Smith & Wesson (NASDAQ:SWHC) Sales Rebounding after Slowdown

Smith & Wesson (NASDAQ:SWHC) has had a difficult act to follow after the surge in firearm sales post-Obama, and they have been down since the initial thrust, but are starting to rebound again.

Wedbush noted, "The core Firearms business (>80% of sales) faced a difficult comparison vs. the post-Obama election surge a year ago, so there continues to be retailer inventory de-stocking now since the surge has ended."

For the second quarter of 2011, firearm sales increased 6 percent, following a 5 percent rise in the first fiscal quarter of 2011 for them.

Wedbush lowered their EPS estimates on them for 2011 from $0.40 to $0.28, and for full year 2012 from $0.43 to $0.37.

They maintain their "Outperform" rating on Smith & Wesson, which is trading at $3.87, down $0.18, or 4.44 percent as of 12:00 PM EST. They also lowered their price target on the company from $6 to $5.50.