Nov 7 Shares of gun makers Smith & Wesson
Holding Corp and Sturm Ruger & Co Inc rose on
speculation that gun enthusiasts would stock up fearing that the
re-election of President Barack Obama would lead to stricter gun
During the second presidential debate last month, Obama
appeared to endorse a push for a ban on assault weapons if he
were to win a second term.
"The re-election of President Obama should drive political
firearm sales," Benchmark & Co analyst Mike Greene said.
But while analysts agree that gun sales will rise this year,
as they did when Obama first won the presidency in 2008, they
are less certain about the passage of any anti-gun legislation.
Obama has affirmed the right to bear arms in the past.
"The administration has not really lifted a finger in the
last four years to tighten gun control legislation," said
Wedbush Securities analyst Rommel Dionisio, who covers the
"There is a consumer fear that Obama will tighten gun
control legislation, but whether or not they will do it this
time I don't know," Dionisio said.
Smith and Wesson shares were up 7.6 percent at $10.18 in
afternoon trade on the Nasdaq, while those of Sturm Ruger were
up 5.9 percent at $47.27 on the New York Stock Exchange on
Wednesday. The overall market was down 2.2 percent.