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Fox Factory Holding Corp (NASDAQ:FOXF) shares tumbled to a 52-week low of $25.17, reflecting a stark downturn in the company’s market performance over the past year. The $1.06 billion market cap company, which according to InvestingPro analysis is currently trading below its Fair Value, has seen particularly volatile trading patterns recently. The manufacturer, known for its high-performance suspension products, has seen its stock price halve, with a 1-year change showing a significant decline of nearly 50%. Despite trading at a high P/E multiple of 162.8x, the company maintains strong liquidity with a current ratio of 2.8, and InvestingPro data shows expected net income growth ahead. Investors have been cautious as broader market trends and specific challenges within the industry have weighed heavily on the stock, leading to this new low point in its trading range. The company, while grappling with these headwinds, continues to navigate through a tough economic landscape that has not spared even the most robust of sectors. With annual revenue of $1.39 billion, Fox Factory demonstrates substantial market presence, though investors seeking deeper insights can access 10+ additional ProTips and comprehensive analysis through InvestingPro’s detailed research reports.
In other recent news, Fox Factory Holding Corp reported its fourth-quarter 2024 financial results, revealing an earnings per share (EPS) of $0.31, which fell short of the analyst forecast of $0.46. The company’s revenue for the quarter was $352.8 million, below the expected $385.63 million. Despite the earnings miss, the company provided a 2025 net sales guidance ranging from $1.385 billion to $1.485 billion, with adjusted EPS expected between $1.60 and $2.60. Jefferies analyst Anna Glaessgen revised the price target for Fox Factory to $38.00 from $45.00 but maintained a Buy rating, noting a modest recovery in the bicycle sector and ongoing challenges in other segments.
Meanwhile, Stifel analysts maintained their Buy rating with a $40.00 price target, expressing optimism about the company’s recovery prospects in key markets. The analysts anticipate that a potential recovery in end-markets could accelerate Fox Factory’s performance in 2025. They also highlighted the company’s valuation, which they consider attractive given its trading at less than 10 times the price-to-earnings ratio based on fiscal year 2026 EPS estimates. Fox Factory announced a $25 million cost reduction initiative aimed at improving operational efficiency and margins.
The company is also focusing on growth in its Aftermarket Applications Group and Marucci segment, with expectations for the powersports and bike segments to remain flat. Fox Factory’s strategic moves, including operational consolidation and cost-saving measures, are expected to support its long-term growth amid current market challenges.
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