ManageSource Initiates Coverage on Saf-T-Hammer Parent Company of Smith &
Wesson
ManageSource Initiates Coverage on Saf-T-Hammer Parent Company of Smith
& Wesson
SCOTTSDALE, Ariz., Feb 12, 2002 /PRNewswire-FirstCall via COMTEX/ --
Saf-T-Hammer Corporation (OTC Bulletin Board: SAFH), the parent company of Smith
& Wesson, today announced that ManageSource Research had initiated coverage with
a 'Strong-Buy' rating and a 12-month target price of $3.25-$5.00. The stock was
trading at $0.77 when the report was issued.
The report contains a company overview that describes its general business, a
detailed corporate strategy outlook describing its operations, an investment
thesis, an evaluation of revenues and P&L, in-depth coverage of the Company's
most recent quarter, a review on sector performance and an analysis of industry
competition for investment consideration.
The report noted that since Smith & Wesson's return to American ownership, it
has made an impressive financial turn-around and was capitalizing on its
150-year-old brand name. The report also pointed out that the stock was
undervalued due to a lack of prior market exposure. To review the ManageSource
full coverage research, visit: managesource.com .
"Our EBITDA for the second quarter ended October 31, 2001 was $529,000 and in
comparison, the Company estimates EBITDA for the third quarter that just ended
January 31, 2002 is approximately $2.9 million, an increase of over 500 percent.
The Company reported a $97,000 operating loss for its second quarter compared to
an estimated operating profit of $2.6 million for the third quarter," said
Mitchell Saltz, president and CEO of Saf-T-Hammer. "This indicates that we are
executing our business plan and increasing our operating efficiencies."
Saf-T-Hammer also reported that Smith & Wesson president, Bob Scott, has been
appointed to the Rand Corporation's Criminal Justice Advisory Board. "It will be
an honor to serve on the board and tackle an array of important issues that
affect our society," said Scott. Recently, the National Shooting Sports
Association also named Mr. Scott one of four nominees for 'Man of the Year'.
About Saf-T-Hammer
Saf-T-Hammer Corporation is a firearm safety company focused on preventing
unauthorized gun use and unintentional firearm accidents. Saf-T-Hammer customers
include sporting goods distributors, law enforcement distributors, law
enforcement retailers, law enforcement agencies and gunsmiths. Saf-T-Hammer
acquired Smith & Wesson, one of the world's leading producers of quality
handguns and law enforcement products, in May of last year. Law enforcement
personnel, military personnel, target shooters, hunters, collectors and firearms
enthusiasts throughout the world have used the company's products with
confidence for nearly 150 years. Saf-T-Hammer and Saf-T-Trigger are trademarks
of Saf-T-Hammer Corporation.
For more information, visit the company's Web sites at:
saf-t-hammer.com and smith-wesson.com .
Safe Harbor Statement
Statements about the company's future expectations, including synergies between
the two companies, and all other statements in this release, other than
historical facts, are "forward-looking statements" within the meaning of section
27A of the Securities Act of 1933, section 21E of the Securities Act of 1934, as
that term is defined in the Private Securities Reform Act of 1995. The company
intends that such "forward-looking statements" be subject to the safe harbors
created thereby. |
