Sturm, Ruger & Company, Inc. (NYSE:RGR – Get Free Report) released its earnings results on Wednesday. The company reported $0.44 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.37 by $0.07, FiscalAI reports. Sturm, Ruger & Company, Inc. had a return on equity of 6.58% and a net margin of 2.11%. The firm had revenue of $147.63 million during the quarter, compared to analysts’ expectations of $131.03 million. During the same quarter in the prior year, the company earned $0.10 EPS. The company’s revenue was up 16.5% on a year-over-year basis.
Here are the key takeaways from Sturm, Ruger & Company, Inc.’s conference call:
- Sales and profitability improved: Third-quarter net sales rose 17% year over year to $148 million, adjusted EBITDA increased to $14 million from $3 million, and adjusted diluted earnings per share climbed to $0.44 from $0.10.
- Higher production and solid channel conditions: Management said output reached a near-term record, supported by increased capacity, production focus, and improved planning. It described distributor inventories as healthy, consumer demand as satisfactory, and backlog as healthy heading into the holiday season.
- Some product families are being paused: The company said suspended or phased-out products account for about 4% of units and roughly $25 million in revenue, while generating minimal to no profit. Management framed the moves as temporary suspensions where appropriate, but acknowledged some customer dissatisfaction.
- Ruger is redirecting resources toward growth: Management said portfolio simplification is intended to free capacity for more profitable products and innovation, with numerous new models expected in the coming months and launches planned around SHOT Show.
- Strong balance sheet supports investment: Ruger ended the quarter with $101 million in cash and short-term investments, no debt, and a 3-to-1 current ratio. It generated $24 million of operating cash in the first nine months and expects about $30 million in capital expenditures for 2026.
Sturm, Ruger & Company, Inc. Trading Up 11.2%
Shares of Sturm, Ruger & Company, Inc. stock traded up $5.03 during trading hours on Wednesday, reaching $50.15. 599,423 shares of the company’s stock were exchanged, compared to its average volume of 623,995. The company has a 50 day moving average of $42.27 and a two-hundred day moving average of $39.81. Sturm, Ruger & Company, Inc. has a fifty-two week low of $28.33 and a fifty-two week high of $50.84. The stock has a market cap of $801.46 million, a P/E ratio of 66.87 and a beta of 0.11.
Insider Buying and Selling at Sturm, Ruger & Company, Inc.
In related news, VP Michael Wilson sold 628 shares of Sturm, Ruger & Company, Inc. stock in a transaction dated Monday, October 26th. The stock was sold at an average price of $45.47, for a total value of $28,555.16. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 1,828 shares of company stock valued at $77,725. 4.60% of the stock is owned by company insiders.
Wall Street Analysts Forecast Growth
Several research analysts have recently weighed in on the company. Wall Street Zen raised Sturm, Ruger & Company, Inc. from a “buy” rating to a “strong-buy” rating in a research report on Saturday, August 1st. Zacks Research upgraded Sturm, Ruger & Company, Inc. from a “strong sell” rating to a “hold” rating in a research note on Monday, October 5th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Sturm, Ruger & Company, Inc. in a research report on Friday, October 30th. One analyst has rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $46.00.
View Our Latest Research Report on Sturm, Ruger & Company, Inc.
About Sturm, Ruger & Company, Inc.
Sturm, Ruger & Company, Inc designs, manufactures, and sells firearms for the commercial sporting market. Its product portfolio includes pistols, revolvers, rifles, and related accessories marketed under the Ruger brand. The company serves customers through independent distributors, retailers, and other firearms dealers.
Founded in 1949 by William B. Ruger and Alexander M. Sturm, the company is one of the largest firearms manufacturers in the United States. Its products are manufactured in the U.S.
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