Sturm, Ruger & Company, Inc. (NYSE:RGR) Shares Gap Down – Should You Sell?

Sturm, Ruger & Company, Inc. (NYSE:RGR) gapped down prior to trading on Tuesday . The stock had previously closed at $40.64, but opened at $38.68. Sturm, Ruger & Company, Inc. shares last traded at $39.97, with a volume of 34,538 shares trading hands.

Analyst Ratings Changes

Several equities analysts recently weighed in on RGR shares. Lake Street Capital raised their price target on shares of Sturm, Ruger & Company, Inc. from $41.00 to $43.00 and gave the company a “buy” rating in a research report on Tuesday, March 3rd. Zacks Research cut shares of Sturm, Ruger & Company, Inc. from a “hold” rating to a “strong sell” rating in a research report on Thursday, March 5th. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Sturm, Ruger & Company, Inc. in a research report on Friday, March 27th. One equities research analyst has rated the stock with a Buy rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus target price of $43.00.

Sturm, Ruger & Company, Inc. Trading Up 1.8%

The stock has a market cap of $659.52 million, a P/E ratio of -147.77 and a beta of 0.15. The company’s 50-day simple moving average is $38.73 and its 200 day simple moving average is $37.77.

Sturm, Ruger & Company, Inc. (NYSE:RGR) last issued its quarterly earnings results on Monday, March 2nd. The company reported $0.26 earnings per share for the quarter, missing analysts’ consensus estimates of $0.32 by ($0.06). The company had revenue of $151.06 million during the quarter, compared to analysts’ expectations of $139.24 million. Sturm, Ruger & Company, Inc. had a positive return on equity of 6.93% and a negative net margin of 0.80%.Sturm, Ruger & Company, Inc.’s quarterly revenue was up 3.6% compared to the same quarter last year. During the same period last year, the firm posted $0.62 earnings per share. Research analysts anticipate that Sturm, Ruger & Company, Inc. will post 2.31 earnings per share for the current fiscal year.

Sturm, Ruger & Company, Inc. Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Monday, March 16th were issued a $0.08 dividend. This is an increase from Sturm, Ruger & Company, Inc.’s previous quarterly dividend of $0.04. The ex-dividend date of this dividend was Monday, March 16th. This represents a $0.32 dividend on an annualized basis and a dividend yield of 0.8%. Sturm, Ruger & Company, Inc.’s payout ratio is presently -114.29%.

Hedge Funds Weigh In On Sturm, Ruger & Company, Inc.

A number of hedge funds and other institutional investors have recently made changes to their positions in RGR. Assenagon Asset Management S.A. bought a new stake in shares of Sturm, Ruger & Company, Inc. in the 3rd quarter worth approximately $1,931,000. Deprince Race & Zollo Inc. bought a new stake in shares of Sturm, Ruger & Company, Inc. in the 3rd quarter worth approximately $1,700,000. Allianz Asset Management GmbH raised its holdings in shares of Sturm, Ruger & Company, Inc. by 232.1% in the 3rd quarter. Allianz Asset Management GmbH now owns 37,411 shares of the company’s stock worth $1,626,000 after purchasing an additional 26,145 shares during the period. SummerHaven Investment Management LLC bought a new stake in shares of Sturm, Ruger & Company, Inc. in the 3rd quarter worth approximately $1,029,000. Finally, SG Americas Securities LLC raised its holdings in shares of Sturm, Ruger & Company, Inc. by 371.0% in the 3rd quarter. SG Americas Securities LLC now owns 28,116 shares of the company’s stock worth $1,222,000 after purchasing an additional 22,146 shares during the period. 64.00% of the stock is owned by hedge funds and other institutional investors.

About Sturm, Ruger & Company, Inc.

Sturm, Ruger & Company, Inc, founded in 1949 by William B. Ruger and Alexander McCormick Sturm, is a leading American designer and manufacturer of firearms. Headquartered in Newport, New Hampshire, the company has established a reputation for precision engineering and durable products. Its manufacturing footprint includes facilities in Newport and Mayodan, North Carolina, where it maintains a vertically integrated production model spanning metallurgy, machining, and assembly.

The company’s product portfolio encompasses a broad range of small arms, including centerfire and rimfire rifles, shotguns, semi-automatic pistols, revolvers, and accessories.