Contrasting Bollinger Industries (OTCMKTS:BOLL) & Smith & Wesson Brands (NASDAQ:SWBI)

Bollinger Industries (OTCMKTS:BOLL) and Smith & Wesson Brands (NASDAQ:SWBI) are both consumer discretionary companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, analyst recommendations, valuation and risk.

Volatility & Risk

Bollinger Industries has a beta of -0.07, indicating that its stock price is 107% less volatile than the S&P 500. Comparatively, Smith & Wesson Brands has a beta of 0.95, indicating that its stock price is 5% less volatile than the S&P 500.

Insider and Institutional Ownership

59.3% of Smith & Wesson Brands shares are held by institutional investors. 60.6% of Bollinger Industries shares are held by company insiders. Comparatively, 1.6% of Smith & Wesson Brands shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Bollinger Industries and Smith & Wesson Brands, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bollinger Industries	0	0	0	0	0.00
Smith & Wesson Brands	0	2	1	0	2.33

Smith & Wesson Brands has a consensus target price of $12.00, indicating a potential upside of 47.60%. Given Smith & Wesson Brands’ stronger consensus rating and higher possible upside, analysts clearly believe Smith & Wesson Brands is more favorable than Bollinger Industries.

Profitability

This table compares Bollinger Industries and Smith & Wesson Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bollinger Industries	N/A	N/A	N/A
Smith & Wesson Brands	2.60%	3.71%	2.39%

Valuation and Earnings

This table compares Bollinger Industries and Smith & Wesson Brands”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bollinger Industries	N/A	N/A	N/A	N/A	N/A
Smith & Wesson Brands	$474.66 million	0.75	$13.43 million	$0.27	30.11

Smith & Wesson Brands has higher revenue and earnings than Bollinger Industries.

Summary

Smith & Wesson Brands beats Bollinger Industries on 9 of the 10 factors compared between the two stocks.

About Bollinger Industries

Bollinger Industries, Inc. operates as a consumer products company in the United States and internationally. It offers flashlights and other lighting solutions under the NEBO brand name; pocketknives, pocket tools, and everyday carry gadgets under the TRUE brand name; pest defense products under the Skeeter Hawk brand; lights, lasers, and optics under the iPROTEC name; personal heating products under the THAW brand name; and power banks under the HALO brand name. The company offers products through retail stores and online shopping sites, as well as through its own website. Bollinger Industries, Inc. was founded in 1974 and is based in Roanoke, Texas.

About Smith & Wesson Brands

Smith & Wesson Brands, Inc. is a holding company, which engages in the manufacture, design, and provision of firearms. Its portfolio includes handguns, long guns, handcuffs, suppressor, and other firearm-related products. The firm’s brands are Smith & Wesson, M&P, Thompson/Center Arms, and Gemtech. The company was founded by Horace Smith and Daniel Baird Wesson in 1852 and is headquartered in Maryville, TN.