Shares of Vista Outdoor Inc. /zigman2/quotes/205852373/composite VSTO -1.56% ran up 6.6% in afternoon trading, after B. Riley FBR analyst Eric Wold turned bullish on the ammunition and outdoor gear maker, citing increased confidence that strengthened demand will last beyond the initial stages of the post-COVID-19 stay-at-home trend. Wold raised his rating to back to buy, after downgrading it to neutral on July 8. He raised his stock price target to $30, which is 55% above current levels, from $23. "At this point, we are increasingly confident that the spiking demand seen with both outdoor products and shooting sports/ammunition during the recent COVID-19 shutdowns, 'stay-at-home' environment, and civil unrest movements could prove more than fleeting and potentially create a new demand base heading into next year," Wold wrote in a note to clients. " Due to the combination of elevated firearms demand and the number of first-time gun buyers coming into the industry, our channel checks and management conversations indicate that ammo inventory out in the dealer channel remains extremely tight." The stock has rocketed 159.5% year to date, while the S&P 500 /zigman2/quotes/210599714/realtime SPX +1.03% has edged up 2.7%.
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