Why Are AMMO Shares Trading Lower Today?

AMMO, Inc POWW shares are trading lower on Wednesday after the company reported worse-than-expected Q3 sales results.

Q3 Results: AMMO reported quarterly adjusted earnings of $0.05 per share which beat the analyst consensus estimate for a loss of $0.01 per share. The earnings figure represents a 64.29% decrease over earnings of $0.14 per share from the same period last year.

The ammunition company reported quarterly sales of $38.71 million which missed the analyst consensus estimate of $54.24 million by 28.63%. AMMO's Q3 sales number represents a 40.16% decrease over sales of $64.69 million during the same period last year.

The company also updated their guidance for fiscal year 2023. AMMO now expects revenue of $185 million and adjusted EBITDA of $22 million (EBITDA of $17 million).

AMMO Inc is the owner of GunBroker.com, the online marketplace serving the firearms and shooting sports industries, and a vertically integrated producer of high-performance ammunition and components.

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POWW Price Action: AMMO has a 52-week high of $6.05 and a 52-week low of $1.56.

AMMO shares are down 13.1% at $1.96 at time of publication, according to Benzinga Pro.

Photo: tung256 from Pixabay.