Fox Factory (NASDAQ:FOXF) Releases Quarterly Earnings Results, Beats Expectations By $0.19 EPS

Fox Factory (NASDAQ:FOXF) announced its quarterly earnings data on Thursday. The company reported $0.37 EPS for the quarter, topping the consensus estimate of $0.18 by $0.19, Zacks reports. Fox Factory had a negative net margin of 20.39% and a positive return on equity of 5.39%. The company had revenue of $358.12 million during the quarter, compared to the consensus estimate of $352.94 million. During the same quarter last year, the firm posted $0.40 EPS. The company’s quarterly revenue was down 4.5% on a year-over-year basis.

Here are the key takeaways from Fox Factory’s conference call:

• Raised full-year revenue guidance to $1.42 billion-$1.47 billion and narrowed adjusted EBITDA guidance to $176 million-$196 million, despite roughly $20 million of incremental input-cost inflation versus the original plan.
• The profit-optimization program remains on track, with more than $25 million of gross savings captured in the first half toward the approximately $50 million 2026 target; lower operating expenses and improved working capital also supported sequential margin expansion.
• Elevated steel and aluminum, freight, fuel, tariffs, and supply-chain costs continue to pressure profitability, while aluminum shortages affecting Ford F-150 production and Toyota production cuts constrained automotive-related volumes.
• Powersports revenue grew 22.5% year over year in the quarter, while new vehicle awards, including an autonomous EV program and expanded Live Valve applications, are expected to contribute meaningful volume beginning in late 2026 and into 2027-2028.
• Bike demand is stabilizing but management expects the business to be roughly flat year over year, while Marucci is relying on delayed bat launches, softball growth, and inventory cleanup to improve second-half performance.

Fox Factory Trading Up 12.0%

Fox Factory stock traded up $2.27 during trading hours on Friday, reaching $21.13. The company had a trading volume of 1,981,673 shares, compared to its average volume of 499,787. The company has a debt-to-equity ratio of 1.00, a current ratio of 2.99 and a quick ratio of 1.52. Fox Factory has a 12-month low of $13.08 and a 12-month high of $30.75. The company has a 50-day moving average price of $18.09 and a 200 day moving average price of $17.78. The firm has a market cap of $886.19 million, a price-to-earnings ratio of -2.96, a P/E/G ratio of 0.74 and a beta of 1.35.

Hedge Funds Weigh In On Fox Factory

Several hedge funds have recently made changes to their positions in the business. Nantahala Capital Management LLC lifted its position in shares of Fox Factory by 200.3% in the 4th quarter. Nantahala Capital Management LLC now owns 2,188,300 shares of the company’s stock worth $37,442,000 after purchasing an additional 1,459,652 shares during the period. Towle & Co. bought a new stake in Fox Factory during the 4th quarter valued at approximately $8,967,000. Renaissance Technologies LLC grew its holdings in shares of Fox Factory by 294.3% during the 4th quarter. Renaissance Technologies LLC now owns 547,693 shares of the company’s stock worth $9,371,000 after acquiring an additional 408,800 shares during the period. Tenzing Global Management LLC purchased a new position in shares of Fox Factory during the 2nd quarter worth approximately $9,079,000. Finally, Empowered Funds LLC bought a new position in shares of Fox Factory in the 4th quarter worth approximately $3,285,000.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on FOXF shares. Weiss Ratings lowered Fox Factory from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Monday, May 11th. Roth Capital reaffirmed a “neutral” rating and set a $20.00 target price on shares of Fox Factory in a report on Friday, May 8th. Bank of America lowered shares of Fox Factory from a “neutral” rating to an “underperform” rating and reduced their price target for the company from $24.00 to $20.00 in a research report on Tuesday, June 30th. Needham & Company LLC restated a “buy” rating on shares of Fox Factory in a research note on Wednesday, June 3rd. Finally, Stifel Nicolaus set a $24.00 price objective on shares of Fox Factory in a research report on Thursday, April 16th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $21.00.

Key Headlines Impacting Fox Factory

Here are the key news stories impacting Fox Factory this week:

• Positive Sentiment: Fox Factory reported second-quarter fiscal 2026 adjusted earnings of $0.37 per share, well above the $0.16–$0.18 analyst consensus, while revenue of $358.1 million also surpassed estimates of approximately $352.9 million. Fox Factory Reports Second Quarter Fiscal 2026 Financial Results
• Positive Sentiment: Management projected third-quarter revenue of $355 million to $380 million, above the roughly $345.1 million consensus estimate, signaling expectations for sequential improvement. Fox Factory Third-Quarter Revenue Forecast
• Positive Sentiment: The company outlined 2026 sales expectations of approximately $1.42 billion to $1.47 billion and reaffirmed its goal of achieving $50 million in cost savings. The savings plan could support margins and profitability if successfully implemented. Fox Factory 2026 Sales Outlook and Cost Savings Goal
• Neutral Sentiment: Brokerages maintained a consensus “Hold” recommendation, suggesting analysts see a balanced risk-reward profile despite the earnings and guidance beats. Fox Factory Receives Consensus Hold Recommendation
• Negative Sentiment: Second-quarter revenue declined 4.5% year over year, and EPS fell from $0.40 in the prior-year period to $0.37. Fox Factory also reported a negative net margin, highlighting continued profitability pressure despite the quarterly beat. Fox Factory Beats Second-Quarter Earnings and Revenue Estimates

About Fox Factory

Fox Factory Holding Corp., headquartered in Duluth, Minnesota, designs, engineers and manufactures high-performance suspension systems, shock absorbers and related components for powersports, light-vehicle and mountain-bike applications. The company’s FOX brand offers a comprehensive portfolio of forks, shocks, coilovers and internal bypass dampers aimed at OEM and aftermarket customers seeking enhanced ride quality, control and durability across off-road vehicles, motorcycles and bicycles.

Founded in 1974 by Bob Fox in California, Fox Factory has expanded its technology base and market reach through strategic acquisitions such as Marzocchi Suspension, DVO Suspension and Walker Evans Racing.