Smith & Wesson Brands, Inc. (NASDAQ:SWBI) shares climbed 12.22% to $13.77 after the bell on Thursday after the firearms manufacturer’s first-quarter fiscal 2027 earnings per share of $0.06 topped analyst estimates of a $0.05 loss, a 220% surprise.
The Tennessee-based company reported results for the quarter ended July 31.
Revenue Growth Outpaces Expectations
Smith & Wesson posted revenue of $112.6 million, beating the $98.7 million estimate by 14.1%. Sales rose 32.3% year-over-year. Gross margin expanded to 28.7% from 25.9%, helped by a $2.9 million tariff refund.
The company swung to GAAP net income of $2.6 million from a $3.4 million loss a year earlier. Operating income also turned positive, reaching $4.2 million compared with an approximately $3.0 million operating loss in the prior-year quarter.
Non-GAAP Adjusted EBITDAS nearly doubled to $13.8 million, or 12.2% of sales.
CEO Mark Smith said the company is “off to an excellent start to fiscal 2027,” pointing to demand across consumer and professional channels.
CFO Deana McPherson said she expects sales for the second quarter roughly 10% above last year, with full-year revenue growth of 5-7% over fiscal 2026.
Dividend Declaration
The board authorized a $0.13-per-share quarterly dividend, payable Oct. 1 to shareholders of record Sep. 17.
The first-quarter beat follows a similarly strong fourth-quarter fiscal 2026 report in June, when Smith & Wesson topped estimates on both revenue and earnings.
Trading Metrics, Technical Analysis
Smith & Wesson Brands has a market capitalization of $550.18 million, a 52-week high of $17.56 and a 52-week low of $8.01.
The Relative Strength Index (RSI) of SWBI stands at 21.52.
The stock has gained 49.45% over the past 12 months.
Currently, SWBI is trading near 44.7% of its 52-week trading range.
Price Action: The stock closed the regular session on Thursday at $12.27, down 3.99%, according to Benzinga Pro data.
Benzinga’s Edge Stock Rankings indicate that Smith & Wesson Brands stock is experiencing long-term upward movement along with medium and short-term consolidation.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: Jonathan Weiss on Shutterstock.com
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