AMMO (POWW) AI Stock Analysis

• Market Cap: $178.01M
• Dividend Yield: N/A
• Average Volume (3M): 466.49K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.92
• Revenue Growth: -11.01%
• EPS Growth: -279.70%
• Country: US
• Employees: 374
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): -0.01
• Shares Outstanding: 117,110,825
• 10 Day Avg. Volume: 477,069
• 30 Day Avg. Volume: 466,486
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.62
• Enterprise Value/Revenue: 0.77
• Enterprise Value/Gross Profit: 3.14
• Enterprise Value/Ebitda: -12.49
• 1Y Price Target: $1.70
• Price Target Upside: 11.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 53 Neutral
• Price Target: $1.50 ▼(-1.32% Downside)

AMMO's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and negative cash flows. While technical indicators show some positive momentum, the valuation remains a concern due to negative earnings. The recent corporate event of regaining Nasdaq compliance is a positive step, indicating improved governance and potential for future growth.

Positive Factors

Low Leverage

AMMO's low leverage indicates a strong capital structure, providing financial stability and flexibility to invest in growth opportunities without the burden of high debt costs.

Board Restructuring

Streamlining the board can lead to more efficient decision-making and potentially align the company's strategic direction with shareholder interests, improving governance.

New CEO Appointment

A new CEO can bring fresh perspectives and strategies, particularly focusing on enhancing the e-commerce segment, which may improve profitability and long-term shareholder value.

Negative Factors

Declining Revenue

A sharp decline in revenue indicates potential market challenges and operational inefficiencies, which could impact the company's ability to sustain growth and profitability.

Negative Cash Flow

Negative cash flow suggests difficulties in maintaining operational efficiency and liquidity, potentially limiting the company's capacity to invest in growth and manage financial obligations.

Profitability Challenges

Persistent profitability issues reflect operational inefficiencies and could hinder the company's ability to generate sustainable earnings, affecting long-term financial health.

AMMO Business Overview & Revenue Model

Company Description

Outdoor Holding Company engages in online marketplace business. It owns and operates the GunBroker e-commerce marketplace, an auction site that supports the lawful sale of firearms, ammunition, and hunting/shooting accessories. The company is also involved in banner advertising campaign activities. Outdoor Holding Company was formerly known as AMMO, Inc. and changed its name to Outdoor Holding Company in April 2025. Outdoor Holding Company is headquartered in Scottsdale, Arizona.

How the Company Makes Money

AMMO generates revenue through the sale of its ammunition products to various customer segments, including individual consumers, law enforcement agencies, and military contracts. The company's primary revenue streams include direct sales through retail channels, online sales, and bulk sales to governmental and defense entities. Additionally, AMMO leverages strategic partnerships with distributors and wholesalers to expand its market reach. The company's focus on innovation and quality helps to maintain strong customer loyalty and repeat business, while fluctuations in demand for ammunition can impact revenue. Seasonal trends, such as increased sales during hunting seasons and around major holidays, also play a role in the company’s financial performance.

AMMO Financial Statement Overview

Summary

AMMO's financial performance is weak, with declining revenues and profitability. The income statement is particularly concerning, as it shows significant revenue decline and negative profit margins. The balance sheet is more stable due to low leverage, but the shrinking assets and equity are worrying. Cash flows have turned negative, indicating cash management issues and declining operational efficiency.

Income Statement

AMMO has faced a significant decline in revenue from $145 million in 2024 to $49 million in 2025, indicating a negative growth trajectory. Gross profit margin improved slightly, yet the company reported substantial negative EBIT and net profit margins, suggesting ongoing operational challenges and inefficiencies.

Balance Sheet

The balance sheet shows a strong equity position with a debt-to-equity ratio of only 0.007, suggesting low leverage. However, the decreasing total assets and equity over the years point to potential financial instability. The equity ratio remains high, reflecting a solid capital structure.

Cash Flow

Operating cash flow turned negative at -$5 million in 2025, highlighting cash management issues. A reduction in free cash flow growth is evident compared to previous years, reflecting declining operational efficiency. Despite past positive cash flows, current trends raise concerns.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	141.75M	49.40M	145.06M	191.44M	240.27M	62.48M
Gross Profit	34.95M	42.93M	42.62M	55.41M	88.76M	11.39M
EBITDA	-8.78M	-45.26M	7.21M	11.92M	54.49M	73.56K
Net Income	-29.23M	-130.83M	-15.56M	-4.60M	33.25M	-7.81M
Balance Sheet
Total Assets	402.42M	297.33M	399.90M	412.34M	414.18M	179.38M
Cash, Cash Equivalents and Short-Term Investments	50.75M	30.23M	55.59M	39.13M	23.28M	118.34M
Total Debt	14.58M	1.55M	13.10M	14.86M	5.14M	10.61M
Total Liabilities	54.44M	75.30M	43.35M	39.74M	39.87M	19.03M
Stockholders Equity	347.98M	222.03M	356.56M	372.60M	374.30M	160.35M
Cash Flow
Free Cash Flow	10.96M	-8.47M	24.61M	23.02M	-16.37M	-21.85M
Operating Cash Flow	19.09M	-5.06M	32.63M	35.56M	2.85M	-14.42M
Investing Cash Flow	-8.13M	-3.41M	-8.02M	-12.54M	-69.68M	-7.44M
Financing Cash Flow	-8.21M	-9.77M	-8.66M	-6.66M	-28.24M	139.31M

AMMO Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.52
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For POWW, the sentiment is Positive. The current price of 1.52 is above the 20-day moving average (MA) of 1.45, above the 50-day MA of 1.31, and above the 200-day MA of 1.44, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 59.07 is Neutral, neither overbought nor oversold. The STOCH value of 69.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for POWW.

AMMO Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PKE	75 Outperform	$371.90M	54.01	6.43%	2.67%	16.60%	6.58%
BYRN	70 Outperform	$453.40M	32.14	28.05%	―	73.56%	―
RGR	66 Neutral	$600.42M	120.15	1.88%	1.86%	3.31%	-82.99%
Sector *	63 Neutral	$10.74B	15.33	7.44%	2.00%	2.86%	-14.57%
NPK	62 Neutral	$801.61M	19.20	11.68%	0.89%	31.27%	26.36%
SWBI	55 Neutral	$414.37M	34.47	3.27%	5.56%	-7.25%	-63.58%
POWW	53 Neutral	$178.01M	―	-17.71%	―	-11.01%	-279.70%

AMMO Corporate Events

AMMO Regains Nasdaq Compliance After Stockholder Meeting

On August 29, 2025, Outdoor Holding Company held its Annual Meeting of Stockholders, where all proposals were approved, including the election of directors and the ratification of an independent accounting firm. This meeting enabled the company to regain compliance with Nasdaq Listing Rule 5620(a), following a series of deficiency notices. The company has improved its internal processes and governance, positioning itself to focus on accelerating growth in its core online business and enhancing long-term stockholder value.

AMMO Board Restructures with New Director Nominations

On June 30, 2025, AMMO‘s Board decided not to nominate Richard R. Childress, Randy E. Luth, or Russell William Wallace, Jr. for re-election at the company’s 2025 annual meeting of stockholders. The Board has nominated two new directors and plans to reduce its size from six to five members after the annual meeting. This decision was not due to any disagreements between the departing directors and the company.