|Price as of 03/28/22||$4.73|
|52 Wk High – Low||$3.95 – $10.37|
|Est. Shares Outstanding||113.28M|
Ammo, Inc. designs, develops, manufactures, markets, and sells ammunition and ammunition component products for use in handguns and long guns in the United States and internationally. The company offers STREAK Visual Ammunition that enables shooters to see the path of the bullets fired by them; One Precise Shot ammunition, which is designed to meet various engagement scenarios experienced by law enforcement personnel in the line of duty; and Stelth Subsonic ammunition that is designed primarily for suppressed firearms.
- Announced Record Revenues of $64.7 million FYQ3 2022 Ending 12/31/22
- Reiterated FY2022 Full-Year Guidance of $250 million of revenues and $80 million of Adjusted EBITDA
- Continues to integrate transformational acquisition of GunBroker.com
- Record demand for munitions and ammunition continues across multiple market verticals, 100% of 2022 production already sold
- Massive opportunity to extend GunBroker.com market reach, tapping into 6 million active user base
- Targets $400 million revenue target in next 24 months
- One of few companies offering American-made munitions and ammunition to substantial market demand.
- Announced that the holders of record of its 8.75% Series A Cumulative Redeemable Perpetual Preferred Stock
- Substantial $238 million order backlog reported at the end of last quarter
- Announced $30 million share repurchase program
- Posted a NET INCOME of $9.1 million that smashed its ($1.9 million) loss in the same period last year
- Sales presence in more than 1600 direct-to-consumer locations
AMMO, Inc. Snapshot
Topping the list of attributes at AMMO, Inc. right now is corporate strength and its targeting robust market opportunities. Nearing a top five ammunition and munitions supplier in the US, AMMO benefits from being a well-respected and trusted supplier of products to law enforcement, military, and consumer markets.
That’s a consideration not to be underappreciated, especially with billions in military contracts typically up for grabs each year. And while AMMO has grown into its $549 million market cap, it’s deserving of more on a revenues-multiple basis. Its accelerating growth in revenues and best ever earnings is worthy of a significant premium.
AMMO proves its worth, expecting to sell upwards of 750 million rounds of ammunition this year. And that’s not including its recently announced military contract that could exponentially increase those totals.
As AMMO integrates its Gunbroker.com asset, the company is in its best position ever to capitalize on the $32 billion in sales from its core target markets. Despite its massive gains in 2021, AMMO stock remains a bargain at current prices. Record sales, highest ever profits, and a massive backlog justify that premise.
Comments made during its most recent earnings call gave every indication that AMMO, Inc. is in hyper-growth mode. That optimistic posture comes through its intimate market knowledge targeting multiple market verticals, and its Gunbroker.com asset that has far more to contribute once fully integrated. Currently, only about $12 million of high-margin marketplace revenue came through its Gunbroker.com acquisition last quarter. Expectations are for that number to surge in coming quarters.
Notably, despite the massive active user base at Gunbroker.com, ammunition sales accounted for only 3% of its revenues last year. Hence, AMMO is exploiting an enormous revenue-generating opportunity from that group alone.
Further, the company is positioning to maximize the value from its new facility, which is expected to potentially quadruple production to meet demand from its presence in more than 1600 direct-to-consumer locations. Also, bullish sentiment comes from the near-unprecedented levels of new gun permits that should strengthen an already strong business tailwind into the next few quarters.
In The News
Multiple near-term catalysts. Massive market demand. Share price presents a compelling value proposition as GunBroker.com assets continue to integrate.