Smith & Wesson Brands, Inc.

NasdaqGS:SWBI Stock Report

Market Cap: US$463.8m

Smith & Wesson Brands Valuation

Is SWBI undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SWBI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$3.94
Fair Value
169.4% overvalued intrinsic discount
3
Number of Analysts

Below Fair Value: SWBI ($10.61) is trading above our estimate of fair value ($3.94)

Significantly Below Fair Value: SWBI is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for SWBI?

Key metric: As SWBI is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SWBI. This is calculated by dividing SWBI's market cap by their current earnings.
What is SWBI's PE Ratio?
PE Ratio13x
EarningsUS$36.02m
Market CapUS$463.79m

Price to Earnings Ratio vs Peers

How does SWBI's PE Ratio compare to its peers?

The above table shows the PE ratio for SWBI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average30.1x
RGR Sturm Ruger
19.7xn/aUS$598.6m
MPX Marine Products
18.4xn/aUS$320.7m
JAKK JAKKS Pacific
10.9x11.2%US$356.7m
SWIM Latham Group
71.4x27.7%US$817.5m
SWBI Smith & Wesson Brands
13x0.09%US$463.8m

Price-To-Earnings vs Peers: SWBI is good value based on its Price-To-Earnings Ratio (13x) compared to the peer average (30.1x).


Price to Earnings Ratio vs Industry

How does SWBI's PE Ratio compare vs other companies in the Global Leisure Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
SWBI 13.0xIndustry Avg. 18.6xNo. of Companies13PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SWBI is good value based on its Price-To-Earnings Ratio (13x) compared to the Global Leisure industry average (19.5x).


Price to Earnings Ratio vs Fair Ratio

What is SWBI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SWBI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13x
Fair PE Ratio8.8x

Price-To-Earnings vs Fair Ratio: SWBI is expensive based on its Price-To-Earnings Ratio (13x) compared to the estimated Fair Price-To-Earnings Ratio (8.8x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst SWBI forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$10.61
US$15.33
+44.5%
21.5%US$20.00US$13.00n/a3
Jan ’26US$10.11
US$15.33
+51.7%
21.5%US$20.00US$13.00n/a3
Dec ’25US$13.58
US$18.67
+37.5%
5.1%US$20.00US$18.00n/a3
Nov ’25US$13.16
US$18.67
+41.8%
5.1%US$20.00US$18.00n/a3
Oct ’25US$12.88
US$18.67
+44.9%
5.1%US$20.00US$18.00n/a3
Jun ’25US$16.77
US$18.00
+7.3%
9.1%US$20.00US$16.00n/a3
May ’25US$16.80
US$18.00
+7.1%
9.1%US$20.00US$16.00n/a3
Apr ’25US$17.28
US$18.00
+4.2%
9.1%US$20.00US$16.00n/a3
Mar ’25US$13.56
US$16.17
+19.2%
16.8%US$20.00US$14.00n/a3
Feb ’25US$13.38
US$16.17
+20.8%
16.8%US$20.00US$14.00US$10.493
Jan ’25US$13.56
US$16.17
+19.2%
16.8%US$20.00US$14.00US$10.113
Dec ’24US$13.91
US$15.17
+9.0%
22.9%US$20.00US$12.00US$13.583
Nov ’24US$14.61
US$15.17
+3.8%
22.9%US$20.00US$12.00US$13.163
Oct ’24US$12.91
US$15.17
+17.5%
22.9%US$20.00US$12.00US$12.883
Sep ’24US$11.71
US$15.17
+29.5%
22.9%US$20.00US$12.00US$14.743
Aug ’24US$12.60
US$15.17
+20.4%
22.9%US$20.00US$12.00US$16.233
Jul ’24US$13.04
US$15.17
+16.3%
22.9%US$20.00US$12.00US$14.163
Jun ’24US$11.61
US$15.17
+30.6%
22.9%US$20.00US$12.00US$16.773
May ’24US$12.08
US$15.17
+25.6%
22.9%US$20.00US$12.00US$16.803
Apr ’24US$12.31
US$15.17
+23.2%
22.9%US$20.00US$12.00US$17.283
Mar ’24US$10.70
US$15.17
+41.7%
22.9%US$20.00US$12.00US$13.563
Feb ’24US$11.25
US$15.17
+34.8%
22.9%US$20.00US$12.00US$13.383
Analyst Price Target
Consensus Narrative from 3 Analysts
US$15.33
Fair Value
30.8% undervalued intrinsic discount
3
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/06 12:06
End of Day Share Price 2025/02/06 00:00
Earnings2024/10/31
Annual Earnings2024/04/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Smith & Wesson Brands, Inc. is covered by 19 analysts. 3 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Rommel DionisioAegis Capital Corporation
Bret JordanAvondale Partners
Ronald BookbinderBenchmark Company