Corporate Webpages Sturm, Ruger & Company
Sturm, Ruger & Co. (RGR) is an established gun maker in the U.S. A
look at the company's website indicates the importance of an
expiration of a ban on assault weapons in the U.S. which helped
to boost sales dramatically. Our interest here is not so much
social conscience investing, because we do believe gun control
in this country is lacking and essential, but just to see if we
can make money. In that regard, Sturm, Ruger has a very high
Zenith Index and is liked by at least one analyst and a lot of
researchers because of its strong fundamentals. The company
also pays a healthy better than 3% dividend. It is considered a
"low risk" investment.
What appears to be holding it back the most is a projected
earnings for next year sharply below the earnings for this year.
That could boost its p/e ratio from the current 7 level back to
around 16.
We think the company has very responsible corporate governance
by just about any measurable standard. No one owns more than
10% of the outstanding shares and Ruger has repurchased the family's
outstanding shares. Ruger has diverged a bit
into selling accessories for the gun enthusiast such as caps,
mugs, back packs, clothing, and other items, almost all
featuring its famous trade mark.
One mistake we made was to fail to check the average daily
volume, which falls below our normal requirement of 300,000
shares, but not by very much,
making this still a viable trading stock. We seem always to
miss something at the outset of a review, but then, that is the
purpose of the review.
There is almost no recent news on this company, although from
earlier years there are plenty of lawsuits and safety issues
raised by states seeking to capitalize on an attempt to hold gun
manufacturers responsible for shooting deaths. This effort
failed in the early 2000's and has not been re-attempted.
01-23-2010: Sturm, Ruger & Company (RGR): Company Declares Itself Not Responsible for Shooting Deaths
(WAIT FOR PAGE TO LOAD COMPLETELY BEFORE LINKS WORK.)
Company Profile
Company History
News
Comparison with Peers
Bond Issue
Zenith Index
Financial Statements
Financial Ratios
Market Grader
Intrinsic Value (Disc. CashFlow)
Intrinsic Value (Proj. Earnings)
Scout Stock Rating
Projected Earnings
Research Reports
Analysts' Opinions
Insider Activity
Institutional Activity
Sentiment
Short Interest
Stock Report
Management's Discussion
Moving Average Chart
Right Time Study
Channel Potential
Intraday Chart
Stock Fetcher
Point & Figure Chart
Wall Street Analyzer
Marketspace Chart
Time Series Forecast
Neural Network Prediction
Stock Options
Ultimate Trading Systems
Recommendation
Corporate Wepages
Company Profile |
Company History |
News |
Comparison |
Similar Companies Performance:
Bond Issue |
Zenith Index |
Sturm, Ruger & Co. Inc. (RGR ) Sector: Consumer Goods
One Lacey Place Industry: Sporting Goods
Southport, CT 06890 Exchange: NYSE
Sturm, Ruger & Company, Inc. engages in the design, manufacture, and
sale of firearms in the United States. The company offers its
products under -æRuger-Æ name in four product categories, including
single-shot, autoloading, bolt-action, and lever action rifles; over
and under shotguns; rimfire autoloading and centerfire autoloading
pistols; and single action and double action revolvers. It also
manufactures and sells accessories and replacement parts for its
firearms. In addition, the company manufactures and sells investment
castings made from steel alloys. It sells its firearms through a
network of selected licensed independent wholesale distributors, as
well as markets investment castings through manufacturer-Æs
representatives to commercial, sporting goods, and military sectors.
The company was founded in 1948 and is based in Southport,
Connecticut.
Last Trade: 11.18 52-Week Range: 15.20 - 5.98
Trade Date: 01-22 Avg. Volume: 272,284 Shares
Index Membership: S&P 600 SmallCap Employees: 1,145
Corporate Governance:
Sturm, Ruger & Co. Inc.'s Corporate Governance Quotient (CGQ-«) as of
3-Jan-10 is better than 82% of S&P 600 companies and 87.6% of
Consumer Durables & Apparel companies.
EPS: 1.43 Dividend Amount: $ 0.38 Yield: 3.40%
Ex-Dividend Date: 10-Nov-09 Mkt Cap: $ 213,220K
Payout Ratio: 6.00%
Last Split Factor (new for old): 2:1 Split Date: 17-Sep-96
Key Statistics:
Enterprise Value: $ 155,920K Revenue (ttm) : $ 265,600K
Gross Profit: $ 42,750K
Earnings before Income Tax, Depreciation and Amortization: $ 51,630K
Enterprise Value/Revenue (ttm): 0.59 Revenue per Share: $ 13.93
Enterprise Value/EBITDA (ttm): 3.02 Qtrly Rev Growth (y to y): 70.20%
P/E Ratio (fwd projected): 15.97 P/E Ratio (current): 7.83
P/E Growth Ratio (5 yr expected): 0.00 Operating Margin: 16.87%
Price/Sales Ratio: 0.79 Profit Margin: 10.30%
Price/Book Value: 2.37 Book Value: $ 4.62/sh.
