Clarus Corporation (CLAR)
NASDAQ:CLAR
Top Page
Clarus
(NASDAQ:CLAR)
Select Model
Select Model
Rating:48Neutral
Price Target:
$2.50
▼(-9.75% Downside)
Action:ReiteratedDate:03/06/26
The score is held down primarily by weak financial performance (multi-year losses, declining revenue, and negative cash flow in 2024–2025) and bearish technical positioning below major moving averages. Partially offsetting this are a debt-free balance sheet and a balanced-to-slightly constructive 2026 outlook with explicit guidance and expected positive free cash flow, plus a moderate dividend yield.
Positive Factors
Debt-free balance sheet & cash buffer
Zero debt and a ~$36.7M cash position materially de-risk Clarus' capital structure. This liquidity provides durable flexibility to fund restructuring, normalize inventory, invest in product development, and absorb seasonal variability while management works to restore profitability.
Negative Factors
Multi-year revenue decline and net losses
Repeated annual losses and three consecutive years of declining revenue weaken scale economics and erode return on capital. Restoring sustainable top-line growth will be essential to cover fixed costs and convert product-margin gains into lasting profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Debt-free balance sheet & cash buffer
Zero debt and a ~$36.7M cash position materially de-risk Clarus' capital structure. This liquidity provides durable flexibility to fund restructuring, normalize inventory, invest in product development, and absorb seasonal variability while management works to restore profitability.
Read all positive factors
Clarus (CLAR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$104.84M
Dividend Yield2.93%
Average Volume (3M)141.12K
Price to Earnings (P/E)―
Beta (1Y)0.99
Revenue Growth30.34%
EPS Growth-1749.06%
CountryUS
Employees470
SectorConsumer Cyclical
Sector Strength84
IndustryLeisure
Share Statistics
EPS (TTM)-0.81
Shares Outstanding38,401,825
10 Day Avg. Volume185,971
30 Day Avg. Volume141,122
Financial Highlights & Ratios
PEG Ratio0.24
Price to Book (P/B)0.65
Price to Sales (P/S)0.51
P/FCF Ratio-12.98
Enterprise Value/Market Cap0.78
Enterprise Value/Revenue0.33
Enterprise Value/Gross Profit1.14
Enterprise Value/Ebitda-9.96
Forecast
1Y Price Target
$4.08Price Target Upside47.29% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering3
EPS Forecast (FY)-0.2
Revenue Forecast (FY)$258.45M
Clarus Business Overview & Revenue Model
Company Description
Clarus Corporation develops, manufactures, and distributes outdoor equipment and lifestyle products focusing on the outdoor and consumer markets in the United States, Canada, Europe, the Middle East, Asia, Australia, New Zealand, Africa, and South...
How the Company Makes Money
Clarus makes money primarily by selling branded outdoor products through wholesale and direct-to-consumer channels. Revenue is generated from (1) wholesale sales to specialty outdoor retailers, distributors, and other retail partners who purchase ...
Clarus Earnings Call Summary
Earnings Call Date:Mar 05, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 11, 2026
Earnings Call Sentiment Neutral
The call presented a balanced picture: the company faces meaningful near-term headwinds including revenue declines, tariff and FX-related margin pressure, significant inventory reserves (notably in Adventure) and ongoing legal uncertainty. Offsetting these negatives are several substantive positives — a debt-free balance sheet, strong cash generation, operational simplification and margin-improvement initiatives (including large pricing actions that have offset a substantial portion of tariff impact), product-line momentum at Black Diamond (notably apparel), geographic expansion and distribution wins for Adventure, and clear 2026 guidance. Management emphasized progress in restructuring, improved inventory quality, and path-to-recovery actions, but the benefits are partially offset by current macro and one-time charges. Overall, the positives and negatives are roughly balanced.Positive Updates
Debt-Free Balance Sheet and Cash Position
Total debt of $0 at December 31, 2025 and cash & cash equivalents of $36.7 million (guidance-consistent range of $35M-$40M). Strong Q4 free cash flow of $11.6 million (although down from $14.4M YoY).
Negative Updates
Consolidated Revenue Decline
Q4 consolidated sales $65.4M versus $71.4M prior year, an ~8% decrease. Consolidated revenue headwinds included weaker Outdoor wholesale (NA wholesale -10.4% ex-FX contracts) and reduced demand from two OEM Adventure customers.
