Stock Buyback Plan Authorized by Outdoor (NASDAQ:POWW)

Outdoor (NASDAQ:POWW) announced that its Board of Directors has approved a share buyback program on Monday, January 5th, RTT News reports. The company plans to repurchase $15.00 million in shares. This repurchase authorization permits the company to buy up to 7.7% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s management believes its shares are undervalued.

Outdoor Stock Up 5.4%

Shares of NASDAQ POWW opened at $1.76 on Tuesday. Outdoor has a 12-month low of $1.08 and a 12-month high of $2.14. The firm’s 50-day simple moving average is $1.80 and its 200 day simple moving average is $1.52. The company has a quick ratio of 3.44, a current ratio of 3.44 and a debt-to-equity ratio of 0.04. The company has a market cap of $206.11 million, a price-to-earnings ratio of -8.80 and a beta of 1.14.

Outdoor (NASDAQ:POWW) last announced its quarterly earnings data on Monday, November 10th. The company reported $0.01 earnings per share for the quarter, topping the consensus estimate of ($0.05) by $0.06. The firm had revenue of $11.98 million for the quarter, compared to the consensus estimate of $11.63 million. On average, research analysts expect that Outdoor will post 0.09 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on POWW. Roth Capital upgraded shares of Outdoor from a “neutral” rating to a “buy” rating and increased their price objective for the company from $1.40 to $2.25 in a research note on Wednesday, November 12th. Lake Street Capital increased their price target on shares of Outdoor from $2.00 to $2.50 and gave the stock a “buy” rating in a research report on Tuesday, November 11th. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Outdoor in a report on Monday, December 29th. Two investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $2.38.

About Outdoor

AMMO, Inc designs, produces, and markets ammunition and ammunition component products for sport and recreational shooters, hunters, individuals seeking home or personal protection, manufacturers, and law enforcement and military agencies. The company's products include STREAK Visual Ammunition that enables shooters to see the path of the bullets fired by them; and Stelth Subsonic ammunition primarily for suppressed firearms. It also owns and operates GunBroker.com, an auction site that supports the lawful sale of firearms, ammunition, and hunting/shooting accessories.