Ohio Republican Governor John Kasich just signed a law that allows gun owners to carry concealed weapons into bars, restaurants, shopping malls, sporting venues, and motor vehicles.So is it time to pull the trigger on stocks of firearms manufacturers?
One of the largest gun and firearms manufacturers in the United States is Sturm Ruger & Co. Inc. (RGR), which trades on the New York Stock Exchange. This Connecticut based company has been manufacturing rifles, shotguns, pistols and revolvers since 1948. The stock trades at 14.7 times forward earnings, and pays a yield of 1.8%.
The other major American firearms manufacturer is the NASDAQ traded Smith & Wesson Holding Corp. (SWHC), a famous name in firearms which has been around since 1856. The company was founded by Horace Smith and Daniel B. Wesson, after selling out their first company, Volcanic Repeating Arms Company, to Oliver Winchester. The company manufactures and sells revolvers, pistols, rifles, hand cuffs, and clothing. They also own law enforcement training facilities. The company recently generated negative earnings; however, revenues were up 5.7% for the latest quarter.
TASER International Inc. (TASR) maker of the famous TASER guns, which are electroshock weapons that use electro-muscular disruption technology to cause neuromuscular incapacitation, which are sold to law enforcement, private security, military, corrections, and personal defense markets. The stock trades at 32.6 times forward earnings.
If you like stock lists like this you should check out the list of Anti-Terrorism Stocks and Defense and Aerospace Stocks at WallStreetNewsNetwork.com.
Disclosure: Author owns RGR.