Stifel Lowers Fox Factory (FOXF) PT to $33 Amid Lowered Q3 2025 Estimates

Fox Factory Holding Corp. (NASDAQ:FOXF) is one of the cheap stocks to buy for the next 5 years. On October 7, Stifel analyst Peter McGoldrick lowered the firm’s price target on Fox Factory to $33 from $36, while keeping a Buy rating on the shares. The firm is lowering its Street-high estimates ahead of the Q3 2025 report to reflect updates in end-markets.

In Q2 2025, Fox Factory Holding reported net sales of $375 million from growth across all three business segments. Continued investment in R&D and product innovation is strategically positioning FOXF for long-term market share gains. However, the net income for Q2 dropped to $2.7 million, which was a decrease from $5.4 million in the prior year’s period.

The most significant headwind is tariffs, which have increased costs. The CFO, Dennis Shem, noted that the pre-mitigation tariff impact increased from $38 to $50 million. The company is actively working on mitigation strategies, including supply chain optimization and relocating manufacturing processes to more favorable regions.

Fox Factory Holding Corp. (NASDAQ:FOXF) designs, engineers, manufactures, and markets performance-defining products and systems worldwide.

While we acknowledge the potential of FOXF as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.