Entering text into the input field will update the search result below

Who is Gemtech?

Kevin Mackie profile picture
Kevin Mackie


  • Gemtech is ''the world's leading silencer company.''
  • ''Silencer'' is a misnomer: suppressors do a lot more than make a gun more quiet.
  • This acquisition is in line with AOBC's goal of becoming ''the leading provider of high-quality products for the shooting. enthusiast''.

This morning American Outdoor Brands Co. (AOBC) announced their intent to acquire Gemini Technologies, a designer/manufacturer of suppressors for a full range of firearms. Suppressors, more commonly referred to as ''silencers'', are a firearm extension that reduces the level of sound generated by the muzzle blast when a round is fired. The media and entertainment industry has made many assume that suppressors are only used by James Bond or Delta Force types in clandestine situations. It is also common for people to think that silencers are illegal for everyday folks. This article is to show that neither of the above are true and that the market for suppressors is actually quite large within the shooting community, making this acquisition a smart, albeit small addition to AOBC's growing family of brands.

Suppressors are legal for purchase by private individuals in 42 states. The market for suppressors is growing at double digit rates and becoming mainstream for a variety of compelling reasons:

1) Suppressors reduce the level of noise from muzzle blast by an average of 30dB, which is similar to the reduction achieved by using standard ear protection. For anyone who shoots on a regular basis this advantage is considerable as it protects the hearing health of everyone nearby. It is important to understand that ''silencers'' do not at all make a gun silent. That is why it is a misnomer. But the noise level is reduced significantly which makes the sport safer and more enjoyable. Hearing protection is still advised however even when using a suppressor, especially when firing a supersonic round since silencers don't stop the sonic boom from when a bullet breaks the sound barrier. In short, suppressors protect your ears and for shooting enthusiasts that is a big deal.

2) Suppressors reduce the level of felt-recoil and

This article was written by

Kevin Mackie profile picture
Value strategies resonate with me, and I don't relegate myself to any sector or industry. You could say I am an equal opportunity investor: if a company meets my investment criteria, I will buy. Big picture, I look for three main things in a stock before I consider it for investment: Does the company have a product or service that will be in demand in the future? Does the company have a demonstrated history of success and are they on solid financial footing today (i.e., a manageable debt load and strong cash flow generation)? Can I purchase their stock for a reasonable price? If I can verify each of these things, I then look at how that company deploys their free cash flow to enrich their shareholders. Capital allocation is key. Money needs to be spent on the right thing at the right time, meaning that debt reduction should be prioritized over a dividend in most instances. Annual reports are also important to find any red flags or factors that strengthen the case for investment. That is the skeleton of my process, and it has served me well thus far. I appreciate engaging in intelligent dialogue with the SA community and look forward to learning with other users.

Analyst’s Disclosure: I am/we are long AOBC. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.