American Outdoor Brands, Inc. (AOUT) stock fell in the current market today following the announcement of second-quarter fiscal 2022 financial results. AOUT stock price saw a downtrend of 14.84% to drop at $17.90 a share at the time of this writing. The trading volume on the last check was 346,363. Let’s take a closer look at recent events of this stock.
Second Quarter Fiscal 2022 Financial results:
- In the second quarter of fiscal 2022, AOUT stock recorded $70.8 million in net sales. This represents a decline in net sales as compared to $79.1 million in the same quarter of last year. The decrease is attributable to the lower traditional channel net sales. However, eCommerce channel net sales increased in the reported quarter.
- The gross margin of the AOUT stock was 46.7% representing 20 basis points decrease as compared to the corresponding quarter of the last year.
- The net income of the American stock dropped to $4.6 million, or $0.32 per diluted share in the reported quarter. The net income was $7.3 million, or $0.52 per diluted share in the same quarter of last year.
- AOUT stock reported a non-GAAP net income of $8.3 million, or $0.58 per diluted share in the second quarter of fiscal 2022. This compares to $11.0 million, or $0.77 per diluted share non-GAAP net income in the same quarter of last year.
- Adjusted EBITDA of the AOUT stock $11.7 million, or 16.5% of net sales in the second quarter of fiscal 2022. In the same quarter of last year, the adjusted EBITDA was $15.8 million, or 19.9% of net sales.
Share Repurchase Program by AOUT stock:
American stock today on December 10, 2021, announced the approval of the share repurchase program by the board members of the company. According to this program, the company will repurchase up to $15 million of its outstanding shares of common stock through December 2023. The shares can be repurchased in the open market, in block trades, or through privately negotiated transactions. The board of directors of the company is confident in the business of the stock and keen to create stockholder value.
Conclusion:
The announcement of low second-quarter fiscal 2022 financial results and share repurchase program resulted in the decline in the per-share price of this stock. From an investment perspective, it is better to do both fundamental as well as technical analysis before making any decision.