Sturm, Ruger & Company, Inc. (NYSE:RGR) Reaches New 52-Week High - What's Next?

Key Points

• Sturm, Ruger shares hit a new 52-week high of $48.75, well above the previous close of $45.90. The stock’s consensus analyst rating remains “Hold,” with an average price target of $46.00.
• The company reported stronger-than-expected quarterly results, including EPS of $0.52 versus the $0.42 estimate and revenue of $158.06 million, up 19.3% year over year.
• Sturm, Ruger increased its quarterly dividend to $0.21 per share, implying an annualized dividend of $0.84 and a 1.7% yield, though its payout ratio stands at 112%.

Shares of Sturm, Ruger & Company, Inc. (NYSE:RGR - Get Free Report) reached a new 52-week high on Tuesday. The stock traded as high as $48.75 and last traded at $48.4150, with a volume of 157,410 shares. The stock had previously closed at $45.90.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on RGR shares. Wall Street Zen upgraded shares of Sturm, Ruger & Company, Inc. from a "buy" rating to a "strong-buy" rating in a research report on Saturday, August 1st. Zacks Research upgraded shares of Sturm, Ruger & Company, Inc. from a "strong sell" rating to a "hold" rating in a research report on Monday, October 5th. Finally, Weiss Ratings raised shares of Sturm, Ruger & Company, Inc. from a "sell (d+)" rating to a "hold (c)" rating in a research note on Monday, August 3rd. One investment analyst has rated the stock with a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $46.00.

Sturm, Ruger & Company, Inc. Price Performance

The business has a 50-day moving average of $40.19 and a 200 day moving average of $39.76. The company has a market capitalization of $783.69 million, a PE ratio of 65.40 and a beta of 0.15.

Sturm, Ruger & Company, Inc. (NYSE:RGR - Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The company reported $0.52 earnings per share for the quarter, beating the consensus estimate of $0.42 by $0.10. Sturm, Ruger & Company, Inc. had a return on equity of 6.58% and a net margin of 2.11%. The business had revenue of $158.06 million during the quarter, compared to analysts' expectations of $128.54 million. During the same quarter last year, the business posted $0.41 EPS. The firm's revenue for the quarter was up 19.3% compared to the same quarter last year. As a group, research analysts anticipate that Sturm, Ruger & Company, Inc. will post 1.49 EPS for the current year.

Sturm, Ruger & Company, Inc. Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Friday, August 14th were issued a $0.21 dividend. This represents a $0.84 dividend on an annualized basis and a dividend yield of 1.7%. This is a boost from Sturm, Ruger & Company, Inc.'s previous quarterly dividend of $0.11. The ex-dividend date of this dividend was Friday, August 14th. Sturm, Ruger & Company, Inc.'s payout ratio is 112.00%.

Insider Buying and Selling at Sturm, Ruger & Company, Inc.

In related news, VP Michael Wilson sold 600 shares of the business's stock in a transaction on Thursday, September 24th. The shares were sold at an average price of $41.95, for a total value of $25,170.00. Following the sale, the vice president owned 628 shares in the company, valued at approximately $26,344.60. The trade was a 48.86% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 4.60% of the company's stock.

Institutional Investors Weigh In On Sturm, Ruger & Company, Inc.

Hedge funds have recently bought and sold shares of the business. GAMMA Investing LLC increased its holdings in Sturm, Ruger & Company, Inc. by 32.5% in the 3rd quarter. GAMMA Investing LLC now owns 1,401 shares of the company's stock valued at $60,000 after purchasing an additional 344 shares during the last quarter. Group One Trading LLC acquired a new position in Sturm, Ruger & Company, Inc. during the first quarter worth $33,000. Deprince Race & Zollo Inc. lifted its stake in Sturm, Ruger & Company, Inc. by 0.9% during the first quarter. Deprince Race & Zollo Inc. now owns 94,049 shares of the company's stock worth $3,770,000 after purchasing an additional 880 shares in the last quarter. Public Employees Retirement System of Ohio purchased a new position in shares of Sturm, Ruger & Company, Inc. during the second quarter worth $39,000. Finally, Meeder Asset Management Inc. boosted its position in shares of Sturm, Ruger & Company, Inc. by 32.4% during the first quarter. Meeder Asset Management Inc. now owns 5,956 shares of the company's stock worth $239,000 after buying an additional 1,456 shares during the period. Hedge funds and other institutional investors own 64.00% of the company's stock.

About Sturm, Ruger & Company, Inc.

Sturm, Ruger & Company, Inc designs, manufactures and sells firearms under the Ruger brand. Its product portfolio includes rifles, pistols, revolvers and shotguns, serving civilian sporting, hunting, personal protection and law enforcement markets.

The company also produces and markets firearms under the Marlin brand. Its offerings include traditional and modern sporting rifles, rimfire and centerfire firearms, and related accessories. Sturm, Ruger primarily serves the United States through a network of independent distributors and retailers, with products also sold in select international markets.

Founded in 1949 by William B.

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