Smith Wesson Valuation

SWBI Stock  USD 12.01  0.17  1.44%   
At this time, the company appears to be undervalued. Smith Wesson Brands has a current Real Value of $13.32 per share. The regular price of the company is $12.01. Our model measures the value of Smith Wesson Brands from inspecting the company fundamentals such as Return On Equity of 0.0252, operating margin of 0.03 %, and Shares Outstanding of 44.49 M as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Smith Wesson's valuation include:
Price Book
1.4713
Enterprise Value
630.6 M
Enterprise Value Ebitda
12.2663
Price Sales
1.1457
Trailing PE
57.1905
Undervalued
Today
12.01
Please note that Smith Wesson's price fluctuation is somewhat reliable at this time. Calculation of the real value of Smith Wesson Brands is based on 3 months time horizon. Increasing Smith Wesson's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Smith Wesson is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Smith Stock. However, Smith Wesson's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  12.01 Real  13.32 Target  13.5 Hype  12.12 Naive  11.77
The intrinsic value of Smith Wesson's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Smith Wesson's stock price.
13.32
Real Value
16.66
Upside
Estimating the potential upside or downside of Smith Wesson Brands helps investors to forecast how Smith stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Smith Wesson more accurately as focusing exclusively on Smith Wesson's fundamentals will not take into account other important factors:
Earnings
Estimates
LowProjectedHigh
0.060.060.06
Details
Hype
Prediction
LowEstimatedHigh
8.7812.1215.46
Details
Potential
Annual Dividend
LowForecastedHigh
0.340.380.42
Details
3 Analysts
Consensus
LowTarget PriceHigh
12.2913.5014.99
Details
When choosing an evaluation method for Smith Wesson Brands, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using all methods to arrive at a better estimate.

Smith Wesson Cash

54.42 Million

Smith Revenue by Product

Smith Wesson Total Value Analysis

Smith Wesson Brands is at this time forecasted to have valuation of 630.62 M with market capitalization of 534.37 M, debt of 114.73 M, and cash on hands of 110.45 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Smith Wesson fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
630.62 M
534.37 M
114.73 M
110.45 M

Smith Wesson Investor Information

About 52.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.47. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Smith Wesson Brands has Price/Earnings To Growth (PEG) ratio of 0.45. The entity last dividend was issued on the 18th of December 2025. The firm had 1301:1000 split on the 25th of August 2020. Based on the analysis of Smith Wesson's profitability, liquidity, and operating efficiency, Smith Wesson Brands may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.

Smith Wesson Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Smith Wesson has an asset utilization ratio of 84.82 percent. This signifies that the Company is making $0.85 for each dollar of assets. An increasing asset utilization means that Smith Wesson Brands is more efficient with each dollar of assets it utilizes for everyday operations.
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes

Smith Wesson Profitability Analysis

Considering Smith Wesson's profitability and operating efficiency indicators, Smith Wesson's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Smith Wesson's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
2000-01-31
Previous Quarter
-3.4 M
Current Value
1.9 M
Quarterly Volatility
21.6 M
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
As of now, Smith Wesson's Gross Profit is increasing as compared to previous years. The Smith Wesson's current Pretax Profit Margin is estimated to increase to 0.06, while Operating Profit Margin is forecasted to increase to (180.67).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.390.6
Way Down
Slightly volatile
For Smith Wesson profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Smith Wesson Brands to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Smith Wesson utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Smith Wesson's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Smith Wesson over time as well as its relative position and ranking within its peers.

