Byrna Technologies, Inc. (BYRN)
NASDAQIndustrialsAerospace & DefenseSnapshot 2026-09-09
$3.58-1.24%
Close 2026-09-09 · 1-day change
NASDAQIndustrialsAerospace & DefenseSnapshot 2026-09-09
Broken: Primary pillar broken — Improve gross and operating margins in fiscal 2026: gross margin 10.9% vs 59.9% (Q1); operating margin -78.4% vs 3.2% (Q1).
Byrna aims to improve profit margins in 2026 as startup costs end. Revenue hit $29 million in 2026-Q1, matching guidance. The company trades cheap with a PE of 15.4 versus peers at 38. Analysts expect small revenue growth next year.
Profit margins fell sharply in 2026-Q1 despite plans to improve. The company missed earnings several times recently. Key executives, including the president, left in 2026. Revenue growth is weak and earnings remain negative.
The price is about 43% below our fair value near $11. Analysts expect about 3% revenue growth, which the price reflects. Our fair value is slightly above the Street median.
Breaks if: additional key executive departures occur
Breaks if: gross profit and operating income do not improve over FY26
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a turnaround situation. The company is currently experiencing significant challenges in revenue and margins, while management is focused on improving retail productivity and brand messaging.
The market seems to have priced in a low expectation for performance, as indicated by the valuation being cheap compared to peers. However, there is a notable expectations gap, suggesting that the market may not fully believe in a turnaround yet.
Fundamentals are likely to remain under pressure in the near term due to weak financial performance and high risk. Management's efforts to improve margins and expand the retail footprint have shown limited progress so far.
The future performance of BYRN hinges on the company's ability to execute its management priorities effectively and the overall health of the Industrials sector. Key indicators will include guidance from sector bellwethers and the company's next earnings call.
The most important moves since the prior daily snapshot.
Yes, our read has weakened. The latest earnings miss has negatively impacted the outlook for BYRN. Recent financial performance remains weak, which raises concerns about its future trajectory.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Improve gross margin through product mix changes, price increases, manufacturing efficiency, and cost reductions including ceasing in-house ammo manufacturing.
Stated as a priority in 2 of last 2 quarters. Gross margin collapsed from 60% in 2026-Q1 to 11% in 2026-Q2 due to a $5.9 million inventory write-down and $3.5 million equipment impairment. Management ceased in-house ammo manufacturing and reduced production lines to improve cost efficiency. The trajectory shows significant margin pressure currently, with margin improvement expected as one-time costs complete.
“Reduced production capacity and exited in-house ammo manufacturing to reduce costs and operating complexity.”
“Expect gross margin expansion in back half of year given product mix, price increases, and manufacturing efficiency.”
Breaks if: revenue falls below $29M in 2026-Q1 or declines thereafter
In the next 1 to 3 years, BYRN's outlook will depend heavily on management execution and sector performance. Not investment advice.