Read all updates
Q4-2025 Updates
Positive
Negative
Debt-Free Balance Sheet and Cash Position
Total debt of $0 at December 31, 2025 and cash & cash equivalents of $36.7 million (guidance-consistent range of $35M-$40M). Strong Q4 free cash flow of $11.6 million (although down from $14.4M YoY).
Read all positive updates
Company Guidance
Clarus guided full‑year 2026 consolidated sales of $255–$265 million (midpoint $260M) with adjusted EBITDA of $9–$11 million (midpoint $10M), implying an adjusted EBITDA margin of ~3.8% at the midpoint; segment guidance was Adventure $80M and Outdoor $180M. They expect Q1 sales of $60–$62M, capital expenditures of $6–$7M, adjusted corporate costs of about $8M ($2M/quarter), free cash flow of $3–$4M, and a year‑end cash position consistent with the prior target range (~$35–$40M; cash was $36.7M at 12/31/25). The outlook reflects an estimated $2.8M unrecovered tariff gap for 2026 (after offsetting ~75% of tariff impact), a $1.6M EBITDA run‑rate pickup from rolling off FX losses, an expected ~$1.5M of additional restructuring charges (largely in Q1), and excludes any expense for ongoing Section 16(b), CPSC or DOJ matters.Clarus Financial Statement Overview
Summary
Income Statement
28
Negative
Balance Sheet
55
Neutral
Cash Flow
34
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 252.03M | 264.31M | 286.02M | 315.25M | 265.97M |
| Gross Profit | 72.18M | 92.62M | 97.51M | 109.95M | 87.87M |
| EBITDA | -8.23M | -9.35M | 1.49M | 12.09M | 13.03M |
| Net Income | -46.56M | -52.29M | -10.15M | -69.78M | 26.09M |
Balance Sheet | |||||
| Total Assets | 12.66M | 294.09M | 495.34M | 518.14M | 631.83M |
| Cash, Cash Equivalents and Short-Term Investments | 36.69M | 45.36M | 11.32M | 11.98M | 19.46M |
| Total Debt | 12.29M | 16.65M | 136.00M | 154.65M | 159.47M |
| Total Liabilities | 52.63M | 61.00M | 203.22M | 226.04M | 261.66M |
| Stockholders Equity | 196.39M | 233.09M | 292.12M | 292.11M | 370.17M |
Cash Flow | |||||
| Free Cash Flow | -9.91M | -14.04M | 25.96M | 6.36M | -17.69M |
| Operating Cash Flow | -4.75M | -7.30M | 31.92M | 14.61M | -304.00K |
| Investing Cash Flow | 2.77M | 165.16M | -11.42M | -7.75M | -178.14M |
| Financing Cash Flow | -5.88M | -123.24M | -20.25M | -13.86M | 180.68M |
Clarus Technical Analysis
Negative
2.77
Price Trends
3.30
Negative
3.35
Negative
3.41
Negative
Market Momentum
-0.18
Positive
34.26
Neutral
18.53
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLAR, the sentiment is Negative. The current price of 2.77 is below the 20-day moving average (MA) of 2.95, below the 50-day MA of 3.30, and below the 200-day MA of 3.41, indicating a bearish trend. The MACD of -0.18 indicates Positive momentum. The RSI at 34.26 is Neutral, neither overbought nor oversold. The STOCH value of 18.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CLAR.
Clarus Risk Analysis
Clarus disclosed 47 risk factors in its most recent earnings report. Clarus reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Clarus Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $247.77M | 13.56 | 8.03% | 4.71% | -4.56% | -2.85% | |
69 Neutral | $488.42M | -33.91 | -5.18% | 3.22% | -0.07% | -31.45% | |
63 Neutral | $5.41B | 25.34 | 23.39% | 1.15% | 4.20% | 24.12% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
48 Neutral | $104.84M | -2.76 | -33.17% | 2.93% | 30.34% | -1749.06% | |
47 Neutral | $111.60M | -6.98 | -3.19% | ― | 2.85% | 24.82% |
* Consumer Cyclical Sector Average
CLAR
Clarus
2.77
-1.07
-27.81%
ESCA
Escalade
18.09
4.03
28.64%
GOLF
Acushnet Holdings
93.33
27.08
40.88%
JOUT
Johnson Outdoors
47.22
22.89
94.09%
AOUT
American Outdoor Brands
8.86
-3.83
-30.18%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.