Byrna Technologies Inc. (BYRN:NASDAQ) partnered with media personality, Glenn Beck, and his company Blaze Media to broaden its reach and reinforce its presence in the personal security market, noted a news release. Byrna develops, manufactures and sells non-lethal weapons, accessories and related products for use by not just by individual consumers but also law enforcement agencies and private security firms.
"Adding Glenn Beck to our roster of celebrity spokespeople aligns with our strategy to further enhance brand recognition and drive significant growth in both web traffic and sales," Byrna's Chief Marketing and Revenue Officer Luan Pham said in the release. "Through Blaze Media, we will not only tap into Glenn's substantial audiences but also engage with the wider audience across the Blaze TV network."
Pursuant to the partnership with Beck, live and recorded advertisements for Byrna soon will start airing on "The Glenn Beck Program" and "The Glenn Beck Weekend Show" and run throughout the year. Beck's syndicated radio program is broadcast to more than 300 U.S. radio stations and reaches millions of listeners. Byrna will gain exposure through Blaze Media, too, via digital television ads, podcasts and live endorsements on Blaze TV.
Also, Byrna will offer a "Glenn Beck Discount," or exclusive pricing, on certain of its products.
Providing Alternatives to Deadly Weapons
This Andover, Mass.-based company aims to provide to the public and specific industries around the world safety and security solutions that are legal, reliable and effective and but not lethal. Its core products are the Byrna handheld carbon dioxide-powered launcher, available in pistol and rifle forms, and the non-fatal ammunition is uses. Byrna Technologies also sells body armor, bulletproof backpacks, aerosol sprays, personality security alarms and more.
In the last four years, the defense technology firm sold 300,000 of its launchers, according to its November 2023 presentation. Today, Byrna has 500 dealer locations, a retail center with shooting lanes in Las Vegas, Nev., and three factories, in Fort Wayne, Ind.; Pretoria, South Africa; and Buenos Aires, Argentina.
The company has 30-plus international agencies as customers. Earlier this month, Byrna presented its products in Brazil, over several days, to various law enforcement agencies from throughout the country, the company's blog noted.
In addition to Beck, Byrna Technologies previously entered into strategic partnerships with media personalities Judge Jeanine Pirro and Sean Hannity. These efforts are all part of the new advertising approach the company shifted to in September.
"Through this strategic change, we pivoted away from traditional social media channels in favor of a more targeted approach via celebrity endorsement, talk radio, and non-social media online advertising efforts," the company said.
According to Zacks Investment Research, the fresh focus already is reaping rewards, as evidenced in Byrna's Q4/23 earnings and recent share price jump.
The company preliminarily reported its Q4/23 revenue as US$15.6 million (US$15.6M). This is 120% higher than the previous quarter's revenue of US$7.1M.
Zacks reported in an article that on Jan. 23 Byrna's stock rose 7% whereas it had lost 12.5% in the prior four weeks.
"The surge in price can be attributed to success of the company's revamped advertising strategy, contributing to substantial growth in sales across Byrna.com, Byrna.ca, Amazon.com and dealer/distributor channels," wrote Zacks.
Demand for Non-fatal Options Increasing
The global non-lethal weapons market had a growth spurt during COVID and is primed for additional expansion in the next few years, Mordor Intelligence reports. This market research firm forecasts the market will reach US$10.21 billion (US$10.2B) in value by 2028, a 32% increase from US$7.74B in 2023.
"There is a rise in the demand for non-lethal weapons due to their advanced features and ability to control riot situations without causing casualties," Mordor notes.
One of Byrna Technologies' global target markets, self-defense products, also "has experienced rapid growth in recent years and is projected to continue its significant expansion from 2023 to 2031," due to an increasing numbers of crimes against women and greater demand for individual safety, according to Market Research Intellect.
This market, Acumen Research and Consulting data show, is projected to reach US$4.5B in value by 2030, reflecting about a 55% increase from US$2.9B in 2021.
The Catalyst: Further Revenue Growth
Byrna Technologies expects to see increasing sales, driven by its changed advertising tack and its continuing efforts in this regard, the company said.
Also, the company has another product in the works, a compact version of its launcher, ideal for women and concealed carry. Commercialization of this latest addition and increased sales overall each could boost Byrna Technologies' stock price.
In fact, two analysts recently increased their target prices on Byrna in response to its preliminary Q4/23 revenue announcement. Jon Hickman at Ladenburg Thalman raised his target 7%, and Jeff Van Sinderen at B. Riley Securities raised his 14%, as reported by Tip Ranks. Both analysts rated Byrna Buy.
In a Jan. 17, 2024 report, Hickman highlighted the significant uptick in Byrna's Q4/23 revenue and attributed it to the company's shift in advertising strategies to one focused on influencer marketing.
Van Sinderen, in a Dec. 20, 2023 note, raised his full-year 2023 sales and earnings per share estimates for Byrna.
Zacks reiterated its Buy on Byrna, and Stock Traders Daily rated it Strong in the near and midterm, both as indicated in articles published last week.
Steve Palmer, president and chief executive officer of AlphaNorth Asset Management, recently told Streetwise that Byrna "is one of those stories where the numbers kind of speak for themselves." He added that the small cap stock was one likely to outperform in a scenario of declining real interest rates.
According to experts, Byrna Technologies is a company investors should consider. Data show its less-lethal weapons, products and accessories are in demand by individuals, private security firms and law enforcement agencies, and the respective markets are forecasted to grow over the next four to five years. With its revamped marketing strategy, the company started realizing increased revenue, and this should continue, analysts said.
Ownership and Share Structure
According to Reuters, 11 insiders own 20.21%, or 4.44 million (4.44M) shares, of Byrna Technologies. The insider holding the largest stake is Pierre Lapeyre Jr., manager of the Permianville Royalty Trust, with 13.16%, or 2.89M shares. Byrna's Chief Executive Officer, President and Director Bryan Ganz owns 3.16%, or 0.69M shares, the second largest holding. Next is Northeast Industrial Partners, a Massachusetts investment firm, with 2.18%, or 0.48M shares. Director Herbert Hughes holds 0.53%, or 0.12M shares, and Director Chris Reed owns 0.5%, or 0.11M shares.
Institutional ownership is 24.66%, or 5.42M shares. Of the 53 institutional owners, the Top 5 are Arrowmark Colorado Holdings LLC with 7.33%, or 1.61M shares; The Vanguard Group Inc. with 3.53%, or 0.78M shares; Investment NY Advisers LLC with 3.22%, or 0.71M shares; Wealthspire Advisors LLC with 2.56%, or 0.56M shares; and BlackRock Institutional Trust Co. with 1.3%, or 0.29M shares.
Byrna Technologies, notes Reuters, has 21.98M shares outstanding and 17.54M free float traded shares. The company's market is $151.42M, and its 52-week trading range is $2.19-10.38 per share.
Raymond James Analyst Brian Gesuale also covers this company .
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