Fox Factory (NASDAQ:FOXF) Shares Gap Down on Disappointing Earnings

Fox Factory Holding Corp. (NASDAQ:FOXF) shares gapped down prior to trading on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $21.96, but opened at $16.69. Fox Factory shares last traded at $16.58, with a volume of 303,631 shares traded.

The company reported $0.23 earnings per share for the quarter, missing the consensus estimate of $0.56 by ($0.33). The firm had revenue of $376.36 million during the quarter, compared to analysts’ expectations of $382.59 million. Fox Factory had a positive return on equity of 5.03% and a negative net margin of 17.50%.The company’s revenue was up 4.8% compared to the same quarter last year. During the same period last year, the business posted $0.35 EPS. Fox Factory has set its FY 2025 guidance at 0.920-1.120 EPS. Q4 2025 guidance at 0.050-0.250 EPS.

Analysts Set New Price Targets

A number of research firms have weighed in on FOXF. B. Riley reaffirmed a “neutral” rating and set a $32.00 target price (up previously from $26.00) on shares of Fox Factory in a report on Friday, August 8th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Fox Factory in a report on Wednesday, October 8th. Finally, Stifel Nicolaus set a $33.00 price objective on Fox Factory in a report on Tuesday, October 7th. Three equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $32.40.

Institutional Trading of Fox Factory

Hedge funds and other institutional investors have recently bought and sold shares of the stock. GAMMA Investing LLC increased its stake in shares of Fox Factory by 254.1% in the first quarter. GAMMA Investing LLC now owns 1,696 shares of the company’s stock worth $40,000 after buying an additional 1,217 shares during the period. Principal Financial Group Inc. boosted its holdings in shares of Fox Factory by 2.6% during the first quarter. Principal Financial Group Inc. now owns 231,030 shares of the company’s stock worth $5,392,000 after purchasing an additional 5,863 shares during the period. Envestnet Asset Management Inc. increased its holdings in Fox Factory by 29.1% during the 1st quarter. Envestnet Asset Management Inc. now owns 163,301 shares of the company’s stock valued at $3,811,000 after purchasing an additional 36,788 shares during the period. Nisa Investment Advisors LLC grew its position in shares of Fox Factory by 474.4% in the 1st quarter. Nisa Investment Advisors LLC now owns 1,993 shares of the company’s stock worth $47,000 after buying an additional 1,646 shares during the last quarter. Finally, Bridges Investment Management Inc. increased its stake in shares of Fox Factory by 127.8% during the first quarter. Bridges Investment Management Inc. now owns 63,455 shares of the company’s stock valued at $1,481,000 after buying an additional 35,599 shares during the period.

Fox Factory Price Performance

The company has a debt-to-equity ratio of 0.70, a current ratio of 3.03 and a quick ratio of 1.36. The business has a 50 day moving average of $25.04 and a 200 day moving average of $25.85. The company has a market cap of $702.76 million, a PE ratio of -2.73 and a beta of 1.43.

Fox Factory Company Profile

Fox Factory Holding Corp. designs, engineers, manufactures, and markets performance-defining products and system worldwide. The company offers powered vehicle products for side-by-side vehicles, on-road vehicles with and without off-road capabilities, off-road vehicles and trucks, all-terrain vehicles, snowmobiles, and specialty vehicles and applications, such as military, motorcycles, and commercial trucks; lift kits and components with shock products and aftermarket accessory packages for trucks; and mid-end and high-end front fork and rear suspension products.