Latest news with #SmithAndWesson
Wall Street Journal
2 days ago
- Business
- Wall Street Journal
Smith & Wesson Quarterly Results Disappoint as Tariffs, Inflation Weigh on Firearm Industry
Smith & Wesson is staring down the barrel of another challenging year as customers are cutting back their spending on firearms. The gun maker on Wednesday posted lower profit and sales in the fiscal fourth quarter, citing macroeconomic factors such as tariffs, inflation and interest rates. Waning demand has weighed on Smith & Wesson's top and bottom lines throughout the year, and the company doesn't see those trends subsiding.
Yahoo
3 days ago
- Business
- Yahoo
Earnings To Watch: Smith & Wesson (SWBI) Reports Q1 Results Tomorrow
American firearms manufacturer Smith & Wesson (NASDAQ:SWBI) will be reporting earnings this Thursday afternoon. Here's what to expect. Smith & Wesson missed analysts' revenue expectations by 3% last quarter, reporting revenues of $115.9 million, down 15.7% year on year. It was a slower quarter for the company, with EPS in line with analysts' estimates. Is Smith & Wesson a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Smith & Wesson's revenue to decline 4.2% year on year to $152.4 million, a reversal from the 9.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.23 per share. 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 three times over the last two years. Looking at Smith & Wesson's peers in the leisure products segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Latham posted flat year-on-year revenue, meeting analysts' expectations, and Malibu Boats reported revenues up 12.4%, topping estimates by 2.4%. Latham's stock price was unchanged after the resultswhile Malibu Boats was down 1%. Read our full analysis of Latham's results here and Malibu Boats's results here. The outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. While some of the leisure products stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.9% on average over the last month. Smith & Wesson is up 9.2% during the same time and is heading into earnings with an average analyst price target of $13.83 (compared to the current share price of $10.65). Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Earnings To Watch: Smith & Wesson (SWBI) Reports Q1 Results Tomorrow
American firearms manufacturer Smith & Wesson (NASDAQ:SWBI) will be reporting earnings this Thursday afternoon. Here's what to expect. Smith & Wesson missed analysts' revenue expectations by 3% last quarter, reporting revenues of $115.9 million, down 15.7% year on year. It was a slower quarter for the company, with EPS in line with analysts' estimates. Is Smith & Wesson a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Smith & Wesson's revenue to decline 4.2% year on year to $152.4 million, a reversal from the 9.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.23 per share. 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 three times over the last two years. Looking at Smith & Wesson's peers in the leisure products segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Latham posted flat year-on-year revenue, meeting analysts' expectations, and Malibu Boats reported revenues up 12.4%, topping estimates by 2.4%. Latham's stock price was unchanged after the resultswhile Malibu Boats was down 1%. Read our full analysis of Latham's results here and Malibu Boats's results here. The outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. While some of the leisure products stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.9% on average over the last month. Smith & Wesson is up 9.2% during the same time and is heading into earnings with an average analyst price target of $13.83 (compared to the current share price of $10.65). Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.
Al Jazeera
05-06-2025
- Business
- Al Jazeera
Supreme Court strikes down Mexico's lawsuit against US gun manufacturers
The United States Supreme Court has rejected a lawsuit from the government of Mexico that argued American gun manufacturers like Smith & Wesson failed to prevent illegal firearm sales to cartels and criminal organisations. In one of a slew of decisions handed down on Thursday, the top court decided that the Protection of Lawful Commerce in Arms Act shielded the gun manufacturers from Mexico's suit. The court's decision was unanimous. Writing for the nine-member bench, Justice Elena Kagan explained that even 'indifference' to the trafficking of firearms does not amount to willfully assisting a criminal enterprise. 'Mexico's complaint does not plausibly allege that the defendant manufacturers aided and abetted gun dealers' unlawful sales of firearms to Mexican traffickers,' Kagan wrote (PDF). 