Vista Outdoor Inc (VSTO)

Shares of Vista Outdoor (VSTO) dropped by 23.72% from $32.80 to $25.02 in the trading on Monday, October 16, 2023. The reasons why VSTO stock down include:

• Lower FY2024 Guidance: Vista Outdoor Inc. revised its earnings guidance for the fiscal year 2024 downward. The company now anticipates revenue to range between $2.73 billion and $2.86 billion for the year ending March 2024, compared to its previous projection of $2.85 billion to $2.95 billion. Additionally, the company expects earnings per share (EPS) to be in the range of $3.37 to $3.77.
• Business Sale Announcement: Vista Outdoor announced its intention to sell its sporting products business in a $1.91 billion deal. Despite this announcement, the company's shares plummeted by about 23% in today trading. The sale, which involves the sporting products unit, including its guns and ammunition business, will be conducted in an all-cash transaction to privately held Czechoslovak Group a.s. (CSG) and is expected to be completed in the next calendar year.