SharkNinja saw its shares gap higher for the second straight day after the household appliance maker's beat-and-raise quarterly earnings report. SharkNinja stock hit an all-time high on Friday.
In afternoon trades on the stock market today, SharkNinja stock rose 3.3% to 88.18. Earlier in the trading session, it reached a record high of 91.43. On Thursday, SN stock rocketed 17% higher.
At least three Wall Street analysts raised their price targets on SharkNinja stock after the company's second-quarter report early Thursday.
In the June quarter, the Needham, Mass.-based company earned an adjusted 71 cents a share, up 51% year over year, on sales of $1.25 billion, up 38%.
SharkNinja makes small appliances for cooking, food preparation, cleaning, beauty and more. Its products range from air fryers and blenders to vacuum cleaners and hair dryers.
Three-Pillar Growth Strategy
"We grew across all four of our major product categories" in the second quarter, SharkNinja Chief Executive Mark Barrocas told Investor's Business Daily. "Our cleaning business grew 20%, our heated cooking business grew 12%, our food prep business grew 90%. And our other business, which includes beauty and home environment, grew 250%. So really diversified growth from a product category perspective."
North American sales rose 35% while international sales increased 46% in Q2.
"Over the last 16 years, SharkNinja has grown at a compounded annual growth rate of 20% a year," Barrocas said. "We've never acquired a dollar of revenue in the company's history. We've grown over $4 billion organically just in the last 15 years."
SharkNinja has a three-pillar growth strategy, he says. The company is gaining market share in existing categories, expanding into new product categories and growing internationally.
SharkNinja is in 34 product categories now. The majority of its business is driven by about 120 to 130 different products, Barrocas said. As it launches new products, it prunes the lineup of underperforming products, he said.
SharkNinja Stock On Two IBD Lists
SharkNinja launched 25 new products last year and will launch 25 more this year. New products for 2024 include outdoor coolers and indoor-outdoor fans.
Its latest hit product is the Ninja Slushi Professional Frozen Drink Maker. The $269.99 slushy maker debuted on July 11 and sold out in two weeks. The company has a waiting list of 100,000 customers wanting to buy the product, Barrocas said.
On July 25, SharkNinja launched the Ninja Luxe Cafe at-home espresso and coffee maker. The 3-in-1 espresso, drip coffee and cold brew maker costs $499.99.
"We focus on delivering affordable, high-quality, accessible innovations to the consumer," Barrocas said.
SharkNinja stock is on two IBD lists: Leaderboard and Stock Spotlight. It also was Thursday's IBD Stock Of The Day.
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