Smith & Wesson (SWBI) Q4 Earnings: What To Expect

American firearms manufacturer Smith & Wesson (NASDAQ:SWBI) will be reporting results this Thursday after market hours. Here’s what you need to know.

Smith & Wesson beat analysts’ revenue expectations last quarter, reporting revenues of $124.7 million, down 3.9% year on year. It was an exceptional quarter for the company, with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

Is Smith & Wesson a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Smith & Wesson’s revenue to grow 8.4% year on year, a reversal from the 15.7% decrease it recorded in the same quarter last year.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Smith & Wesson has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Smith & Wesson’s peers in the consumer discretionary - leisure products segment, some have already reported their Q4 results, giving us a hint as to what we can expect. MasterCraft delivered year-on-year revenue growth of 13.2%, beating analysts’ expectations by 4.1%, and Latham reported revenues up 14.5%, topping estimates by 4.4%. MasterCraft traded up 8.9% following the results.

Read our full analysis of MasterCraft’s results here and Latham’s results here.

Investors in the consumer discretionary - leisure products segment have had fairly steady hands going into earnings, with share prices down 1.6% on average over the last month. Smith & Wesson is up 6.7% during the same time and is heading into earnings with an average analyst price target of $13.50 (compared to the current share price of $11.87).

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