10 Best Gun Stocks to Buy in 2025

4. Sportsman’s Warehouse Holdings, Inc. (NASDAQ:SPWH)

Number of Hedge Fund Holders: 18

Sportsman’s Warehouse Holdings, Inc. (NASDAQ:SPWH) is an outdoor sporting goods retailer that sells footwear, apparel, and gear for enthusiasts of shooting, hunting, fishing, camping, and other outdoor activities.

While many other players in the industry are pivoting away from firearms, Sportsman’s Warehouse Holdings, Inc. (NASDAQ:SPWH) is doubling down on the category to further solidify its position in the market. It is benefitting from increased demand in violence-stricken regions both within and outside the United States.

Moreover, Sportsman’s Warehouse Holdings, Inc. (NASDAQ:SPWH)’s position is also strengthened by its domestic supply chain, which limits its exposure to tariffs and has the potential to improve the company’s margin further as American consumers increasingly opt for private-label offerings over leading brands.

SPWH is also seeing growth in its fishing and camping department, and gift bar category, which includes electronics, optics, and cutlery. The current macroeconomic environment presents significant growth potential for the company. There is optimism about disposable incomes rising under the Trump administration, with the psychological uplift likely to drive near-term demand.

While the overall retail landscape does present challenges, Sportsman’s Warehouse Holdings, Inc. (NASDAQ:SPWH) has been taking active measures to stabilize by curtailing capital expenditures and implementing cost-cutting initiatives to ensure positive free cash flow. The company is prioritizing debt repayment as it strives to maintain a strong balance sheet.

Wall Street analysts are bullish on the stock with a consensus Buy rating and an average share price upside potential of 76%. According to Insider Monkey’s database for Q3 2024, 18 hedge funds held a stake in SPWH, making Sportsman’s Warehouse Holdings, Inc. (NASDAQ:SPWH) one of the best gun stocks to buy in 2025.