Smith & Wesson (SWBI - Free Report) closed at $16.69 in the latest trading session, marking a -0.57% move from the prior day. This change lagged the S&P 500's daily gain of 0.01%. At the same time, the Dow added 0.39%, and the tech-heavy Nasdaq lost 0.36%.
Heading into today, shares of the firearm maker had gained 7.43% over the past month, outpacing the Consumer Discretionary sector's gain of 1.53% and the S&P 500's gain of 2.55% in that time.
SWBI will be looking to display strength as it nears its next earnings release. On that day, SWBI is projected to report earnings of $0.62 per share, which would represent year-over-year growth of 588.89%. Our most recent consensus estimate is calling for quarterly revenue of $225.30 million, up 45.93% from the year-ago period.
SWBI's full-year Zacks Consensus Estimates are calling for earnings of $2.42 per share and revenue of $819.70 million. These results would represent year-over-year changes of +195.12% and +20.83%, respectively.
Investors should also note any recent changes to analyst estimates for SWBI. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.62% higher. SWBI is currently sporting a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, SWBI is holding a Forward P/E ratio of 6.93. This represents a discount compared to its industry's average Forward P/E of 16.6.
The Leisure and Recreation Products industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 28, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow SWBI in the coming trading sessions, be sure to utilize Zacks.com.