U.S. markets are poised for another day deep in the red as investors try to grapple with the economic impact of the coronavirus.

Shares of Smith & Wesson parent American Outdoor Brands Corp. plummeted 29% in morning trading Friday, putting it on track for the worst one-day performance in nearly 13 years, after a drop in long-gun sales led to a profit and revenue miss and downbeat outlook. The company said late Thursday that fourth-quarter handgun revenue rose 12.0% to $94.3 million, while long-gun revenue fell 18%, citing decreased sales of "modern sporting rifles" (assault-style rifles) and bolt-action rifles. The results come as government background checks for handguns increased 13.9%. Wedbush analyst James Hardiman cut his stock price target to $8.50 from $12.00, while maintaining his neutral rating. "[American Outdoor] couldn't have asked for a better retail firearm demand environment over the past two quarters, and yet the company is in a position where it is significantly lowering firearm expectations for the year," Hardiman wrote in a note to clients. The stock, which is on track for the biggest one-day percentage decline since it fell 40% on Oct. 30, 2007, has now shed 34% over the past 12 months, while the S&P 500 has gained 7.2%.

Saying it is “critical infrastructure for the United States and the Commonwealth,” gunmaker Smith & Wesson is keeping its manufacturing plants, including the Springfield factory, operational.

American Outdoor Brands Corp. failed to meet earnings and revenue expectations, according to a quarterly report released Thursday.

American Outdoor Brands Corporation (NASDAQ Global Select: AOBC), one of the world's leading providers of firearms and quality products for the shooting, hunting, and rugged outdoor enthusiast, today announced financial results for the third quarter fiscal 2020, ended January 31, 2020.

American Outdoor Brands (AOBC) saw a big move last session, as its shares jumped nearly 6% on the day, amid huge volumes.

The "prepper" or survivalist movement was around for decades before the novel coronavirus outbreak. But now, as COVID-19 continues to dominate the headlines and reshape the global economy, preparing for imminent catastrophe doesn't seem quite as eccentric.While not everyone is buying eight months worth of food, we have seen a serious surge in panic-buying as consumers hole up at home. It doesn't take much of a stretch in imagination to see these trends as significant in the medium-term. Despite a flattening curve, experts remain divided about exactly how long the U.S. will be under social distancing measures, or to what degree. * 7 Penny Stocks To Buy with Massive Upside Potential With that in mind, you should load up on so-called prepper stocks, not just essential goods. Here are three stocks to buy in companies providing items that are always in-demand in a crisis:InvestorPlace - Stock Market News, Stock Advice & Trading Tips * Campbell Soup (NYSE:CPB) * Kimberly-Clark (NYSE:KMB) * American Outdoor Brands (NASDAQ:AOBC)In the markets and in life, there's no need to be scared if you're prepared. So settle in and get ready for the unexpected with this selection of stock picks that can shield your portfolio in troubling times. Prepper Stocks to Buy: Campbell Soup (CPB)Source: HeinzTeh / Shutterstock.com If you're hoarding food for the long-haul, you'll need food that won't perish, and an obvious choice would be canned goods. We all know that Campbell Soup sells cans of its namesake soup, but they also sell tasty canned foods such as Spaghetti-O's.Campbell stock is known as a safety stock, and its healthy forward dividend yield of 3% does provide a nice cushion when markets move south. It's also reassuring to know Campbell is a pro penny-pincher, as the company managed to save $45 million during 2020's second quarter as part of a large-scale cost-saving program.Besides, Campbell isn't just a canned-goods company. The company's snacks business includes cookies, pretzels, and crackers, and comprises over 40% of the Campbell's top line during 2020's second fiscal quarter. With so much going for it, Campbell stock belongs on any prepper's shelf. Kimberly-Clark (KMB)Source: Trong Nguyen / Shutterstock.com If there's one thing we've all learned during the coronavirus crisis, it's how essential paper towels and bathroom tissue can be. Kimberly-Clark is therefore a great prepper stock as the company owns Scott paper towel, Cottonelle bathroom tissue, and Kleenex tissues.Like Campbell, Kimberly-Clark is essentially a safety stock and the company is known to reward shareholders. Kimberly-Clark's 3.26% forward dividend yield should make long-term buyers feel more secure about their investment. * 7 Penny Stocks To Buy with Massive Upside Potential And by the way, preppers can feel good about owning Kimberly-Clark stock as the company just donated $2.5 million to UNICEF and another $2.5 million to the International Federation of Red Cross and Red Crescent Societies and the American Red Cross. Clearly they're ready and willing to help out during this crisis, and they've got the goods to keep shareholders and stockpilers satisfied. American Outdoor Brands (AOBC)Source: charnsitr/Shutterstock.com You might not be familiar with American Outdoor Brands, but perhaps you ought to be, since the company owns the famous gun brand Smith & Wesson. The company also owns Tipton gun cleaning supplies and an array of other accessories-related brands.And demand for guns is surging. In New York, shoppers have been seen waiting in line for two hours to buy guns. The coronavirus outbreak has led to some people considering gun ownership, perhaps even those folks who have never owned a gun before.The share price is off of its 2016 peak of around $30, and those long gun lines could translate to a serious pickup in business for American Outdoor Brands. If unrest does occur among the population, self-protection would likely come into focus and American Outdoor Brands shareholders could enjoy sizable returns very quickly.As of this writing, David Moadel did not hold a position in any of the aforementioned securities. More From InvestorPlace * America's 1 Stock Picker Reveals Next 1,000% Winner * 25 Stocks You Should Sell Immediately * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post Hunker Down and Wait Out Coronavirus with These 3 Prepper Stocks appeared first on InvestorPlace.

