ChuckD-MSB
10 years ago
Sturm, Ruger & Company, Inc. Announces the Repurchase of 680,800 Shares of Its Common Stock in the Fourth Quarter of 2014
January 06, 2015 05:05 PM Eastern Standard Time
SOUTHPORT, Conn.--(BUSINESS WIRE)--Sturm, Ruger & Company, Inc. (NYSE:RGR) announced today that during the fourth quarter of 2014 the Company repurchased a total of 680,800 shares of its common stock in open market transactions at an aggregate cost of $24.0 million. The average price per share repurchased was $35.22. These repurchases, which accounted for 3.5% of the outstanding shares of the Companyβs common stock as of the beginning of the fourth quarter, were funded with cash on hand.
At December 31, 2014, $76.0 million remained authorized and available for share repurchases and 18.7 million shares of common stock remained outstanding.
About Sturm, Ruger
Sturm, Ruger & Co., Inc. is one of the nationβs leading manufacturers of rugged, reliable firearms for the commercial sporting market. The only full-line manufacturer of American-made firearms, Ruger offers consumers over 400 variations of more than 30 product lines. For more than 60 years, Ruger has been a model of corporate and community responsibility. Our motto, βArms Makers for Responsible Citizens,β echoes the importance of these principles as we work hard to deliver quality and innovative firearms.
The Company may, from time to time, make forward-looking statements and projections concerning future expectations. Such statements are based on current expectations and are subject to certain qualifying risks and uncertainties, such as market demand, sales levels of firearms, anticipated castings sales and earnings, the need for external financing for operations or capital expenditures, the results of pending litigation against the Company, the impact of future firearms control and environmental legislation, and accounting estimates, any one or more of which could cause actual results to differ materially from those projected. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. The Company undertakes no obligation to publish revised forward-looking statements to reflect events or circumstances after the date such forward-looking statements are made or to reflect the occurrence of subsequent unanticipated events.
Contacts
Sturm, Ruger & Company, Inc.
One Lacey Place
Southport, CT 06890
www.ruger.com
203-259-7843
short_term
11 years ago
When NICS data goes down, gun sales are sure to follow. I would not be comfortable as a buyer at these levels. Time to sell short IMO. All the insider selling is not comforting either.
"Earlier this week, analysts at KeyBanc pointed out that NICS data on handgun background checks run by the FBI in December (indicative of handgun purchase activity in the U.S.) was down 32.5% year over year against December 2012. That means that as a whole, Q4 background checks were down about 19.4% year over year. Even worse, KeyBanc noted that it seems to be seeing "a heightened promotional environment (the likes of which have not been seen for several quarters now)" among gun sellers. This, in turn, suggests that profit margins on the few guns that were sold last quarter may not have been all that great."
Emerging Growth
12 years ago
Gun shops have been the beneficiaries of a marked rise in sales since the tragedy at Newtown left 27 people dead. The incident reignited the never-ending public debate over gun control legislation in our country. On Wednesday of this week, President Obama put his strategy to tighten gun laws before the American people. The proposal includes a ban on assault-type weapons and much stricter regulations regarding background checks on perspective buyers. Ironically, any move to intensify regulations has had the reverse effect of the presidentβs proposed laws. It has literally put more guns into the hands of the public as gun sales are in the process of ramping up dramatically at this writing. With well over 300 million weapons now on the street it is debatable if such restrictive laws would ever pass congress but gun owners arenβt taking any chances. As a result, increased sales have helped to send gun manufacturer stocks through the roof, and shares jumped again on Wednesday during Obamaβs speech.
Whatever the outcome of the legislation, Sturm Ruger & Company (NYSE: RGR) along with competitor Smith and Wesson Holding Corporation (NASDAQ: SWHC) are riding the wave of gun owner uncertainty. Sturm Ruger rose another four percent yesterday in heavy volume, on the heels of Wednesdayβs five percent hike. Previously shares had been unchanged since the school shooting on December 14 2012, but they are up 24 percent from a year ago. Smith & Wesson stock rose 6.5 percent to $8.98. Shares are down 12 percent since the school shooting, but up a respectable 76 percent from a year ago. Shares in Cabelaβs (NYSE: CAB), a sporting goods merchandiser which sells guns, have also seen an increase, up this week by 6.3 percent. Although shares in gun makers have been climbing in recent years on higher sales, the horrible incident in Connecticut has provided impetus on both sides; sending many investors rushing to the exits as the likelihood for stricter controls has begun to solidify. Conversely, many more traders are rushing in to buy attempting to cash in on the rally. The investors are betting on gun sales and not on gun controls at this point. Those exiting are betting on stricter gun legislation in the offing.
In the end, while Americans support gun control in theory, it seems that very few Americans want the government to limit personal rights to get a gun. No matter which side you come down on, there is no denying the recent rally in trading of gunsmith shares. Sturm Ruger has a market cap of $988.85 million and is trading at $52.15. Smith & Wesson has a market cap of $589.67 million and is trading at $8.98 per share. Both companies are doing well by the numbers right now and are worth a bit of research in order to see if they are viable options for your portfolio. Yesterday, we put a short story out on SWHC, which was down 1% for the session. Itβs a hot-button issue and will continue to be so in the long-term.
Get the full story here:
http://emerginggrowth.com/featured_stories/sturm-ruger-company-nyse-rgr-and-smith-and-wesson-holding-corporation-nasdaq-swhc-riding-high-on-second-amendment/01/23/2013
adeezl
12 years ago
I'll be buying RGR when we see a bottom around here, gun control is not the problem, it's the lack of education in my opinion. Taking protection away from the public is NOT the answer. I believe it's the mere lack of education. This country was founded on self-defense from the British. Younger people are out of touch, too many video games.
If anything, blame the gory video games and movies.
If anything just make it 25yrs old to purchase a firearm.
Don't take away our right to bear arms, that's just ridiculous.