SMITH & WESSON BRANDS INC (SWBI) Stock Fundamental Analysis
NASDAQ:SWBI - US8317541063 - Common Stock
8.845 USD
+0.63 (+7.73%)
Taking everything into account, SWBI scores 4 out of 10 in our fundamental rating. SWBI was compared to 33 industry peers in the Leisure Products industry. SWBI has an average financial health and profitability rating. SWBI is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year SWBI was profitable.
In the past year SWBI has reported a negative cash flow from operations.
SWBI had positive earnings in each of the past 5 years.
SWBI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of SWBI (2.40%) is better than 69.70% of its industry peers.
SWBI's Return On Equity of 3.60% is fine compared to the rest of the industry. SWBI outperforms 72.73% of its industry peers.
SWBI's Return On Invested Capital of 3.90% is fine compared to the rest of the industry. SWBI outperforms 63.64% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SWBI is in line with the industry average of 8.10%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.4% | ||
| ROE | 3.6% | ||
| ROIC | 3.9% |
ROA(3y)5.46%
ROA(5y)22.38%
ROE(3y)7.86%
ROE(5y)34.43%
ROIC(3y)7.06%
ROIC(5y)28.78%
1.3 Margins
SWBI has a better Profit Margin (2.83%) than 75.76% of its industry peers.
SWBI's Profit Margin has declined in the last couple of years.
SWBI's Operating Margin of 5.42% is fine compared to the rest of the industry. SWBI outperforms 69.70% of its industry peers.
SWBI's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 27.62%, SWBI is in line with its industry, outperforming 45.45% of the companies in the same industry.
In the last couple of years the Gross Margin of SWBI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.42% | ||
| PM (TTM) | 2.83% | ||
| GM | 27.62% |
OM growth 3Y-45.37%
OM growth 5Y-12.94%
PM growth 3Y-49.91%
PM growth 5YN/A
GM growth 3Y-14.58%
GM growth 5Y-2.89%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SWBI is destroying value.
SWBI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SWBI has been reduced compared to 5 years ago.
Compared to 1 year ago, SWBI has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.95 indicates that SWBI is not in any danger for bankruptcy at the moment.
SWBI has a Altman-Z score of 3.95. This is in the better half of the industry: SWBI outperforms 72.73% of its industry peers.
SWBI has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.30, SWBI is in line with its industry, outperforming 45.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.95 |
ROIC/WACC0.37
WACC10.43%
2.3 Liquidity
SWBI has a Current Ratio of 4.16. This indicates that SWBI is financially healthy and has no problem in meeting its short term obligations.
SWBI has a better Current ratio (4.16) than 87.88% of its industry peers.
SWBI has a Quick Ratio of 1.31. This is a normal value and indicates that SWBI is financially healthy and should not expect problems in meeting its short term obligations.
SWBI has a Quick ratio of 1.31. This is comparable to the rest of the industry: SWBI outperforms 42.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.16 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
SWBI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -61.73%.
SWBI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -17.68% yearly.
The Revenue for SWBI has decreased by -11.41% in the past year. This is quite bad
SWBI shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.17% yearly.
EPS 1Y (TTM)-61.73%
EPS 3Y-58.09%
EPS 5Y-17.68%
EPS Q2Q%-53.49%
Revenue 1Y (TTM)-11.41%
Revenue growth 3Y-18.1%
Revenue growth 5Y-2.17%
Sales Q2Q%-11.55%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
The Revenue is expected to grow by 1.41% on average over the next years.
EPS Next Y-47.35%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-5.85%
Revenue Next 2Y1.41%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
SWBI is valuated quite expensively with a Price/Earnings ratio of 28.53.
Compared to the rest of the industry, the Price/Earnings ratio of SWBI is on the same level as its industry peers.
When comparing the Price/Earnings ratio of SWBI to the average of the S&P500 Index (27.03), we can say SWBI is valued inline with the index average.
The Price/Forward Earnings ratio is 54.20, which means the current valuation is very expensive for SWBI.
SWBI's Price/Forward Earnings ratio is in line with the industry average.
SWBI's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.63.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.53 | ||
| Fwd PE | 54.2 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SWBI indicates a rather cheap valuation: SWBI is cheaper than 96.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.87 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.48%, SWBI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.08, SWBI pays a better dividend. On top of this SWBI pays more dividend than 96.97% of the companies listed in the same industry.