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

Unfortunately for some shareholders, the American Outdoor Brands (NASDAQ:AOBC) share price has dived 31% in the last...

Smith & Wesson maker American Outdoor Brands Corp. shares fell roughly 15% in the extended session Thursday after the company reported earnings that were below consensus estimates and weaker-than-expected fourth-quarter guidance. The company reported fiscal third-quarter net income of $5.7 million, or 10 cents a share, compared with a loss of $5.7 million, or 10 cents a share, a year ago. Adjusted for items such as amortization and chief executive separation, earnings were 13 cents a share. Revenue rose to $166.7 million from $162 million in the year-ago period. Analysts surveyed by FactSet had estimated adjusted earnings of 23 cents a share on revenue of $187.3 million; for the fiscal fourth quarter, analysts model adjusted earnings of 45 cents a share and sales of $224.3 million. AOBC said it expects fiscal fourth-quarter adjusted earnings of 33 cents to 37 cents a share on sales of $205 million to $215 million. The company said it plans to spin out its outdoor products and accessories business in the second half of calendar 2020, creating two public companies. AOBC stock has fallen 8.4% in the past year, as the S&P 500 index rose 12.2%.

American Outdoor Brands (AOBC) delivered earnings and revenue surprises of -48.00% and -15.73%, respectively, for the quarter ended January 2020. Do the numbers hold clues to what lies ahead for the stock?

American Outdoor Brands (NASDAQ:AOBC) shareholders are no doubt pleased to see that the share price has had a great...

