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Gun stocks taking a beating... when to buy?

Posted on 12/18/12 at 1:31 pm
Posted by C
Houston
Member since Dec 2007
27844 posts
Posted on 12/18/12 at 1:31 pm
RGR - Sturm Ruger and Company is the one thats of interest to me. They just paid a huge pre-tax cliff dividend but have been paying an increasing quarterly dividend for the past 3 years after a 3 year hiatus from paying a dividend. despite losing about 15% over the past few days, it's still up +20% on the year.

I'm going to give it a few more days, but if it keeps dropping on just rumor, I'm going to dive in.
Posted by LSUTOM07
Baton Rouge
Member since Dec 2011
765 posts
Posted on 12/18/12 at 2:12 pm to
quote:

but if it keeps dropping on just rumor


What's the rumors? I haven't been keeping up with it.

I would imagine that if there continues to be talks about stricter gun laws, gun sales will go up before the go down...
Posted by Dan
Austin
Member since Dec 2006
2454 posts
Posted on 12/18/12 at 4:35 pm to
I just came her to post this same question. Smith & Wesson down 10% on it's largest trading day ever? I don't expect these prices to jump back up in a hurry but I feel they'll slowly recoup much of today's pps drop as the sentiment cools down in the next few months.
Posted by djmicrobe
Planet Earth
Member since Jan 2007
4970 posts
Posted on 12/18/12 at 6:55 pm to
Stupid people. Gun stocks should go up because you are the first line of defense before the cops get there.
Everyone innocent person needs a gun. The criminals already have them.
Posted by foshizzle
Washington DC metro
Member since Mar 2008
40599 posts
Posted on 12/18/12 at 7:02 pm to
Totally depends on legislation, everyone is just guessing at this point. My guess is that shotgun and handgun makers will do fine, but that is just a guess and I won't bet any money on it.
Posted by LSUTOM07
Baton Rouge
Member since Dec 2011
765 posts
Posted on 12/19/12 at 11:25 am to
Smith and Wesson up 8% and Ruger up 5%. Nice rebound after yesterday
Posted by stendulkar
Member since Aug 2012
767 posts
Posted on 12/19/12 at 12:24 pm to
Anybody have a list of gun stocks other than the two mentioned above?

Also are Ruger and Smith and Wessson still good buys @ today's rates despite their rally from yesterday's lows?

Lastly, if the automatic weapons ban comes back, will it affect RGR and SWHC? Like the other poster asked, what is their exposure to automatic guns? Or so these guys only make hand guns?
This post was edited on 12/19/12 at 12:31 pm
Posted by kevv824
Member since Sep 2006
2386 posts
Posted on 12/19/12 at 3:36 pm to
Posted by LSUTOM07
Baton Rouge
Member since Dec 2011
765 posts
Posted on 1/28/13 at 8:57 am to
Anyone have any thoughts on when the guns stocks will hit their peak? I'm currently up 28% in RGR with earning to be released late February. I have a gut feeling the stock will get a nice lift after the earnings are released but a lot can happen in a month.
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