Gun Stocks Rally, Sales Up, In Response to Obama Gun Measures

Ironically, Barack Obama is the greatest gun salesmen in the country. Following every speech or action this president has taken on guns, a surge in sales has followed.

Earlier this week, gun stocks rallied, as investors bet on such a phenomenon happening again in the wake of the president’s executive action on guns. They were right, sales are surging!

Market Watch reports:

Smith & Wesson SWHC, -4.19% shares surged as much as 14% and Sturm, Ruger & Co. RGR, -3.82% climbed as much as 9%. The moves also comes as Smith & Wesson raised its profit guidance for the April-ending fiscal year.

Smith & Wesson shares have surged 180% in the last 12 months, and Sturm, Ruger is up a cool 89%.

“The company indicated that the sell-through rate of its products at distribution has been stronger than originally anticipated, resulting in reduced distributor inventories of its firearms,” Smith & Wesson said in a statement issued late on Monday.

Those shares will likely continue to rise, as gun sales surge nationwide. Just look at this telling chart assembled by the New York Times and you can see how the president’s rhetoric and actions have affected gun sales.

NYTimes reports:

The heaviest sales last month, driven primarily by handgun sales, followed a call from President Obama to make it harder to buy assault weapons after the terrorist attack in San Bernardino, Calif.