Why Smith & Wesson Stock Is Trading Higher Today

Smith & Wesson Brands Inc SWBI is trading significantly higher Monday on continued strength following its earnings report last week. 

What Happened: Smith & Wesson reported quarterly earnings of $1.71 per share, which beat the estimate of $1.02 per share. The firearm and ammunition manufacturer reported quarterly revenue of $322.9 million, which beat the estimate of $259.8 million.

Smith & Wesson also announced a new $50 million share buyback program and increased its dividend 60% from 5 cents per share to 8 cents per share.

See Also: Looking into Smith & Wesson Brands's Return on Capital Employed

"Our employees more than doubled the prior year sales, passed a milestone of $1 billion in revenue, and by every financial and operating metric, have delivered the most successful year in the 169 year history of the company. But most importantly, we have set a rock solid foundation for the long term success of the company, with astounding market share growth," said Mark Smith, president and CEO of Smith & Wesson. 

Price Action: Smith & Wesson has traded as low as $14.50 over a 52-week period. It reached a new 52-week high today. 

At last check Monday, the stock was up 18.80% at $27.75.

Photo courtesy of Smith & Wesson.