Q3 Earnings Highs And Lows: MasterCraft (NASDAQ:MCFT) Vs The Rest Of The Leisure Products Stocks

Earnings results often indicate what direction a company will take in the months ahead. With Q3 behind us, let’s have a look at MasterCraft (NASDAQ:MCFT) and its peers.

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 12 leisure products stocks we track reported a very strong Q3. As a group, revenues beat analysts’ consensus estimates by 3.8% while next quarter’s revenue guidance was in line.

Luckily, leisure products stocks have performed well with share prices up 12.2% on average since the latest earnings results.

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 exceeded analysts’ expectations by 3%. Overall, it was a very strong quarter for the company with a beat of analysts’ EPS and EBITDA estimates.

Brad Nelson, Chief Executive Officer, commented, “We delivered results that exceeded our expectations despite continued macroeconomic uncertainty and a dynamic retail environment. Our team continues to execute our key operating initiatives and maintain disciplined cost controls, which contributed to our performance in the quarter. Dealer inventories across our brands have returned to normal levels, supported by disciplined production planning and proactive pipeline management. We remain encouraged by the positive energy and sentiment from our recent dealer meetings, bolstered by the fresh launch of our new MasterCraft X24 model, the first unveiling within our new X-family line of boats. Excitement and momentum around our brands is surging as we usher in the next generation of premium products.”

MasterCraft scored the highest full-year guidance raise of the whole group. Unsurprisingly, the stock is up 4.8% since reporting and currently trades at $22.48.

Is now the time to buy MasterCraft? Access our full analysis of the earnings results here, it’s free.

Best Q3: American Outdoor Brands (NASDAQ:AOUT)

Spun off from Smith and Wesson in 2020, American Outdoor Brands (NASDAQ:AOUT) is an outdoor and recreational products company that offers outdoor and shooting sports products but does not sell firearms themselves.

American Outdoor Brands reported revenues of $57.2 million, down 5% year on year, outperforming analysts’ expectations by 12.3%. The business had an incredible quarter with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

American Outdoor Brands delivered the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 28.7% since reporting. It currently trades at $9.94.

Is now the time to buy American Outdoor Brands? Access our full analysis of the earnings results here, it’s free.

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 12.4% since the results and currently trades at $38.50.

Read our full analysis of Ruger’s results here.

Polaris (NYSE:PII)

Founded in 1954, Polaris (NYSE:PII) designs and manufactures high-performance off-road vehicles, snowmobiles, and motorcycles.

Polaris reported revenues of $1.86 billion, up 6.6% year on year. This print topped analysts’ expectations by 3.7%. Overall, it was a very strong quarter as it also recorded a beat of analysts’ EPS and EBITDA estimates.

Polaris had the weakest full-year guidance update among its peers. The stock is flat since reporting and currently trades at $70.78.

Read our full, actionable report on Polaris here, it’s free.

Smith & Wesson (NASDAQ:SWBI)

With a history dating back to 1852, Smith & Wesson (NASDAQ:SWBI) is a firearms manufacturer known for its handguns and rifles.

Smith & Wesson reported revenues of $124.7 million, down 3.9% year on year. This result surpassed analysts’ expectations by 0.8%. It was an exceptional quarter as it also logged a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

The stock is up 24% since reporting and currently trades at $11.05.

Read our full, actionable report on Smith & Wesson here, it’s free.

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