In the latest trading session, Smith & Wesson (SWBI) closed at $25.03, marking a +0.16% move from the previous day. This change lagged the S&P 500's 1.4% gain on the day. Meanwhile, the Dow gained 1.05%, and the Nasdaq, a tech-heavy index, added 2.13%.

Prior to today's trading, shares of the firearm maker had gained 15.48% over the past month. This has outpaced the Consumer Discretionary sector's gain of 4.93% and the S&P 500's gain of 4.78% in that time.

SWBI will be looking to display strength as it nears its next earnings release. In that report, analysts expect SWBI to post earnings of $0.49 per share. This would mark year-over-year growth of 1533.33%. Meanwhile, our latest consensus estimate is calling for revenue of $201.80 million, up 63.18% from the prior-year quarter.

SWBI's full-year Zacks Consensus Estimates are calling for earnings of $1.85 per share and revenue of $862.10 million. These results would represent year-over-year changes of +125.61% and +27.08%, respectively.

Investors might also notice recent changes to analyst estimates for SWBI. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.23% higher. SWBI currently has a Zacks Rank of #4 (Sell).

Investors should also note SWBI's current valuation metrics, including its Forward P/E ratio of 13.51. This valuation marks a discount compared to its industry's average Forward P/E of 21.42.

The Leisure and Recreation Products industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 4, putting it in the top 2% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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