American Outdoor Brands (AOUT) AI Stock Analysis

• Market Cap: $140.21M
• Dividend Yield: N/A
• Average Volume (3M): 40.98K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.89
• Revenue Growth: 4.91%
• EPS Growth: 58.25%
• Country: US
• Employees: 289
• Sector: Consumer Cyclical
• Sector Strength: 56
• Industry: Leisure
• EPS (TTM): 0.21
• Shares Outstanding: 12,734,792
• 10 Day Avg. Volume: 47,025
• 30 Day Avg. Volume: 40,985
• PEG Ratio: 0.12
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.54
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 1.34
• Enterprise Value/Ebitda: 7.05
• 1Y Price Target: $15.50
• Price Target Upside: 40.02% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 54 Neutral
• Price Target: $12.00 ▲(8.40%Upside)

The overall stock score reflects financial challenges with declining revenue and profitability, balanced by positive earnings guidance and strategic innovations. While technical indicators suggest neutral market sentiment, valuation metrics indicate potential overvaluation concerns.

American Outdoor Brands Business Overview & Revenue Model

Company Description

American Outdoor Brands, Inc. provides outdoor products and accessories for rugged outdoor enthusiasts in the United States and internationally. It offers hunting, fishing, camping, shooting, and personal security and defense products. The company also provides shooting sports accessories products include rests, vaults, and other related accessories; outdoor lifestyle products, such as premium sportsmen knives and tools for fishing and hunting; land management tools for hunting preparedness; harvesting products for post-hunt or post-fishing activities; outdoor cooking products; and camping, survival, and emergency preparedness products. In addition, it offers electro-optical devices, including hunting optics, firearm aiming devices, flashlights, and laser grips; and reloading, gunsmithing, and firearm cleaning supplies. The company sells its products through e-commerce and traditional distribution channels under the Adventurer, Harvester, Marksman, and Defender brand lanes. American Outdoor Brands, Inc. was incorporated in 2020 and is headquartered in Columbia, Missouri.

How the Company Makes Money

American Outdoor Brands generates revenue primarily through the sale of its comprehensive range of outdoor products and accessories. The company's key revenue streams include wholesale distribution to major retailers, direct-to-consumer sales via its e-commerce platforms, and partnerships with specialty stores. Significant factors contributing to its earnings are its strong brand portfolio, innovation in product development, and strategic acquisitions that expand its market reach and product offerings.

American Outdoor Brands Financial Statement Overview

Summary

American Outdoor Brands faces challenges with declining revenue and profitability, reflected in a negative P/E ratio and decreasing equity. However, stable gross margins and manageable leverage offer some operational efficiency. The need for strategic improvements is evident to ensure financial stability.

Income Statement

American Outdoor Brands has experienced declining revenue over recent years, with a TTM revenue of $206.68 million compared to $276.69 million in 2021. The company has struggled with profitability, as evidenced by negative net profit margins in both the TTM and past annual periods. Despite this, the gross profit margin remained relatively stable at approximately 45% in the TTM, indicating some operational efficiency. However, negative EBIT and net income highlight ongoing challenges in achieving sustainable profitability.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of approximately 0.19 in the TTM, reflecting manageable leverage. Stockholders' equity accounts for a significant portion of total assets, with an equity ratio of about 73%. However, declining stockholders' equity, from $279.91 million in 2021 to $178.69 million in the TTM, suggests potential financial stress. Return on equity remains negative, reflecting ongoing profitability challenges.

Cash Flow

While the company generated positive free cash flow of $7.62 million in the TTM, this represents a significant decrease from previous years. The operating cash flow to net income ratio indicates that cash generation exceeds net losses, suggesting some efficiency in operations. However, the decline in operating cash flow from $33.32 million in 2021 to $8.27 million in the TTM highlights challenges in maintaining cash flow stability.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
206.68M	201.10M	191.21M	247.53M	276.69M	167.38M
	Gross Profit
93.34M	88.43M	88.06M	114.24M	126.83M	71.02M
	EBIT
-4.71M	-12.50M	-11.51M	12.64M	23.50M	85.06M
	EBITDA
6.02M	3.60M	5.00M	-38.24M	43.32M	9.77M
	Net Income Common Stockholders
-4.39M	-12.25M	-12.02M	-64.88M	18.41M	-96.20M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
17.07M	29.70M	21.95M	19.52M	60.80M	234.00K
	Total Assets
245.88M	240.60M	243.59M	277.84M	341.26M	248.41M
	Total Debt
33.64M	34.62M	29.59M	49.58M	26.55M	4.15M
	Net Debt
16.57M	4.92M	7.64M	30.05M	-34.25M	3.92M
	Total Liabilities
67.20M	62.67M	51.72M	74.81M	61.36M	24.32M
	Stockholders Equity
178.69M	177.93M	191.86M	203.03M	279.90M	224.10M
Cash Flow		Free Cash Flow
5.80M	18.38M	25.85M	-24.54M	29.14M	6.58M
	Operating Cash Flow
8.27M	24.49M	30.71M	-17.95M	33.32M	8.45M
	Investing Cash Flow
-4.05M	-5.98M	-4.83M	-33.59M	-4.18M	-1.86M
	Financing Cash Flow
-3.04M	-10.77M	-23.45M	10.26M	31.43M	-6.51M

American Outdoor Brands Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 11.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AOUT, the sentiment is Negative. The current price of 11.07 is below the 20-day moving average (MA) of 11.68, below the 50-day MA of 11.52, and below the 200-day MA of 12.15, indicating a bearish trend. The MACD of -0.16 indicates Positive momentum. The RSI at 41.60 is Neutral, neither overbought nor oversold. The STOCH value of 12.59 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AOUT.

American Outdoor Brands Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JAKK	75 Outperform	$229.61M	5.05	21.81%	4.85%	2.89%	41.09%
ESCA	68 Neutral	$189.02M	13.92	8.29%	4.38%	-5.40%	9.57%
Sector *	62 Neutral	$6.80B	11.04	2.79%	4.42%	2.67%	-25.07%
JOUT	61 Neutral	$315.20M	―	-9.70%	4.28%	-7.28%	-924.86%
CLAR	55 Neutral	$134.79M	33.59	-32.32%	2.85%	-1.01%	-886.54%
AOUT	54 Neutral	$140.21M	―	-2.43%	―	4.91%	58.25%
ISPO	49 Neutral	$48.64M	―	8.84%	―	-16.42%	88.30%

American Outdoor Brands Corporate Events

American Outdoor Brands Reports Strong Q2 Performance

American Outdoor Brands reported a strong second-quarter performance, driven by an innovative strategy that enhanced distribution, brand awareness, and profitability. They achieved a 4% increase in net sales and a 43% growth in adjusted EBITDAS. Their innovation includes a steady pipeline of new products and distinctive merchandising solutions, aiming to expand their market presence. Their success is attributed to their ability to meet retailer demands with consistently high-quality, cross-category products, which has led to positive feedback and expanded partnerships.