Personally, I view Blue Apron (NYSE:APRN) as an example of getting the logic right and the results wrong. In August of 2019, I worried that a recession might hurt shares of the meal-delivery service. I came to that conclusion because at the time, the U.S.-China trade war suggested a slowdown for both economies. Further, the Federal Reserve appeared ineffective in mitigating the situation. Therefore, Blue Apron stock appeared too risky.Source: Roman Tiraspolsky / Shutterstock.com Up until mid-March of this year, I was proven correct. However, everything changed on the March 16 session as shares exploded higher. As InvestorPlace web editor Nick Clarkson explained, the dramatic spread of the coronavirus from China drove sentiment toward Blue Apron stock. With social distancing becoming the new normal, any effort to bring necessary items by mail was a viable opportunity.A few days later from that pivotal session, California issued a mandatory stay-at-home order. In an unprecedented move, California Governor Gavin Newsom basically took matters into his own hands. At the time, federal leadership appeared confused at best. With this decision, Newsom may have prevented California from going over the edge.InvestorPlace - Stock Market News, Stock Advice & Trading TipsAt time of writing, California has just under 10,000 coronavirus cases, while hard-hit New York has nearly 84,000. Indeed, history may look favorably on the governor. * 7 Telecom Stocks That Are Worth a Close Look However, this mandatory order didn't come without consequences. With all non-essential businesses temporarily closed, the true economic impact may be utterly devastating. However, as Clarkson argued, this is the opening that Blue Apron stock needed.People sheltered in place represents a hostage audience. Further, because venturing outside risks exposure to the virus, APRN's meal delivery service appears the perfect solution. But looks can be deceiving. Blue Apron Stock Is a Classic Bull TrapBefore I get into why I'm negative on Blue Apron stock, I acknowledge the tempting bull case. Aside from exposure risk, Covid-19 has sparked mass panic. Right now, people are not acting rationally. Furthermore, with record job losses over the horizon, this will add to the collective strain.What I'm getting at is that already violent Americans will become even more violent. Frankly, it's no coincidence that firearms manufacturers Sturm Ruger (NYSE:RGR) and American Outdoor Brands (NASDAQ:AOBC) have recently enjoyed positive momentum.Unlike guns, though, the sudden catalyst for Blue Apron stock - i.e. the coronavirus - will eventually disappear. Based on some of the latest reports, the outbreak here could affect us for four months or longer. But like any health crisis, the virus will pass.When it does, what are you left with? Prior to the mandatory shutdowns, APRN was a wildly risky organization. A few months of sales surges can't undo years of declining revenue and consistently negative net income.More importantly, I don't see Blue Apron having consecutive months of meaningful sales increases. Primarily, APRN is a pure bull market stock. Simply put, the company's products are too expensive.From their website, a two-serving vegetarian meal package costs just under $60 a week. If you were to buy it for the full year, we're talking $3,120. Contextually, it's not bad if we were living in a bull market. However, only a brave soul would deny that we're careening toward a recession. In this scenario, that $60 a week can be put to far better use.And consider Kroger (NYSE:KR), which is heavily marketing its delivery and online order pick-up services. When funds are tight, your money will go much further at Kroger and they offer similar conveniences. No Room for Luxuries in a RecessionAnother problem that I have with Blue Apron stock is that the underlying business is almost a pure luxury play. Bluntly, this is a service for people with vast amounts of disposable income. And that's why your typical Blue Apron customer is older.Let's just look at the situation here. The appeal for this company comes from the concept that you can quickly prepare healthy gourmet meals at home. However, the packaged meals still require some minimal preparation for best results, which somewhat defeats the purpose of having someone else cook your food for you.To be fair, you're getting amazing food for a minimal time investment. That alone and without any other context may appeal to millennial foodies. But as I mentioned above, the cost is prohibitive, especially in this compromised economic environment. Furthermore, what do people have plenty of right now? Time.Thus, the bear case comes down to a very rational, logical deduction: a poor economy plus deflated personal funds but time to spare incentivizes traditional grocery shopping. In turn, Blue Apron can only market its products to very financially secure families. And right now, that demographic is steadily declining.A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * 25 Stocks You Should Sell Immediately * 1 Under-the-Radar 5G Stock to Buy Now * This Stock Picker's Latest Video Just Went Viral * The 1 Stock All Retirees Must Own The post Blue Apron Stock Will Eventually See Red appeared first on InvestorPlace.

Companies In The News Are: OPK, AOBC, DXPE, TGNA

Defined as companies with market caps between $300 million and $2 billion, small-cap stocks have the potential for big returns. Here is a list of three small-cap stocks to buy in May. The first pick, Glu Mobile (NASDAQ: GLUU), is a bet on the fast-growing mobile gaming industry. The other two picks, Upwork (NASDAQ: UPWK) and American Outdoor Brands Corp. (NASDAQ: AOBC), are bets on the freelancing revolution and America's passion for firearms in times of uncertainty.

As fear over the new coronavirus, or COVID-19, grips the U.S., a diverse crowd of many ages and ethnicities waited out a 2-hour line to purchase firearms and ammunition outside a Sloatsburg, New York, outdoor gear and weapons shop on Saturday.

American Outdoor Brands (NASDAQ:AOBC) shareholders are no doubt pleased to see that the share price has bounced 31% in...

Beazer Homes is one of those stocks that is way more volatile than the underlying business, offering a margin of safety Continue reading...

Whilst it may not be a huge deal, we thought it was good to see that the American Outdoor Brands Corporation...

American Outdoor Brands Corporation (NASDAQ Global Select: AOBC), one of the world's leading providers of firearms and quality products for the shooting, hunting, and rugged outdoor enthusiast, today announced that it will change its name to Smith & Wesson Brands, Inc., effective June 1, 2020. The name change reflects the company's preparation for the previously announced spin-off of its outdoor products and accessories business as a tax-free stock distribution to its stockholders in late summer 2020, a transaction that would create two independent, publicly traded companies: Smith & Wesson Brands, Inc. (which would encompass the firearm business) and American Outdoor Brands, Inc. (which would encompass the outdoor products and accessories business).