KeyBanc Capital Markets downgrades gun sellers Sturm Ruger (RGR -4.4%) and Smith & Wesson (SWHC -7.5%). Forget about any talk about the Obama or Romney election factor, this is a good ole fashioned valuation call as both stocks have run up solid YTD gains and appear to have maxed out profitability. KeyBanc's ratings: SWHC to Hold from Buy, RGR to Underweight from Hold. [View news story]
I'll still like that nice 3.4% yield from RGR to go along with their 29% ROE.
KeyBanc Capital Markets downgrades gun sellers Sturm Ruger (RGR -4.4%) and Smith & Wesson (SWHC -7.5%). Forget about any talk about the Obama or Romney election factor, this is a good ole fashioned valuation call as both stocks have run up solid YTD gains and appear to have maxed out profitability. KeyBanc's ratings: SWHC to Hold from Buy, RGR to Underweight from Hold. [View news story]