The stock price of AMMO Inc (NASDAQ: POWW) has plunged by -1.39 when compared to previous closing price of 1.80, but the company has seen a 0.28% gain in its stock price over the last five trading sessions. prnewswire.com reported 2025-01-21 that Leverages Winchester’s integration across commercial ammunition value chain Enhances our ability to participate across high-margin specialty calibers Drives value creation through immediate adjusted EBITDA accretion and a fully realized expected synergy benefit of $40 million CLAYTON, Mo., Jan. 21, 2025 /PRNewswire/ — Olin Corporation (NYSE: OLN) (‘Olin’) today announced it has entered into a definitive agreement with AMMO, Inc. (NASDAQ: POWW) (‘AMMO’) whereby Olin will acquire AMMO’s small caliber ammunition manufacturing assets for a purchase price of $75 million.
Is It Worth Investing in AMMO Inc (NASDAQ: POWW) Right Now?
POWW has 36-month beta value of 0.49. Analysts have mixed views on the stock, with 1 analysts rating it as a “buy,” 0 as “overweight,” 1 as “hold,” and 0 as “sell.”
The public float for POWW is 86.62M, and currently, short sellers hold a 5.65% ratio of that float. The average trading volume of POWW on February 13, 2025 was 1.06M shares.
POWW’s Market Performance
POWW’s stock has seen a 0.28% increase for the week, with a 34.47% rise in the past month and a 32.46% gain in the past quarter. The volatility ratio for the week is 5.93%, and the volatility levels for the past 30 days are at 8.04% for AMMO Inc The simple moving average for the last 20 days is 5.45% for POWW stock, with a simple moving average of 9.92% for the last 200 days.
Analysts’ Opinion of POWW
Many brokerage firms have already submitted their reports for POWW stocks, with ROTH Capital repeating the rating for POWW by listing it as a “Neutral.” The predicted price for POWW in the upcoming period, according to ROTH Capital is $3 based on the research report published on November 15, 2022 of the previous year 2022.
Lake Street, on the other hand, stated in their research note that they expect to see POWW reach a price target of $9. The rating they have provided for POWW stocks is “Buy” according to the report published on April 22nd, 2021.
ROTH Capital gave a rating of “Buy” to POWW, setting the target price at $9 in the report published on April 08th of the previous year.
POWW Trading at 30.09% from the 50-Day Moving Average
After a stumble in the market that brought POWW to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -39.63% of loss for the given period.
Volatility was left at 8.04%, however, over the last 30 days, the volatility rate increased by 5.93%, as shares surge +27.90% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +42.34% upper at present.
During the last 5 trading sessions, POWW fell by -0.28%, which changed the moving average for the period of 200-days by -31.05% in comparison to the 20-day moving average, which settled at $1.6827. In addition, AMMO Inc saw 61.36% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at POWW starting from WAGENHALS FRED W, who sale 221,138 shares at the price of $2.43 back on Mar 04 ’24. After this action, WAGENHALS FRED W now owns 7,066,700 shares of AMMO Inc, valued at $537,365 using the latest closing price.
WAGENHALS FRED W, the EXECUTIVE CHAIR of AMMO Inc, sale 30,590 shares at $2.40 during a trade that took place back on Mar 01 ’24, which means that WAGENHALS FRED W is holding 7,287,838 shares at $73,416 based on the most recent closing price.
Stock Fundamentals for POWW
Current profitability levels for the company are sitting at:
- -0.19 for the present operating margin
- 0.22 for the gross margin
The net margin for AMMO Inc stands at -0.15. The total capital return value is set at -0.07. Equity return is now at value -6.00, with -5.31 for asset returns.
Based on AMMO Inc (POWW), the company’s capital structure generated 0.04 points at debt to capital in total, while cash flow to debt ratio is standing at 1.31. The debt to equity ratio resting at 0.04. The interest coverage ratio of the stock is -34.82.
Currently, EBITDA for the company is 0.38 million with net debt to EBITDA at 4.59. When we switch over and look at the enterprise to sales, we see a ratio of 1.22. The receivables turnover for the company is 5.85for trailing twelve months and the total asset turnover is 0.35. The liquidity ratio also appears to be rather interesting for investors as it stands at 3.17.
Conclusion
To put it simply, AMMO Inc (POWW) has had a better performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
