Smith & Wesson shares jump after fiscal 2027 earnings beat and rating upgrade

  • Smith & Wesson’s stock rating rose from hold to buy after its strong fiscal 2027 first quarter.
  • Revenue reached $112.6 million, up 32.3% year over year and above the $98.7 million estimate.
  • Management forecast second-quarter sales growth of about 10% and full-year revenue growth of 5% to 7%.

Smith & Wesson Brands shares rose 12.22% to $13.77 after Thursday’s close and were later reported up 11.7% in premarket trading after the firearms manufacturer exceeded expectations for first-quarter fiscal 2027 earnings and revenue. The stock’s rating was upgraded from hold to buy following the strong quarter. Earnings were $0.06 per share versus analyst expectations ranging from a $0.05 to $0.06 loss, while revenue reached $112.6 million, 14.1% above the $98.7 million estimate and 32.3% higher year over year. Growth was driven by demand for handguns and long guns and successful new products. Gross margin expanded to 28.7% from 25.9%, helped by a $2.9 million tariff refund, and GAAP net income was $2.6 million versus a $3.4 million loss a year earlier. The board authorized a $0.13-per-share quarterly dividend, payable Oct. 1 to shareholders of record Sep. 17. Management expects second-quarter sales to rise about 10% year over year and full-year revenue to grow 5% to 7% over fiscal 2026.

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