Are These Gun Stocks Obama-Proof?
Sturm, Ruger & Co. (NYSE:RGR):
The gun policy announcement began shortly before 12:00 p.m. ET and coincided with a large move in Ruger shares. As the chart below shows, the gunmaker made a clear reversal and climbed above $50 for the first time since early December.
Since 2008, shares have surged from only $8 to as high as $60. Last March, Ruger announced that it had to suspend the acceptance of new orders for the first time in company history, due to heavy demand. In the first quarter of 2012, the company received orders for more than one million units. In late May, it resumed the normal acceptance of orders, explaining that “Demand for our products is very strong, and the current backlog remains significantly above year ago levels. Our production and shipments in the first quarter of 2012 increased more than 50 percent from the first quarter of 2011 and remain very strong.”
Another gunmaker shoots higher…