Smith & Wesson Brands (SWBI) Competitors

Sturm, Ruger & Company, Inc. (NYSE:RGR) and Smith & Wesson Brands (NASDAQ:SWBI) are both small-cap consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, institutional ownership, profitability, valuation, analyst recommendations, media sentiment, risk and earnings.

Do analysts recommend RGR or SWBI?

Smith & Wesson Brands has a consensus price target of $12.00, suggesting a potential upside of 18.93%. Given Smith & Wesson Brands' stronger consensus rating and higher probable upside, analysts clearly believe Smith & Wesson Brands is more favorable than Sturm, Ruger & Company, Inc..

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sturm, Ruger & Company, Inc.	1 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.00
Smith & Wesson Brands	1 Sell rating(s)	2 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.00

Does the media refer more to RGR or SWBI?

In the previous week, Sturm, Ruger & Company, Inc. had 5 more articles in the media than Smith & Wesson Brands. MarketBeat recorded 5 mentions for Sturm, Ruger & Company, Inc. and 0 mentions for Smith & Wesson Brands. Sturm, Ruger & Company, Inc.'s average media sentiment score of 0.68 beat Smith & Wesson Brands' score of 0.00 indicating that Sturm, Ruger & Company, Inc. is being referred to more favorably in the media.

Company	Overall Sentiment
Sturm, Ruger & Company, Inc.	Positive
Smith & Wesson Brands	Neutral

Do institutionals and insiders believe in RGR or SWBI?

64.0% of Sturm, Ruger & Company, Inc. shares are owned by institutional investors. Comparatively, 59.3% of Smith & Wesson Brands shares are owned by institutional investors. 4.6% of Sturm, Ruger & Company, Inc. shares are owned by company insiders. Comparatively, 1.6% of Smith & Wesson Brands shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Which has more volatility & risk, RGR or SWBI?

Sturm, Ruger & Company, Inc. has a beta of 0.09, meaning that its stock price is 91% less volatile than the S&P 500. Comparatively, Smith & Wesson Brands has a beta of 0.94, meaning that its stock price is 6% less volatile than the S&P 500.

Which has better valuation and earnings, RGR or SWBI?

Sturm, Ruger & Company, Inc. has higher revenue and earnings than Smith & Wesson Brands. Smith & Wesson Brands is trading at a lower price-to-earnings ratio than Sturm, Ruger & Company, Inc., 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
Sturm, Ruger & Company, Inc.	$535.64M	1.39	$30.56M	$0.31	148.74
Smith & Wesson Brands	$474.66M	0.94	$13.43M	$0.24	42.04

Is RGR or SWBI more profitable?

Smith & Wesson Brands has a net margin of 2.34% compared to Sturm, Ruger & Company, Inc.'s net margin of 1.07%. Sturm, Ruger & Company, Inc.'s return on equity of 9.53% beat Smith & Wesson Brands' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Sturm, Ruger & Company, Inc.	1.07%	9.53%	7.98%
Smith & Wesson Brands	2.34%	3.10%	2.00%

Is RGR or SWBI a better dividend stock?

Sturm, Ruger & Company, Inc. pays an annual dividend of $0.64 per share and has a dividend yield of 1.4%. Smith & Wesson Brands pays an annual dividend of $0.52 per share and has a dividend yield of 5.2%. Sturm, Ruger & Company, Inc. pays out 206.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Smith & Wesson Brands pays out 216.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Smith & Wesson Brands has increased its dividend for 4 consecutive years. Smith & Wesson Brands is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Sturm, Ruger & Company, Inc. beats Smith & Wesson Brands on 12 of the 19 factors compared between the two stocks.