Return on Assets: 23.34% Net Income Avl to Common: $ 27,350K
Return on Equity: 34.13% Diluted Earnings/Share: $ 1.43
Qrtly Earnings Growth (yoy): %1810.80%
Balance Sheet Items : Cash Flow Items (ttm):
(most recent qrtr) (trailing 12 mo.)
Total Cash: $ 53,120K Operating Cash Flow:$ 49,260K
Total Debt: $ 0K Lvgd Free Cash Flow:$ 35,090K
Total Debt/Equity: 0.00
Total Cash/Share: $ 2.79
Current Ratio: 2.80
Share Statistics: Stock Price History:
Shares Outstanding: 19,070K Stk 52-Week Change: 66.06%
Float: 18,790K S&P 500 52-Wk Chng: 34.92%
Sh. Short % of Float: 27.20% 50-Day Moving Avg: 10.40
Short Ratio: 19.20 200-Day Moving Avg: 11.88
% Held by Institutions: 91.80% Beta: -0.18
% Held by Insiders: 1.21%
Analysts' Estimates: Cur. Qtr Next Qtr Cur. Year Next Year
___________________________ Dec-09 Mar-10 Dec-09 Dec-10
Average Earnings Estimate 0.28 0.15 1.40 0.70
Average Revenue Estimate 0M 0M 0M 0M
Factors Comparing This Company to Its Industry Leader (1.0 = Average):
Long Term EPS Growth Rate (5 yr): 0.000 EPS Growth (Qrtly YoY): 0.000
PEG Ratio (ttm, 5 yr expected): 0.000 P/E Ratio (ttm): 0.149
Revenue Growth (Qrtly YoY): 0.000
Annual Income Statements: All numbers in thousands)
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Total Revenue 181,483 156,485 167,620
Cost of Revenue 138,730 117,186 143,382
Gross Profit 42,753 39,299 24,238
Operating Expenses:
Research & Development 0 0 0
Selling, General & Administrative 30,056 28,770 24,024
Non-Recurring Expenses -840 1,414 494
Other Operating Expenses 0 0 0
Total Operating Expenses 0 0 0
Operating Income or Loss 13,537 9,115 -280
Income from Continuing Operations:
Total Other Income/Expenses Net 441 7,544 2,123
Earnings Before Interest & Taxes 13,978 16,659 1,843
Interest Expense 0 0 0
Income Before Taxes 13,978 16,659 1,843
Income Tax Expense 5,312 6,330 739
Minority Interest 0 0 0
Net Income from Continuing Op.s 8,666 10,329 1,104
Non-recurring Events:
Discontinued Operations 0 0 0
Extraordinary Items 0 0 0
Effect of Accounting Changes 0 0 0
Other Items 0 0 0
Net Income 8,666 10,329 1,104
Preferred Stock & Other Adjustmnts 0 0 0
Net Income Avail To Common Shares 8,666 10,329 1,104
Quarterly Income Statements: All numbers in thousands)
Period Ending 3-Oct-09 4-Jul-09 4-Apr-09 31-Dec-08
Total Revenue 71,186 72,391 63,529 58,491
Cost of Revenue 49,404 47,359 44,003 41,745
Gross Profit 21,782 25,032 19,526 16,746
Operating Expenses:
Research & Development 0 0 0 0
Selling, General & Adminis. 10,451 11,056 10,092 8,182
Non-Recurring Expenses 0 0 0 -840
Other Operating Expenses 0 0 0 0
Total Operating Expenses 0 0 0 0
Operating Income or Loss 11,331 13,976 9,434 9,404
Income from Continuing Operations:
Total Other Income/Expenses Net 44 107 -50 -115
Earnings Before Int. & Taxes 11,375 14,083 9,384 9,289
Interest Expense -89 83 18 0
Income Before Taxes 11,464 14,000 9,366 9,289
Income Tax Expense 4,356 5,320 3,559 3,530
Minority Interest 0 0 0 0
Net Income from Continuing Op.s 7,108 8,680 5,807 5,759
Non-recurring Events:
Discontinued Operations 0 0 0 0
Extraordinary Items 0 0 0 0
Effect of Accounting Changes 0 0 0 0
Other Items 0 0 0 0
Net Income 7,108 8,680 5,807 5,759
Preferred Stock & Other Adj.s 0 0 0 0
Net Income Avail To Common Shs 7,108 8,680 5,807 5,759
Annual Balance Sheets: All Numbers in Thousands
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Current Assets:
Cash & Cash Equivalents 9,688 5,106 7,316
