Sector Update: Consumer

A generic image of a pen and on top of a chart.
Credit: Shutterstock photo

Consumer stocks were little changed this afternoon with shares of consumer staples companies in the S&P 500 falling less than 0.1%. Shares of consumer discretionary firms in the S&P 500 were ahead about 0.1%.

In company news, Smith & Wesson ( SWHC ) declined Wednesday after the gun manufacturer announced a smaller Q1 profit compared with year-ago levels and forecast per-share earnings and revenue for the current quarter and for FY15 trailing Wall Street estimates.

SWHC shares recently were down slightly over 13% at $11.37 each, earlier sinking to a session low of $11.26 a share. The stock has traded within a 52-week range of $10.25 to $17.28 a share, rising nearly 19% over the past 12 months.

The company last night reported Q1 income from continuing operations of $14.6 million, or $0.26 per share, down from a $26.5 million profit during the same quarter last year but beating the Capital IQ consensus by $0.01 per share.

Revenue declined 22.9% year over year to $131.9 million, also topping estimates by around $2.47 million.

For the current quarter, the company is projecting GAAP earnings in a range of $0.04 to $0.08 per share, lagging the Street view by at least $0.19 per share. It also sees revenue coming in between $100 million to $110 million, trailing estimates by at least $25.62 million.

For FY15, SWHC is expecting to earn $0.89 to $0.94 per share on between $530 million to $540 million in revenue. Analysts, on average, are looking for GAAP earnings of $1.34 per share on around $595.85 million in revenue.

In other sector news,

(+) MPAA, (+7.2%) Prices public offering of 2.4 mln shares of its common stock at $26 each, a 6.6% discount to Tuesday's closing price. The company expects around $58.1 million in net proceeds after paying underwriter discounts and other offering costs.

(-) VPCO, (-11.5%) Terminates asset purchase from Vapor International after failing to reach agreement on certain operational and financial matters. Neither firm will responsible for any break-up fees or reimbursement costs.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2016 All rights reserved. Unauthorized reproduction is strictly prohibited.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics


Latest Markets Videos


    Founded in 1999, MT Newswires (formerly known as Midnight Trader) is a leading provider of original source, multi-asset class, real-time, global financial news and information to most of the largest banks, brokerage firms and professional market data, trading & research applications in North America.

    Learn More