Why American Outdoor Brands Stock Crashed 16.5% This Morning

Shares of gunsmith American Outdoor Brands (NASDAQ: AOBC) stock -- the company formerly known as Smith & Wesson -- crashed 16.5% in early trading Friday after the company offered up a mixed bag of earnings. The stock has clawed its way back to "only" an 11.2% loss as of 11 a.m. EST, but still, it's looking like a rough day for American Outdoor enthusiasts.

American Outdoor Brands gets no gold medal after earnings today. Image source: Getty Images.

Earnings for the fiscal second quarter of 2018 came in at $0.06 per diluted share GAAP, and $0.11 pro forma, beating Wall Street's predicted  $0.07 in "adjusted earnings" for the quarter. Sales likewise exceeded expectations, with American Outdoor Brands booking $148.4 million in revenue for the quarter, nearly $10 million ahead of Wall Street's expected $138.5 million -- but that was the end of the good news.

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Source: Fool.com