NEW YORK (TheStreet) -- Smith & Wesson (SWHC) shares are up 1.5% to $9.55 in trading on Wednesday after the gun manufacturer reported second quarter earnings results that were ahead of analysts expectations for the period.
The company reported second quarter net income of $5.1 million, or 9 cents per diluted share on an adjusted basis, which beat analysts' EPS expectations by 2 cents per share. Net sales of $108.4 million for the quarter also beat analysts' $105.8 million estimates for the period.
Smith & Wesson said that it expects to earn between 9 and 11 cents per diluted share for the current quarter, while analysts are expecting the company to earn 20 cents per share during the period.
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TheStreet Ratings team rates SMITH & WESSON HOLDING CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate SMITH & WESSON HOLDING CORP (SWHC) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its notable return on equity, attractive valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."