Smith & Wesson: 2013 Outlook Strong, Shares Jump

The gun maker says more women are purchasing firearms

   

Smith & Wesson: 2013 Outlook Strong, Shares Jump

Smith & Wesson (NASDAQ:SWHC) issued an upbeat assessment of its outlook for fiscal 2013 on Thursday.

The company forecast sales of between $485 million and $505 million during 2013, easily topping the $466 million expected by Wall Street, Reuters noted.

election 3 185x185 Smith & Wesson: 2013 Outlook Strong, Shares Jump
Winners and Losers From the High Court Obamacare Ruling

Adjusted EPS from continuing operations for 2013 was estimated at between 60 cents and 65 cents.

Investors were overjoyed at the news, sending Smith & Wesson shares rocketing up more than 13% in Friday morning trading.

During the fourth-quarter, Smith & Wesson posted net income of $17.8 million, four times greater than the $4.4 million posted during the same time last year.

Fourth-quarter sales were $129.8 million, up 27.7% from last year.

Company officials cited rising demand for guns as buyers fear an increased trend of gun control legislation at the state and federal level. In fact, the company indicated that it was having trouble meeting demand, noting that its back-orders had risen to $439 million, up 135% from last year.

Smith & Wesson noted that its customer base was expanding as more younger consumers and women purchase guns.

The company has been recording steadily growing sales and profits since last year.


Article printed from InvestorPlace Media, http://investorplace.com/2012/06/smith-wesson-2013-outlook-strong-shares-jump/.

©2014 InvestorPlace Media, LLC

Comments are currently unavailable. Please check back soon.