Zacks Investment Research Upgrades Sturm, Ruger & Company, Inc. (NYSE:RGR) to “Buy”

Zacks Investment Research upgraded shares of Sturm, Ruger & Company, Inc. (NYSE:RGRGet Rating) from a hold rating to a buy rating in a research note released on Saturday, Zacks.com reports. The brokerage currently has $71.00 target price on the stock.

According to Zacks, “Sturm, Ruger & Co., Inc. is one of the nation’s leading manufacturers of rugged, reliable firearms for the commercial sporting market. As a full-line manufacturer of American-made firearms, Ruger offers consumers of variations of the product lines, from the ubiquitous 10/22® and Mini-14®, to the new and exciting LCP® II, Mark IV™, Ruger American Pistol®, Ruger Precision Rifle®, SR-556 Takedown®, AR-556® and Ruger American Rifle®. Their awarding-winning products (the Gunsite Scout Rifle, SR9c®, LCR® and LCP®) all prove that Ruger has a rugged, reliable firearm to meet every shooter’s needs. Ruger has been a model of corporate and community responsibility. Their motto, Arms Makers for Responsible Citizens®, echoes their commitment to these principles as they work hard to deliver quality and innovative firearms. “

Separately, StockNews.com raised shares of Sturm, Ruger & Company, Inc. from a hold rating to a buy rating in a research note on Wednesday, May 18th.

NYSE RGR opened at $63.64 on Friday. Sturm, Ruger & Company, Inc. has a 52-week low of $62.00 and a 52-week high of $92.49. The stock has a market capitalization of $1.12 billion, a P/E ratio of 7.65 and a beta of 0.42. The firm has a 50-day moving average price of $69.39 and a 200 day moving average price of $68.91.

Sturm, Ruger & Company, Inc. (NYSE:RGRGet Rating) last issued its earnings results on Wednesday, May 4th. The company reported $1.70 earnings per share (EPS) for the quarter. Sturm, Ruger & Company, Inc. had a net margin of 20.75% and a return on equity of 42.30%. The company had revenue of $166.60 million during the quarter, compared to analysts’ expectations of $164.64 million. During the same period last year, the company posted $2.16 earnings per share. The firm’s quarterly revenue was down 9.7% compared to the same quarter last year. On average, equities research analysts predict that Sturm, Ruger & Company, Inc. will post 5.48 earnings per share for the current year.

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, May 31st. Stockholders of record on Monday, May 16th will be paid a dividend of $0.68 per share. The ex-dividend date of this dividend is Friday, May 13th. This represents a $2.72 dividend on an annualized basis and a dividend yield of 4.27%. Sturm, Ruger & Company, Inc.’s dividend payout ratio (DPR) is 32.69%.

In related news, Director C Michael Jacobi sold 3,006 shares of the firm’s stock in a transaction that occurred on Monday, May 16th. The shares were sold at an average price of $65.82, for a total transaction of $197,854.92. Following the sale, the director now owns 3,353 shares in the company, valued at $220,694.46. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, VP Randall Wheeler sold 1,604 shares of the firm’s stock in a transaction that occurred on Thursday, March 10th. The stock was sold at an average price of $68.84, for a total transaction of $110,419.36. The disclosure for this sale can be found here. Over the last three months, insiders have sold 5,575 shares of company stock valued at $368,365. Corporate insiders own 3.20% of the company’s stock.

A number of hedge funds and other institutional investors have recently made changes to their positions in RGR. BlackRock Inc. boosted its holdings in shares of Sturm, Ruger & Company, Inc. by 2.0% in the 1st quarter. BlackRock Inc. now owns 2,848,464 shares of the company’s stock valued at $198,308,000 after purchasing an additional 55,793 shares during the last quarter. Renaissance Technologies LLC boosted its holdings in shares of Sturm, Ruger & Company, Inc. by 4.1% in the 3rd quarter. Renaissance Technologies LLC now owns 1,158,676 shares of the company’s stock valued at $85,487,000 after purchasing an additional 45,800 shares during the last quarter. State Street Corp boosted its holdings in shares of Sturm, Ruger & Company, Inc. by 3.7% in the 1st quarter. State Street Corp now owns 544,947 shares of the company’s stock valued at $37,939,000 after purchasing an additional 19,329 shares during the last quarter. LSV Asset Management boosted its holdings in shares of Sturm, Ruger & Company, Inc. by 0.4% in the 1st quarter. LSV Asset Management now owns 448,022 shares of the company’s stock valued at $31,191,000 after purchasing an additional 1,781 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its holdings in shares of Sturm, Ruger & Company, Inc. by 8.2% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 402,331 shares of the company’s stock valued at $28,010,000 after purchasing an additional 30,509 shares during the last quarter. Hedge funds and other institutional investors own 68.17% of the company’s stock.

About Sturm, Ruger & Company, Inc. (Get Rating)

Sturm, Ruger & Company, Inc, together with its subsidiaries, designs, manufactures, and sells firearms under the Ruger name and trademark in the United States. It operates through two segments, Firearms and Castings. The company provides single-shot, autoloading, bolt-action, and sporting rifles; rimfire and centerfire autoloading pistols; single-action and double-action revolvers; and firearms accessories and replacement parts, as well as manufactures lever-action rifles under the Marlin name and trademark.

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