In this article, we discuss the 5 best gun stocks to buy now. If you want to read our detailed analysis of these stocks, go directly to the 10 Best Gun Stocks to Buy Now.
5. Sturm, Ruger & Company, Inc. (NYSE: RGR)
Number of Hedge Fund Holders: 19
Sturm, Ruger & Company, Inc. (NYSE: RGR) is a firearm manufacturer based in Connecticut that ranks 5th on the list of 10 best gun stocks to buy now. The company sells rifles, pistols, revolvers, and other firearm accessories. Sturm, Ruger & Company, Inc. (NYSE: RGR) also exports firearms to government agencies abroad.
On August 4, Sturm, Ruger & Company, Inc. (NYSE: RGR) increased its quarterly dividend by 16.3% to $1 per share. The stock offers a 5.23% dividend yield. The stock has gained 5% in the past month.
In May, Lake Street analyst Mark Smith maintained a Buy rating on Sturm, Ruger & Company, Inc. (NYSE: RGR) and increased its price target to $100 per share from the previous $94. Shares of Sturm, Ruger & Company, Inc. (NYSE: RGR) increased 22%, year to date.
The company has a market cap of $1.39 billion. In the second quarter of 2021, Sturm, Ruger & Company, Inc. (NYSE: RGR) reported an EPS of $2.50, beating estimates by $0.77. In the second quarter, the company’s revenue grew 54% year over year to $200.1 million and beat revenue estimates by $24.2 million.
At the end of the second quarter of 2021, 19 hedge funds in the database of Insider Monkey held stakes worth $168 million in Sturm, Ruger & Company, Inc. (NYSE: RGR), down from 21 in the previous quarter worth $135 million.
4. Smith & Wesson Brands, Inc. (NASDAQ: SWBI)
Number of Hedge Fund Holders: 21
Smith & Wesson Brands, Inc. (NASDAQ: SWBI) is a firearm company based in Massachusetts that ranks 4th on the list of 10 best gun stocks to buy now. The company manufactures and sells small arms, such as pistols and revolvers, and rifles, and other firearm products.
In August 2020, Smith & Wesson Brands, Inc. (NASDAQ: SWBI) completed the corporate spin-off of its outdoor products business, American Outdoor Brands, Inc. (NASDAQ: AOUT). American Outdoor Brands, Inc. (NASDAQ: AOUT) still has a weapons division that sells guns for shooting and self-defense. Smith & Wesson Brands, Inc. (NASDAQ: SWBI) stock has gained 31%, year to date.
On June 21, Lake Street analyst Mark Smith maintained a Buy rating on Smith & Wesson Brands, Inc. (NASDAQ: SWBI) and raised its price target to $43 per share from $34 previously, citing the company’s consistent demand for firearms.
The company has a market cap of $1.12 billion. Shares of Smith & Wesson Brands, Inc. (NASDAQ: SWBI) climbed 19.4% on June 21 after the company announced its fourth-quarter fiscal 2021 earnings, wherein the company reported an EPS of $1.71, beating estimates by $1.71. The company’s fourth-quarter revenue came in at $322.9 million, an increase of 67.3% year over year, and beat revenue estimates by $63.14 million. The company’s shipments increased by 70% in the fiscal year 2021. Smith & Wesson Brands, Inc.’s (NASDAQ: SWBI) full-year revenue came in at $1.1 billion, up 100% year over year.
At the end of the second quarter of 2021, 21 hedge funds in the database of Insider Monkey held stakes worth $242 million in Smith & Wesson Brands, Inc. (NASDAQ: SWBI), up from 18 in the previous quarter worth $99.6 million.
3. Vista Outdoor Inc. (NYSE: VSTO)
Number of Hedge Fund Holders: 24
Vista Outdoor Inc. (NYSE: VSTO) is an outdoor sports products manufacturer based in Minnesota ranks 3rd on the list of 10 best gun stocks to buy now. The company sells outdoor and shooting products in the US and internationally.
