Analyzing the Financial Health of Vista Outdoor Inc. (VSTO)

Publicly-traded company Vista Outdoor Inc. (NYSE:VSTO) had a closing price of $9.05 yesterday. Meanwhile, the average 12-month price target from Wall Street analysts is currently $8.33, this means that the stock is overpriced by -8.64%. In the past 52 weeks the company’s stock price has moved within the range of $4.30 to $14.20.

This particular stock’s 5-day moving average is 7.31, its 20-day moving average is 6.71 and its 100-day moving average is 6.71. Vista Outdoor Inc. (VSTO) currently has 58.02M shares outstanding, which means that its market capitalization is $525.08M.

The Details: Vista Outdoor Inc. (VSTO) Financial Health

There is more than one indicator we can consider while evaluating a potential stock’s financial performance. For example, we can find out a public company’s profit margin, which lets us know how much of a company’s net sales revenue was retained as earnings – which we calculate by dividing net income by total sales revenue. VSTO currently has a profit margin of -30.80%.

It’s also useful to check out a company’s operating margin, which lets us know how much profit is retained after taking operating costs and depreciation into consideration. Vista Outdoor Inc. (VSTO) has an operating margin of -28.90%.

We can also look at Return on Assets, which is a percentage that tells us how good a public company is at using its current assets to generate a profit. Higher percentages mean that the company is better at using its assets. At the moment, Vista Outdoor Inc. Return on Assets is -31.00%.

What Does Wall Street Say about Company?

When selecting stocks to purchase, many investors want to know what Wall Street analysts are thinking before they pull the trigger. They often look for the average analyst rating. At the moment, the average analyst rating for VSTO is Overweight. Out of 8 total analysts who were surveyed, 0 rated it a sell, 0 rated it a underweight, 0 rated it an overweight, 5 rated it hold, and 3 rated it a Buy.

Three months ago, on the other hand, the average analyst rating for Vista Outdoor Inc. (VSTO) was a Overweight – from a survey of 7 analysts. Of the analysts who provided ratings, 4 rated the company a Hold, 0 rated it a Sell, 0 rated it an overweight, 0 rated it an underweight, and 3 rated it a Buy.

Understanding Profitability at Vista Outdoor Inc. (VSTO)

A good method of evaluating a public company’s profitability is by taking a look at its Earnings per Share (EPS) performance. In the most recent financial results released by Vista Outdoor Inc., for the quarter ending on 09/2019, the company posted EPS of -0.09. The average estimate of Wall Street analysts had projected -0.06.

Wall Street analysts, on average, are forecasting the company’s EPS to be -0.10, compared to 0.05 reported in the same quarter last year. When it comes to net revenue, the average estimate from a total of 6 analysts is 460.92M – compared to 546.59M posted in the year-ago period.