'We have little doubt that, as the complaint asserts, some such sales take place — and that the manufacturers know they do. But still, Mexico has not adequately pleaded what it needs to: that the manufacturers 'participate in' those sales.' The Mexican government's complaint, she added, 'does not pinpoint, as most aiding-and-abetting claims do, any specific criminal transactions that the defendants (allegedly) assisted'. The case stems from a complaint filed in August 2021 in a federal court in Boston, Massachusetts. In that initial complaint, the Mexican government — then led by President Andres Manuel Lopez Obrador — argued that the sheer volume of firearms illegally smuggled into its country amounted to negligence on the part of gun manufacturers. Those firearms, it said, had exacted a devastating toll on Mexican society. The country has some of the highest homicide rates in the world, with the United Nations estimating in 2023 that nearly 25 intentional killings happen for every 100,000 people. Much of that crime has been credited to the presence of cartels and other criminal enterprises operating in Mexico. The Igarape Institute, a Brazil-based think tank, estimated that Mexico's crime cost the country nearly 1.92 percent of its gross domestic product (GDP) from 2010 to 2014. The US is the largest arms manufacturer in the world — and also the largest source of illegally sourced firearms. The stream of firearms that pour into Mexico and the broader Latin America region, for instance, has been dubbed the 'iron river'. Nearly 70 percent of the illegal guns seized in Mexico from 2014 to 2018, for instance, were traced to origins in the US, according to the Department of Justice. That has led countries like Mexico to demand action from the US to limit the number of firearms trafficked abroad. In its lawsuit, Mexico targeted some of the biggest names in gun manufacturing in the US: not just Smith & Wesson, but also companies like Beretta USA, Glock Inc and Colt's Manufacturing LLC. But the firearm companies pushed back against the lawsuit, arguing they could not be held responsible for the actions of criminals in another country. The Supreme Court itself cast doubt on some of Mexico's arguments, including the idea that the gun manufacturers designed and marketed their products specifically for cartel buyers. 'Mexico focuses on production of 'military style' assault weapons, but these products are widely legal and purchased by ordinary consumers. Manufacturers cannot be charged with assisting criminal acts simply because Mexican cartel members also prefer these guns,' Justice Kagan wrote. 'The same applies to firearms with Spanish language names or graphics alluding to Mexican history,' she added. 'While they may be 'coveted by the cartels,' they also may appeal to 'millions of law-abiding Hispanic Americans.'' On Thursday, an industry trade group, the National Shooting Sports Foundation (NSSF), celebrated the Supreme Court's decision as a 'tremendous victory' against an unfair charge. It had filed an amicus brief in support of the defendants in the case. 'For too long, gun control activists have attempted to twist basic tort law to malign the highly-regulated U.S. firearm industry with the criminal actions of violent organized crime, both here in the United States and abroad,' the group's senior vice president, Lawrence G Keane, said in a statement. Keane added that he and others in the firearm industry felt 'sympathetic to plight of those in Mexico who are victims of rampant and uncontrolled violence at the hands of narco-terrorist drug cartels'. But he said the issue was about 'responsible firearm ownership', not the actions of gun manufacturers.
The Guardian
05-06-2025
- Business
- The Guardian
Supreme court strikes down Mexican government's suit against US gunmakers
The US supreme court on Thursday spared two American gun companies from a lawsuit by Mexico's government accusing them of aiding illegal firearms trafficking to drug cartels and fueling gun violence on the south side of the US-Mexico border. The justices, in a unanimous ruling, overturned a lower court's decision that had allowed the lawsuit to proceed against firearms maker Smith & Wesson and distributor Interstate Arms. The lower court had found that Mexico plausibly alleged that the companies aided and abetted illegal gun sales, harming its government. The companies had argued for the dismissal of Mexico's suit, filed in Boston in 2021, under a 2005 US law called the Protection of Lawful Commerce in Arms Act that broadly shields gun companies from liability for crimes committed with their products. The Boston-based first circuit court of appeals decided in 2024 that the alleged conduct by the companies fell outside these protections. 'Mexico alleges that the companies aided and abetted unlawful sales routing guns to Mexican drug cartels. The question presented is whether Mexico's complaint plausibly pleads that conduct. We conclude it does not,' liberal justice Elena Kagan wrote for the supreme court on Thursday morning. The case came to the supreme court at a complicated time for US-Mexican relations as Donald Trump pursues on-again, off-again tariffs on Mexican goods imported into the US. Trump has also accused Mexico of doing too little to stop the flow of synthetic drugs such as the opioid fentanyl and migrant arrivals at the border, even though Mexico has stepped up efforts to prevent migrants from reaching the border in recent years. Mexico had claimed that the companies have deliberately maintained a distribution system that included firearms dealers who knowingly sell weapons to third-party, or 'straw', purchasers who then traffic guns to cartels in Mexico. The suit also accused the companies of unlawfully designing and marketing their guns as military-grade weapons to drive up demand among the cartels. Mexico in the lawsuit sought monetary damages of an unspecified amount and a court order requiring Smith & Wesson and Interstate Arms to take steps to 'abate and remedy the public nuisance they have created in Mexico'. Gun violence fueled by trafficked US-made firearms has contributed to a decline in business investment and economic activity in Mexico.