On July 30, Roth Capital analyst Matt Koranda kept a Buy rating on Vista Outdoor Inc. (NYSE: VSTO) and raised its price target to $56 per share from $47, highlighting the company’s solid revenues driven by shooting sports and outdoor division. The stock has gained 69.4% year to date.
The company has a market cap of $2.31 billion. In the first quarter of fiscal 2022, Vista Outdoor Inc. (NYSE: VSTO) reported an EPS of $1.74, beating estimates by $0.84. The company’s first-quarter revenue grew 38% year over year to $663 million and beat revenue estimates by $49.13 million. Gun sales increased 39% year over year to $463 million, owing to increased hunting and shooting gear demand.
At the end of the second quarter of 2021, 24 hedge funds in the database of Insider Monkey held stakes worth $408 million in Vista Outdoor Inc. (NYSE: VSTO), up from 22 in the previous quarter worth $344 million.
2. DICK’S Sporting Goods, Inc. (NYSE: DKS)
Number of Hedge Fund Holders: 36
DICK’S Sporting Goods, Inc. (NYSE: DKS) is an American retailer of recreational and outdoor products. The Pennsylvania-based sporting goods company ranks 4th on the list of 10 best gun stocks to buy now. DICK’S Sporting Goods, Inc. (NYSE: DKS) sells hunting and shooting gear such as handgun accessories, shotguns, rifles, and ammo accessories.
On August 25, shares of DICK’S Sporting Goods, Inc. (NYSE: DKS) soared 10.41% premarket trading after the company topped the Q2 earnings consensus. On August 26, Wedbush analyst Seth Basham maintained an Outperform rating on DICK’S Sporting Goods, Inc. (NYSE: DKS) and increased its price target to $150 per share from $125 previously. On the other hand, Bank of America analyst Robert Ohmes kept a Buy rating on DICK’S Sporting Goods, Inc. (NYSE: DKS) and increased its price target to $160 per share from the previous $115.
The company has a market cap of $12.3 billion. In the second quarter of 2021, DICK’S Sporting Goods, Inc. (NYSE: DKS) reported an EPS of $5.08, beating estimates by $2.26. The company’s revenue in the second quarter came in at $3.27 billion, an increase of 21% year over year, and beat revenue estimates by $437.99 million.
At the end of the second quarter of 2021, 36 hedge funds in the database of Insider Monkey held stakes worth $1.41 billion in DICK’S Sporting Goods, Inc. (NYSE: DKS), up from 31 in the previous quarter worth $852 million.
1. Olin Corporation (NYSE: OLN)
Number of Hedge Fund Holders: 37
Topping the list of 10 best gun stocks to buy now is Olin Corporation (NYSE: OLN), a Missouri-based chemical product and small ammunition manufacturer. The company was founded in 1892 and entered the ammunition market in 1931 when it purchased Winchester, one of the leading ammunition manufacturers in the United States.
Olin Corporation (NYSE: OLN) currently pays an annualized dividend of $0.80 per share and offers a dividend yield of 1.85%.
On July 16, Bank of America analyst Steve Byrne raised Olin Corporation (NYSE: OLN) from Neutral to Buy, with a price target of $58 per share, up from $49. The stock has gained 3% in the previous month.
The company has a market of $7.16 billion. On July 27, shares of Olin Corporation (NYSE: OLN) jumped 2% following strong Q2 earnings. In the second quarter of 2021, Olin Corporation (NYSE: OLN) reported an EPS of $2.26, beating estimates by $0.79. The company’s second-quarter revenue came in at $2.22 billion and beat revenue estimates by $105.10 million. Due to more robust commercial and military sales and higher commercial ammunition prices, the company’s ammunition sector increased revenue to $404 million, up from $192.6 million in the same period in 2020. Shares of Olin Corporation (NYSE: OLN) climbed 82%, year to date.
At the end of the second quarter of 2021, 37 hedge funds in the database of Insider Monkey held stakes worth $1.32 billion in Olin Corporation (NYSE: OLN), up from 34 in the previous quarter worth $1.17 billion.
You can also take a peek at the 10 Best Healthcare Dividend Stocks to Buy Now and 10 Dividend Stocks with Over 20 Years of Dividend Increases.
