Vista Outdoor Intrinsic Value Calculator – Analyst Predicts Decrease in Vista Outdoor’s Q2 2024 EPS
October 21, 2023
🌥️Trending News
Analysts have recently predicted a decrease in Vista Outdoor ($NYSE:VSTO) Inc.’s Q2 2024 EPS, reducing their forecast for the quarter. This news has come as a surprise to the markets, as Vista Outdoor Inc. is a leading manufacturer and marketer of outdoor sports and recreation products in the United States and around the world. The company’s product portfolio includes ammunition, archery, camping, fishing, hunting, shooting, water sports, and other outdoor recreation products. It also sells its products through sporting goods retailers, mass merchants, independent dealers, Internet retailers, and specialty catalogs.
Vista Outdoor Inc. has been a successful player in the outdoor recreation industry, with its strong portfolio of products and its focus on providing high-quality customer service. Its ability to generate significant revenue from the sale of its products and services has been a key driver of its financial performance in recent years. Despite this success, the company’s stock has been underperforming on the market, as it has struggled to keep up with its competitors in terms of revenue growth.
Earnings
This prediction is based on the company’s Q1 FY2024 earnings report, ending June 30 2021. The report showed that VISTA OUTDOOR Inc. earned 662.91 million USD in total revenue and net income of 102.72 million USD. This reflects a 17.4% decrease in total revenue and an 18.5% decrease in net income compared to the previous year’s earnings. However, the total revenue has increased from 662.91 million USD to 693.33 million USD in the last three years.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Vista Outdoor. More…
| Total Revenues | Net Income | Net Margin |
| 2.97k | -77.63 | 4.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Vista Outdoor. More…
| Operations | Investing | Financing |
| 452.31 | -792.29 | 366.29 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Vista Outdoor. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.81k | 1.63k | 20.35 |
Key Ratios Snapshot
Some of the financial key ratios for Vista Outdoor are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 18.7% | 73.8% | 1.0% |
| FCF Margin | ROE | ROA |
| 13.8% | 1.6% | 0.6% |
Stock Price
On Friday, VISTA OUTDOOR Inc.’s stock opened at $24.5 and closed at $24.3, representing a decrease of 0.7% from its last closing price of 24.4. This comes after an analyst from a major Wall Street investment bank released a report predicting that the company’s second quarter earnings per share (EPS) for 2024 will be lower than expected. The report cites higher material costs, increased labor expenses, and a decline in demand for the company’s products as the primary drivers behind the predicted decrease in earnings. Investors have responded with caution to the report, pushing VISTA OUTDOOR’s stock price down slightly in response. Live Quote…
Analysis – Vista Outdoor Intrinsic Value Calculator
GoodWhale recently conducted an analysis of VISTA OUTDOOR‘s wellbeing. After examining the company’s financials and key industry metrics, our proprietary Valuation Line concluded that the fair value of VISTA OUTDOOR shares is around $34.2. However, at the time of writing, the stock is traded at $24.3, representing a 28.9% discount to its fair value. This suggests that VISTA OUTDOOR stock is currently undervalued and may be a good investment opportunity for investors looking to capitalize on the current market situation. More…
Peers
In the outdoor recreation equipment market, Vista Outdoor Inc competes with Callaway Golf Co, WW Holding Inc, and United Labels AG. These companies manufacture and sell products such as camping gear, golf equipment, and labels for outdoor products. While each company has its own strengths and weaknesses, Vista Outdoor Inc has managed to stay ahead of the competition by offering a wide variety of products and services.
– Callaway Golf Co ($NYSE:ELY)
WWE is a publicly traded professional wrestling entertainment company. Based in Stamford, Connecticut, WWE produces and distributes content through television, pay-per-view, digital media, and live events. WWE has a market cap of 4.6B as of 2022 and a Return on Equity of 13.26%.
– WW Holding Inc ($TWSE:8442)
United Labels AG is a German company that produces labels for clothing. The company has a market cap of 14.7M as of 2022 and a Return on Equity of 29.75%. United Labels AG is a publicly traded company.
Summary
Investment analysts have recently reduced their earnings estimates for Vista Outdoor Inc. (VISTA). The company’s Q2 2024 EPS estimates have been cut by analysts, indicating a potential decrease in profitability. VISTA’s earnings have been volatile lately, as the company has reported both positive and negative results in recent quarters. Although Vista Outdoor has seen overall revenue growth, it has also faced challenges due to the pandemic, such as supply chain disruptions, decreased demand for certain products, and increased costs related to safety protocols.
As a result, investors should consider a cautious approach to VISTA stock in the near future. That being said, the company has investments in diverse product segments and market exposure, which could help it weather any short-term struggles and recover in the long term.
