Stifel Lowers Fox Factory (FOXF) PT to $33 Amid Lowered Q3 2025 Estimates

Core Insights - Fox Factory Holding Corp. is considered a cheap stock with potential for the next five years, despite a lowered price target from Stifel analyst Peter McGoldrick [1] - The company reported net sales of $375 million in Q2 2025, showing growth across all business segments, but net income decreased to $2.7 million from $5.4 million year-over-year [2] - The company faces significant headwinds from increased tariffs, with the pre-mitigation tariff impact rising from $38 million to $50 million, prompting strategies for supply chain optimization and relocation of manufacturing [3] Financial Performance - Q2 2025 net sales reached $375 million, indicating growth across all three business segments [2] - Net income for Q2 2025 was $2.7 million, a decline from $5.4 million in the same period last year [2] Market Challenges - The most significant challenge for the company is the impact of tariffs, which have increased costs substantially [3] - The CFO highlighted the increase in pre-mitigation tariff impact, which rose from $38 million to $50 million [3] - The company is implementing mitigation strategies, including optimizing the supply chain and relocating manufacturing processes [3]