Q3 Rundown: Brunswick (NYSE:BC) Vs Other Leisure Products Stocks

Let’s dig into the relative performance of Brunswick (NYSE:BC) and its peers as we unravel the now-completed Q3 leisure products earnings season.

Leisure products cover a wide range of goods in the consumer discretionary sector. Maintaining a strong brand is key to success, and those who differentiate themselves will enjoy customer loyalty and pricing power while those who don’t may find themselves in precarious positions due to the non-essential nature of their offerings.

The 10 leisure products stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 3.3% while next quarter’s revenue guidance was in line.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 5.7% since the latest earnings results.

Brunswick (NYSE:BC)

Formerly known as Brunswick-Balke-Collender Company, Brunswick (NYSE: BC) is a designer and manufacturer of recreational marine products, including boats, engines, and marine parts.

Brunswick reported revenues of $1.36 billion, up 6.8% year on year. This print exceeded analysts’ expectations by 8.9%. Overall, it was a strong quarter for the company with a solid beat of analysts’ revenue estimates and an impressive beat of analysts’ EBITDA estimates.

Brunswick pulled off the biggest analyst estimates beat of the whole group. The results were likely priced in, however, and the stock is flat since reporting. It currently trades at $65.43.

Is now the time to buy Brunswick? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: Harley-Davidson (NYSE:HOG)

Founded in 1903, Harley-Davidson (NYSE:HOG) is an American motorcycle manufacturer known for its heavyweight motorcycles designed for cruising on highways.

Harley-Davidson reported revenues of $1.34 billion, up 16.5% year on year, outperforming analysts’ expectations by 2.8%. The business had an exceptional quarter with a beat of analysts’ EPS and adjusted operating income estimates.

Harley-Davidson scored the fastest revenue growth among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 11.8% since reporting. It currently trades at $23.92.

Is now the time to buy Harley-Davidson? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Ruger (NYSE:RGR)

Founded in 1949, Ruger (NYSE:RGR) is an American manufacturer of firearms for the commercial sporting market.

Ruger reported revenues of $126.8 million, up 3.7% year on year, exceeding analysts’ expectations by 2.1%. Still, it was a softer quarter as it posted a significant miss of analysts’ EBITDA and EPS estimates.

As expected, the stock is down 34% since the results and currently trades at $29.02.

Read our full analysis of Ruger’s results here.

MasterCraft (NASDAQ:MCFT)

Started by a waterskiing instructor, MasterCraft (NASDAQ:MCFT) specializes in designing, manufacturing, and selling sport boats.

MasterCraft reported revenues of $69 million, up 5.6% year on year. This print beat analysts’ expectations by 3%. Overall, it was a very strong quarter as it also logged a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

MasterCraft delivered the highest full-year guidance raise among its peers. The stock is down 16.1% since reporting and currently trades at $18.00.

Read our full, actionable report on MasterCraft here, it’s free for active Edge members.

Latham (NASDAQ:SWIM)

Started as a family business, Latham (NASDAQ:SWIM) is a global designer and manufacturer of in-ground residential swimming pools and related products.

Latham reported revenues of $161.9 million, up 7.6% year on year. This number lagged analysts' expectations by 1.8%. Aside from that, it was a mixed quarter as it also recorded an impressive beat of analysts’ adjusted operating income estimates but a significant miss of analysts’ EPS estimates.

Latham had the weakest performance against analyst estimates among its peers. The stock is down 3.5% since reporting and currently trades at $6.95.

Read our full, actionable report on Latham here, it’s free for active Edge members.

Market Update

The Fed’s interest rate hikes throughout 2022 and 2023 have successfully cooled post-pandemic inflation, bringing it closer to the 2% target. Inflationary pressures have eased without tipping the economy into a recession, suggesting a soft landing. This stability, paired with recent rate cuts (0.5% in September 2024 and 0.25% in November 2024), fueled a strong year for the stock market in 2024. The markets surged further after Donald Trump’s presidential victory in November, with major indices reaching record highs in the days following the election. Still, questions remain about the direction of economic policy, as potential tariffs and corporate tax changes add uncertainty for 2025.

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