Smith & Wesson Brands, Inc. (NASDAQ:SWBI) Sees Significant Growth in Short Interest

Smith & Wesson Brands, Inc. (NASDAQ:SWBI) was the target of a large increase in short interest in the month of December. As of December 15th, there was short interest totalling 2,200,000 shares, an increase of 33.3% from the November 30th total of 1,650,000 shares. Approximately 5.1% of the shares of the stock are short sold. Based on an average trading volume of 589,200 shares, the short-interest ratio is presently 3.7 days.

Hedge Funds Weigh In On Smith & Wesson Brands

A number of hedge funds have recently modified their holdings of the stock. JPMorgan Chase & Co. boosted its position in shares of Smith & Wesson Brands by 9.1% in the 3rd quarter. JPMorgan Chase & Co. now owns 131,566 shares of the company’s stock valued at $1,708,000 after purchasing an additional 11,006 shares during the period. Franklin Resources Inc. increased its stake in shares of Smith & Wesson Brands by 5.8% in the third quarter. Franklin Resources Inc. now owns 29,249 shares of the company’s stock worth $378,000 after acquiring an additional 1,598 shares during the last quarter. Peapack Gladstone Financial Corp purchased a new stake in shares of Smith & Wesson Brands during the third quarter worth $149,000. Barclays PLC boosted its position in Smith & Wesson Brands by 240.2% during the third quarter. Barclays PLC now owns 80,449 shares of the company’s stock valued at $1,046,000 after purchasing an additional 56,800 shares during the last quarter. Finally, Geode Capital Management LLC raised its stake in shares of Smith & Wesson Brands by 0.7% during the 3rd quarter. Geode Capital Management LLC now owns 1,067,955 shares of the company’s stock worth $13,865,000 after purchasing an additional 7,260 shares in the last quarter. 59.33% of the stock is currently owned by institutional investors and hedge funds.

Smith & Wesson Brands Stock Performance

Shares of NASDAQ:SWBI traded down $0.09 on Friday, reaching $9.94. 428,260 shares of the company’s stock were exchanged, compared to its average volume of 453,017. Smith & Wesson Brands has a fifty-two week low of $9.78 and a fifty-two week high of $18.05. The firm has a market capitalization of $437.39 million, a price-to-earnings ratio of 12.74 and a beta of 0.96. The company has a quick ratio of 1.43, a current ratio of 3.97 and a debt-to-equity ratio of 0.36. The business’s 50-day moving average is $12.45 and its two-hundred day moving average is $13.70.

Smith & Wesson Brands (NASDAQ:SWBI) last issued its quarterly earnings results on Thursday, December 5th. The company reported $0.11 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.17 by ($0.06). The firm had revenue of $129.70 million for the quarter, compared to analyst estimates of $133.53 million. Smith & Wesson Brands had a net margin of 7.00% and a return on equity of 8.78%. The firm’s revenue for the quarter was up 3.8% compared to the same quarter last year. During the same quarter last year, the business posted $0.14 earnings per share. As a group, equities research analysts forecast that Smith & Wesson Brands will post 0.47 EPS for the current year.

Smith & Wesson Brands Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, January 2nd. Stockholders of record on Thursday, December 19th will be paid a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a dividend yield of 5.23%. The ex-dividend date is Thursday, December 19th. Smith & Wesson Brands’s dividend payout ratio is presently 66.67%.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the company. Lake Street Capital downgraded Smith & Wesson Brands from a “buy” rating to a “hold” rating and cut their price objective for the stock from $18.00 to $13.00 in a research report on Friday, December 6th. Craig Hallum lowered shares of Smith & Wesson Brands from a “buy” rating to a “hold” rating and decreased their price target for the company from $18.00 to $13.00 in a report on Friday, December 6th.

About Smith & Wesson Brands

Smith & Wesson Brands, Inc designs, manufactures, and sells firearms worldwide. The company offers handguns, including revolvers and pistols; long guns, such as modern sporting rifles, bolt action rifles; handcuffs; suppressors; and other firearm-related products under the Smith & Wesson, M&P, and Gemtech brands.