This one is for my firearms followers.
If you have not heard, Jerrys/Ellet Brothers, the two distributors under the United Sporting Companies umbrella filled Chapter 11 on Monday.
Prospect Capital (PSEC) is a shareholder and a lender here.
Overall exposure for firearms manufacturers seems to be about $45 million in debt related to purchases, and what I believe Vista (VSTO) alluded to in their write downs.
Again, this one was coming and we discussed this starting about a year ago?
Will discuss this in more detail in my next American Outdoor Brands (AOBC) article with the earnings expectations for next week.
Furthermore, I was invited to be a guest in a shooting Podcast, "Shooting In The Woods", hosted by Shooting Gallery NE. It was an hour+ long podcast where we discussed the state of the industry and some of my favorite firearms.
Furthermore, later tonight, at 9:30 PM Eastern, there is a video coming out looking at the Thompson Center LRR. It is a precision rifle from American Outdoor Brands.
The reason why it is important is that as we discussed, precision shooting is one of the only growth areas we have seen in firearms over the last few years, particularly as it relates to the "Trump Slump."
Firearms such as these are important as they are generally higher priced firearms, $1,000 or higher, and go a long way towards created a "Halo" around other offerings.
Have any precision rifles?
Let me know!