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Nonlethal weapons manufacturer increases production ahead of US elections

Byrna sees potential unrest following the US presidential election / Photo: AFP/Getty Images

Nonlethal weapons manufacturer Byrna Technologies has increased production to be ready for a potential pickup in demand should the upcoming US presidential election, scheduled for November 5, lead to unrest.

Details

Byrna has expanded its production of nonlethal weapons to 18,000 units per shift, the company announced in its second-quarter financials for fiscal year 2024 (ended May 31). This ramp-up has allowed the company to build inventory, as it wants to be ready for what could be an increase in demand due to possible unrest in the wake of the US presidential election, stated Byrna CEO Bryan Ganz. Another factor for the inventory build, Ganz mentioned, was the holiday season at the end of the year.

Other company news

In the second quarter, Byrna’s net revenue grew 76% year-over-year to $20.3 million. Net profit was $2.1 million, compared to a net loss of $1.1 million in the same period last year. Revenue came in 0.1% below the consensus forecast provided by Zacks, whereas profit beat expectations: quarterly earnings were  $0.13 per share, while analysts had expected a loss of $0.01 per share, according to Zacks Equity Research. In the last four quarters, the company has delivered a beat on the consensus EPS forecast three times, Zacks noted.

On Tuesday, July 9, Byrna’s stock opened with a sharp rise, at one point advancing more than 15% to nearly $12 per share. However, in the second half of the day, quotes began to fall, and Byrna closed at $9.98 per share, down 3.2% from the day before. In Wednesday’s premarket trading, the stock was up 3.21% again. Over the last 12 months, the share price has more than doubled.

Analysts recommend buying Byrna Technologies, with a target price of $18.13 per share, according to MarketWatch.

What Byrna does

Byrna Technologies manufactures nonlethal weapons and ammunition. The company got started almost 20 years ago, initially developing weapons for law enforcement and the military, though this did not generate the expected revenue. Success came when the company shifted its focus to the needs of ordinary people and began selling guns that fired rubber bullets and special tear gas projectiles. Now, its products are mentioned on Fox News, social media, and podcasts, and can be purchased on Amazon.