Less-lethal weapons maker Byrna hits three-year high
Shares of less-lethal weapons manufacturer Byrna Technologies advanced nearly 5% on Tuesday, December 17, to three-year highs. The company announced plans to boost U.S. production by 33% and open a new facility. Byrna also committed to exiting China and sourcing all the components for its flagship product domestically by the end of 2025, a decision accelerated by Donald Trump’s election as U.S. president.
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Byrna Technologies stock climbed nearly 5% on the Nasdaq on Tuesday to $27.40 per share — its highest close since September 2021. Before the bell today, Wednesday, December 18, the shares are up another 0.7%. For the year to date, Byrna has soared nearly 330%, while over the last five years, its market value has exploded 1,343% — a 14-fold increase.
On Tuesday, Byrna announced that starting in January 2025, it would increase U.S. production of its weapons by 33% to 24,000 units per month. To achieve this, its Indiana facility will operate two shifts five days a week, with occasional Saturday shifts. Additionally, Byrna plans to begin manufacturing ammunition at a new facility near its existing plant.
These measures are said to be part of Byrna’s “Made in America” strategy, which the company has pursued since 2020. Following Trump’s election as president, Byrna accelerated its plans, committing to end its reliance on Chinese suppliers within six months and source 100% of the components for its flagship Byrna SD device domestically by the end of 2025. Currently, 79% of the components are U.S.-sourced, the company noted.
“It’s not only the patriotic thing to do; it’s also good business… We are creating well-paying jobs for American workers, reducing lead times, and eliminating the risks associated with unreliable foreign suppliers and geopolitical uncertainty,” said Byrna CEO Bryan Ganz in a company statement.
While purchase prices may increase, transitioning to U.S.-based components is expected to lead to higher margins thanks to increased freight efficiency, higher volumes, and improved supply chain efficiencies, according to the company.
About Byrna Technologies
Over 20 years ago, Byrna began developing its products for the military and law enforcement. However, it took off when it shifted its focus to retail customers, such as homeowners, hunters, and weapons collectors. Today, Byrna products are available online at Amazon and pushed by influencers, including radio hosts and podcasters Dan Bongino, Dana Loesch, and Mike Gallagher.
For the fiscal-2024 full year, which ended November 30, Byrna’s revenue doubled to $85.8 million, according to preliminary earnings released on December 10. Notably, these numbers exclude sales from Black Friday and Cyber Monday, as orders placed from Thanksgiving (November 28) will be reflected in the fiscal-2025 first quarter.
In August, Byrna announced plans to spend up to $10 million over the next two years to buy back stock, believing that the company remains undervalued.
According to MarketWatch, all four analysts covering Byrna have a “buy” recommendation. However, their average target price of $25.60 per share is slightly below the current market price.
