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Shares of Sturm Ruger (RGR) jump 2.2% premarket after peer Smith & Wesson (SWHC) reports strong...

Shares of Sturm Ruger (RGR) jump 2.2% premarket after peer Smith & Wesson (SWHC) reports strong sales in its most recent quarter along with a growing backlog of orders. SWHC +13.2% premarket.
Comments (5)
  • JohnLocke
    , contributor
    Comments (381) | Send Message
     
    GLOCK has stopped taking orders for this year, Homeland Security bought every .40 Caliber Glock Pistol available along with the rest of this years production.

     

    Homeland also purchased through an IDIQ contract 450 Million rounds of ammo for the above weapons.
    21 May 2012, 08:58 AM Reply Like
  • mickmars
    , contributor
    Comments (1323) | Send Message
     
    Maybe people are purchasing so many guns because they expect to fire off celebratory gunfire when the economy recovers.
    21 May 2012, 09:04 AM Reply Like
  • jjmc2001
    , contributor
    Comments (1293) | Send Message
     
    Don't forget the ammo. Long OLN which sells all it can make at it's Winchester division. About 30% of revenue,
    21 May 2012, 09:20 AM Reply Like
  • roy.d.budd@mssb.com
    , contributor
    Comment (1) | Send Message
     
    jjmc2001....is on target with OLN...Firearms without ammo are
    just expensive paperweights. The demand for ammo , especially
    handgun ammo is just getting stronger...In the "real old
    west " bullets were used for bartering

     

    '
    21 May 2012, 01:25 PM Reply Like
  • jjmc2001
    , contributor
    Comments (1293) | Send Message
     
    During the 2008 election the US experienced a massive ammo and gun shortage as many believed Obama would introduce anti-gun legislation. If he wins in 2012 or is ahead in the polls this will occur at an even more accelerated pace later this year. Other than Sturm Ruger and S &W there are few pure plays in this market segment but OLN is a closely linked name with the Winchester division. Alas I sold my RUGR after it doubled a while back. OLN also pays about a 4% yield but the dividend has been flat for years. An even better play is to just buy the guns themselves as many have. Easy to buy and sell legally with little downside risk.
    21 May 2012, 01:46 PM Reply Like
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