Smith Wesson Earnings per Share Projection vs Actual

The next projected EPS of Smith Wesson is estimated to be 0.0625 with future projections ranging from a low of 0.0625 to a high of 0.0625. Smith Wesson's most recent 12-month trailing earnings per share (EPS TTM) is at 0.21. Please be aware that the consensus of earnings estimates for Smith Wesson Brands is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
Smith Wesson is projected to generate 0.0625 in earnings per share on the 30th of April 2026. Smith Wesson earnings estimates show analyst consensus about projected Smith Wesson EPS (Earning Per Share). It derives the highest and the lowest estimates based on Smith Wesson's historical volatility. Many public companies, such as Smith Wesson, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Smith Wesson Earnings Estimation Breakdown

The calculation of Smith Wesson's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Smith Wesson is estimated to be 0.0625 with the future projection ranging from a low of 0.0625 to a high of 0.0625. Please be aware that this consensus of annual earnings estimates for Smith Wesson Brands is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
0.06
Lowest
Expected EPS
0.0625
0.06
Highest

Smith Wesson Earnings Projection Consensus

Suppose the current estimates of Smith Wesson's value are higher than the current market price of the Smith Wesson stock. In this case, investors may conclude that Smith Wesson is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Smith Wesson's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 30th of April 2026Current EPS (TTM)
250.0%
0.0
0.0625
0.21

Smith Wesson Ownership Allocation

Smith Wesson Brands shows a total of 44.49 Million outstanding shares. Over half of Smith Wesson's outstanding shares are owned by institutional holders. These institutional holders are typically referred to as corporate investors that take positions in a given instrument to benefit from reduced trade commissions. Please note that no matter how many assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.

Smith Wesson Profitability Analysis

The company reported the previous year's revenue of 474.66 M. Net Income was 13.43 M with profit before overhead, payroll, taxes, and interest of 121.98 M.

Smith Wesson Past Distributions to stockholders

About Smith Wesson Valuation

An absolute valuation paradigm, as applied to Smith Stock, attempts to find the value of Smith Wesson Brands based on its fundamental and basic technical indicators. By analyzing Smith Wesson's financials, quarterly and monthly indicators, and their related drivers, such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Smith Wesson's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Smith Wesson. We calculate exposure to Smith Wesson's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Smith Wesson's related companies.
Last ReportedProjected for Next Year
Gross Profit146.3 M179.6 M
Pretax Profit Margin 0.04  0.06 
Operating Profit Margin(190.18)(180.67)
Net Loss(190.18)(180.67)
Gross Profit Margin 0.60  0.39 
Smith Wesson's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Smith Wesson's value is low or high relative to the company's performance and growth projections. Determining the market value of Smith Wesson can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Smith Wesson represents a small ownership stake in the entity. As a stockholder of Smith, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Smith Wesson Dividends Analysis For Valuation

As of now, Smith Wesson's Dividend Yield is increasing as compared to previous years. The Smith Wesson's current Dividend Payout Ratio is estimated to increase to 1.63, while Dividends Paid is projected to decrease to under 19.7 M. . The Smith Wesson's current Retained Earnings is estimated to increase to about 643.1 M, while Retained Earnings Total Equity is projected to decrease to under 496.1 M.
Last ReportedProjected for Next Year
Dividends Paid20.8 M19.7 M
Dividend Yield 0.05  0.05 
Dividend Payout Ratio 1.55  1.63 
Dividend Paid And Capex Coverage Ratio(70.12)(66.62)
There are various types of dividends Smith Wesson can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Smith shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Smith Wesson Brands directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Smith pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Smith Wesson by the value of the dividends paid out.

Smith Wesson Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding44.4 M
Quarterly Earnings Growth Y O Y-0.6

Smith Wesson Current Valuation Indicators

Valuation refers to the process of determining the present value of Smith Wesson Brands and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Smith we look at many different elements of the entity such as Smith's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Smith Wesson, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Smith Wesson's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Smith Wesson's worth.

Complementary Tools for Smith Stock analysis

When running Smith Wesson's price analysis, check to measure Smith Wesson's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Smith Wesson is operating at the current time. Most of Smith Wesson's value examination focuses on studying past and present price action to predict the probability of Smith Wesson's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Smith Wesson's price. Additionally, you may evaluate how the addition of Smith Wesson to your portfolios can decrease your overall portfolio volatility.
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