AMMO (POWW) Competitors

AMMO (NASDAQ:POWW) and Smith & Wesson Brands (NASDAQ:SWBI) are both small-cap consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, media sentiment, risk, valuation, community ranking, institutional ownership, profitability, dividends and analyst recommendations.

Is POWW or SWBI more profitable?

Smith & Wesson Brands has a net margin of 7.00% compared to AMMO's net margin of -15.19%. Smith & Wesson Brands' return on equity of 8.78% beat AMMO's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
AMMO	-15.19%	2.35%	2.09%
Smith & Wesson Brands	7.00%	8.78%	5.79%

Which has higher earnings and valuation, POWW or SWBI?

Smith & Wesson Brands has higher revenue and earnings than AMMO. AMMO is trading at a lower price-to-earnings ratio than Smith & Wesson Brands, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AMMO	$141.75M	1.52	-$15.56M	-$0.21	-8.62
Smith & Wesson Brands	$493.05M	0.87	$39.61M	$0.65	15.02

Do institutionals & insiders have more ownership in POWW or SWBI?

26.4% of AMMO shares are held by institutional investors. Comparatively, 59.3% of Smith & Wesson Brands shares are held by institutional investors. 25.0% of AMMO shares are held by insiders. Comparatively, 1.3% of Smith & Wesson Brands shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Does the media refer more to POWW or SWBI?

In the previous week, Smith & Wesson Brands had 4 more articles in the media than AMMO. MarketBeat recorded 4 mentions for Smith & Wesson Brands and 0 mentions for AMMO. Smith & Wesson Brands' average media sentiment score of 1.65 beat AMMO's score of 0.00 indicating that Smith & Wesson Brands is being referred to more favorably in the news media.

Company	Overall Sentiment
AMMO	Neutral
Smith & Wesson Brands	Very Positive

Does the MarketBeat Community favor POWW or SWBI?

Smith & Wesson Brands received 12 more outperform votes than AMMO when rated by MarketBeat users. However, 54.84% of users gave AMMO an outperform vote while only 50.00% of users gave Smith & Wesson Brands an outperform vote.

Company	Underperform	Outperform
AMMO	Outperform Votes 17 54.84%	Underperform Votes 14 45.16%
Smith & Wesson Brands	Outperform Votes 29 50.00%	Underperform Votes 29 50.00%

Do analysts recommend POWW or SWBI?

AMMO currently has a consensus target price of $1.50, suggesting a potential downside of 17.13%. Smith & Wesson Brands has a consensus target price of $12.75, suggesting a potential upside of 30.64%. Given Smith & Wesson Brands' stronger consensus rating and higher probable upside, analysts clearly believe Smith & Wesson Brands is more favorable than AMMO.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AMMO	0 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00
Smith & Wesson Brands	0 Sell rating(s)	1 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.50

Which has more volatility and risk, POWW or SWBI?

AMMO has a beta of 1.31, indicating that its stock price is 31% more volatile than the S&P 500. Comparatively, Smith & Wesson Brands has a beta of 1.09, indicating that its stock price is 9% more volatile than the S&P 500.

Summary

Smith & Wesson Brands beats AMMO on 14 of the 18 factors compared between the two stocks.