% growth forecast for the Leisure industry in Europe. Valuation Update With 7 Day Price Move • Dec 13
Investor sentiment deteriorated over the past week After last week's 23% share price decline to US$9.25, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 15x in the Leisure industry in Europe. Total returns to shareholders of 5.8% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at US$5.25 per share. Upcoming Dividend • Dec 12
Upcoming dividend of US$0.10 per share Eligible shareholders must have bought the stock before 19 December 2022. Payment date: 03 January 2023. Payout ratio is a comfortable 21% but the company is not cash flow positive. Trailing yield: 4.3%. Lower than top quartile of British dividend payers (5.7%). Higher than average of industry peers (2.9%). Reported Earnings • Dec 07
Second quarter 2023 earnings released: EPS: US$0.21 (vs US$1.06 in 2Q 2022) Second quarter 2023 results: EPS: US$0.21 (down from US$1.06 in 2Q 2022). Revenue: US$121.0m (down 48% from 2Q 2022). Net income: US$9.65m (down 81% from 2Q 2022). Profit margin: 8.0% (down from 22% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 4.2% p.a. on average during the next 2 years, compared to a 7.5% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, earnings per share has increased by 44% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Reported Earnings • Sep 09
First quarter 2023 earnings released: EPS: US$0.072 (vs US$1.59 in 1Q 2022) First quarter 2023 results: EPS: US$0.072 (down from US$1.59 in 1Q 2022). Revenue: US$84.4m (down 69% from 1Q 2022). Net income: US$3.31m (down 96% from 1Q 2022). Profit margin: 3.9% (down from 28% in 1Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 1.3% p.a. on average during the next 2 years, compared to a 8.2% growth forecast for the Leisure industry in Europe. Recent Insider Transactions • Jul 01
Independent Director recently sold US$78k worth of stock On the 27th of June, John Furman sold around 5k shares on-market at roughly US$15.64 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of US$17k more than they bought in the last 12 months. Reported Earnings • Jun 24
Full year 2022 earnings released: EPS: US$4.12 (vs US$4.46 in FY 2021) Full year 2022 results: EPS: US$4.12 (down from US$4.46 in FY 2021). Revenue: US$864.1m (down 18% from FY 2021). Net income: US$194.5m (down 20% from FY 2021). Profit margin: 23% (in line with FY 2021). Over the next year, revenue is expected to shrink by 22% compared to a 14% growth forecast for the industry in the United Kingdom. Buying Opportunity • Jun 14
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 8.2%. The fair value is estimated to be US$18.74, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Earnings per share has grown by 94%. Revenue is forecast to decline by 28% in a year. Earnings is forecast to decline by 49% in the next year. Valuation Update With 7 Day Price Move • May 26
Investor sentiment improved over the past week After last week's 16% share price gain to US$15.48, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 16x in the Leisure industry in Europe. Total loss to shareholders of 26% over the past year. Simply Wall St's valuation model estimates the intrinsic value at US$19.39 per share. Buying Opportunity • May 18
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 22%. The fair value is estimated to be US$18.12, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Earnings per share has grown by 94%. Revenue is forecast to decline by 28% in a year. Earnings is forecast to decline by 49% in the next year. Buying Opportunity • Apr 23
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 12%. The fair value is estimated to be US$18.07, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Earnings per share has grown by 94%. Revenue is forecast to decline by 28% in a year. Earnings is forecast to decline by 49% in the next year. Reported Earnings • Mar 05
Third quarter 2022 earnings: EPS in line with expectations, revenues disappoint Third quarter 2022 results: EPS: US$0.65 (down from US$1.13 in 3Q 2021). Revenue: US$177.7m (down 31% from 3Q 2021). Net income: US$30.5m (down 51% from 3Q 2021). Profit margin: 17% (down from 24% in 3Q 2021). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 10%. Over the next year, revenue is expected to shrink by 27% compared to a 16% growth forecast for the industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 94% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Feb 04
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 25%. The fair value is estimated to be US$21.04, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 27% per annum over the last 3 years. Earnings per share has grown by 99% per annum over the last 3 years. Buying Opportunity • Jan 13
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 19%. The fair value is estimated to be US$21.88, however is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 27% per annum over the last 3 years. Earnings per share has grown by 99% per annum over the last 3 years. Reported Earnings • Sep 02
First quarter 2022 earnings released: EPS US$1.59 (vs US$0.78 in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: US$274.6m (up 20% from 1Q 2021). Net income: US$76.9m (up 78% from 1Q 2021). Profit margin: 28% (up from 19% in 1Q 2021). The increase in margin was driven by higher revenue. Recent Insider Transactions • Jun 24
Independent Director recently sold US$277k worth of stock On the 21st of June, Barry Monheit sold around 10k shares on-market at roughly US$27.65 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of US$1.6m more than they bought in the last 12 months.