9:42 a.m. June 30, 2020
- By Tomi Kilgore
Gun maker stocks surge to multi-year highs Shares of gun and ammunition makers rallied toward multi-year highs Tuesday, as polls continue to show Joe Biden building a lead over President Donald Trump in a number of swing states. Analysts have said for guns, as fears of tighter regulations have boosted sales in the past. "Biden's swing-state lead, if it is maintained, provides numerous paths to an election win," Paul Christopher, head of global market strategy at Wells Fargo wrote in a note to clients. The latest Federal Bureau of Investigation data on firearm background checks for May rose more than 30% from a year ago for just since the FBI started providing the data in late-1998, and two months after the monthly record was reached in March. Shares of Sturm Ruger & Co. rallied 4.1% toward the highest close since March 2016 and Smith & Wesson Brands Inc. hiked up 5.5% toward the highest close since July 2017. Ammunition maker Vista Outdoor Inc.'s stock rose 1.9% toward the highest close since October 2018. Those stocks have bounced sharply off multi-year lows hit late last year, which followed long downtrends Trump's victory in the November 2016 election eased concerns over potential tighter regulations.