SWBI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.48% |
5.2 History
SWBI has been paying a dividend for over 5 years, so it has already some track record.
SWBI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
SWBI pays out 172.02% of its income as dividend. This is not a sustainable payout ratio.
DP172.02%
EPS Next 2YN/A
EPS Next 3YN/A
NASDAQ:SWBI (9/5/2025, 9:47:06 AM)
8.845
+0.63 (+7.73%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners54.9%
Inst Owner Change-1.49%
Ins Owners1.68%
Ins Owner Change11.55%
Market Cap391.92M
Analysts80
Price Target12.24 (38.38%)
Short Float %9.01%
Short Ratio3.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.48% |
Yearly Dividend0.52
Dividend Growth(5Y)N/A
DP172.02%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-8.35%
Min EPS beat(2)-14.75%
Max EPS beat(2)-1.96%
EPS beat(4)1
Avg EPS beat(4)-12.35%
Min EPS beat(4)-34.64%
Max EPS beat(4)1.96%
EPS beat(8)5
Avg EPS beat(8)10.59%
EPS beat(12)7
Avg EPS beat(12)-1.79%
EPS beat(16)9
Avg EPS beat(16)-1.28%
Revenue beat(2)0
Avg Revenue beat(2)-7.17%
Min Revenue beat(2)-9.45%
Max Revenue beat(2)-4.9%
Revenue beat(4)0
Avg Revenue beat(4)-9.13%
Min Revenue beat(4)-15.53%
Max Revenue beat(4)-4.9%
Revenue beat(8)2
Avg Revenue beat(8)-3.28%
Revenue beat(12)4
Avg Revenue beat(12)-6.45%
Revenue beat(16)4
Avg Revenue beat(16)-6.8%
PT rev (1m)0%
PT rev (3m)-13.25%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-144.44%
EPS NY rev (1m)0%
EPS NY rev (3m)-64.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-10.48%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-9.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.53 | ||
| Fwd PE | 54.2 | ||
| P/S | 0.83 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.05 | ||
| P/tB | 1.12 | ||
| EV/EBITDA | 7.87 |
EPS(TTM)0.31
EY3.5%
EPS(NY)0.16
Fwd EY1.85%
FCF(TTM)-0.65
FCFYN/A
OCF(TTM)-0.16
OCFYN/A
SpS10.71
BVpS8.41
TBVpS7.92
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.4% | ||
| ROE | 3.6% | ||
| ROCE | 5.21% | ||
| ROIC | 3.9% | ||
| ROICexc | 4.11% | ||
| ROICexgc | 4.31% | ||
| OM | 5.42% | ||
| PM (TTM) | 2.83% | ||
| GM | 27.62% | ||
| FCFM | N/A |
ROA(3y)5.46%
ROA(5y)22.38%
ROE(3y)7.86%
ROE(5y)34.43%
ROIC(3y)7.06%
ROIC(5y)28.78%
ROICexc(3y)7.95%
ROICexc(5y)41.51%
ROICexgc(3y)8.39%
ROICexgc(5y)45.89%
ROCE(3y)9.44%
ROCE(5y)38.44%
ROICexcg growth 3Y-62.38%
ROICexcg growth 5Y-14.65%
ROICexc growth 3Y-61.94%
ROICexc growth 5Y-14.59%
OM growth 3Y-45.37%
OM growth 5Y-12.94%
PM growth 3Y-49.91%
PM growth 5YN/A
GM growth 3Y-14.58%
GM growth 5Y-2.89%
F-Score3
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.96 | ||
| Cap/Depr | 68.43% | ||
| Cap/Sales | 4.59% | ||
| Interest Coverage | 4.95 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.16 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 3.95 |
F-Score3
WACC10.43%
ROIC/WACC0.37
Cap/Depr(3y)211.36%
Cap/Depr(5y)157.33%
Cap/Sales(3y)13.44%
Cap/Sales(5y)9.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-61.73%
EPS 3Y-58.09%
EPS 5Y-17.68%
EPS Q2Q%-53.49%
EPS Next Y-47.35%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-11.41%
Revenue growth 3Y-18.1%
Revenue growth 5Y-2.17%
Sales Q2Q%-11.55%
Revenue Next Year-5.85%
Revenue Next 2Y1.41%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-50.34%
EBIT growth 3Y-55.26%
EBIT growth 5Y-14.83%
EBIT Next Year130.26%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-283.71%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-106.77%
OCF growth 3YN/A
OCF growth 5YN/A