Short Term Investments 18,558 30,504 22,026
Net Receivables 32,209 21,514 26,354
Inventory 11,939 13,297 24,406
Other Current Assets 3,374 3,091 1,683
Total Current Assets 75,768 73,512 81,785
Long-Term Investments 0 0 0
Property, Plant & Equipt 26,219 22,078 22,961
Goodwill 0 0 0
Intangible Assets 0 0 0
Accumulated Amortization 0 0 0
Other Assets 3,030 2,666 8,690
Deferred Long Term Asset Charges 7,743 3,626 3,630
Total Assets 112,760 101,882 117,066
Current Liabilities:
Accounts Payable 14,406 8,513 7,396
Short/Current Long Term Debt 1,000 0 0
Other Current Liabilities 14,112 11,735 13,867
Total Current Liabilities 29,518 20,248 21,263
Long Term Debt 0 0 0
Other Liabilities 17,639 5,565 8,477
Deferred LT Liability Charges 0 0 0
Minority Interest 0 0 0
Negative Goodwill 0 0 0
Total Liabilities 47,157 25,813 29,740
Stockholder Equity:
Misc. Stocks Options Warrants 0 0 0
Redeemable Perferred Stock 0 0 0
Preferred Stock 0 0 0
Common Stock 22,799 22,788 22,639
Retained Earnings 93,500 84,834 74,505
Treasury Stock -30,153 -20,000 0
Capital Surplus 2,442 1,836 2,615
Other Stockholder Equity -22,985 -13,389 -12,433
Total Stockholder Equity 65,603 76,069 87,326
Net Tangible Assets 65,603 76,069 87,326
Quarterly Balance Sheets: All Numbers in Thousands
Period Ending 3-Oct-09 4-Jul-09 4-Apr-09 31-Dec-08
Current Assets:
Cash & Cash Equivalents 5,881 3,890 3,922 9,688
Short Term Investments 47,237 39,704 29,978 18,558
Net Receivables 32,087 32,852 31,355 32,209
Inventory 7,048 6,065 8,312 11,939
Other Current Assets 2,646 2,558 5,954 3,374
Total Current Assets 94,899 85,069 79,521 75,768
Long-Term Investments 0 0 0 0
Property, Plant & Equipt 31,528 29,723 28,258 26,219
Goodwill 0 0 0 0
Intangible Assets 0 0 0 0
Accumulated Amortization 0 0 0 0
Other Assets 3,853 4,525 2,968 3,030
Deferred LT Asset Charges 18,457 16,079 13,815 14,112
Total Assets 139,947 128,522 118,532 112,760
Current Liabilities:
Accounts Payable 15,468 12,146 13,379 14,406
Current Portion LT Debt 0 0 0 1,000
Other Current Liabilities 0 0 0 0
Total Current Liabilities 33,925 28,225 27,194 29,518
Long Term Debt 0 0 0 0
Other Liabilities 17,907 17,838 17,716 17,639
Deferred LT Liab. Charges 0 0 0 0
Minority Interest 0 0 0 0
Negative Goodwill 0 0 0 0
Total Liabilities 51,832 46,063 44,910 47,157
Stockholder Equity:
Misc. Options, WarrantS 0 0 0 0
Redeemable Perferred Stock 0 0 0 0
Preferred Stock 0 0 0 0
Common Stock 22,827 22,817 22,799 22,799
Retained Earnings 111,110 106,347 99,307 93,500
Treasury Stock -30,167 -30,167 -30,167 -30,153
Capital Surplus 7,330 6,447 4,668 2,442
Other Stockholder Equity -22,985 -22,985 -22,985 -22,985
Total Stockholder Equity 88,115 82,459 73,622 65,603
Net Tangible Assets 88,115 82,459 73,622 65,603
Annual Cash Flow: All Numbers in Thousands
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Net Income 8,666 8,680 1,104
Operating Activites:
Depreciation 5,365 4,372 3,852
Adjustments to Net Income -4,734 -1,281 -3,591
Changes in Accounts Recv'bls -10,173 2,371 -2,230
Changes in Liabilities 8,705 -1,452 2,568
Changes in Inventories 1,358 11,109 24,320
Changes in Other Op'ing Actv's 1,995 -6,128 4,196
Total Cash Flow fr Operations 11,182 19,320 30,219
Investing Activities:
Capital Expenditures -9,488 -4,468 -3,906
Investments 11,946 -8,478 -100
Other Cash Flows fr Investing 95 12,542 2,251
Total Cash Flows fr Investing 2,553 -404 -1,755
Financing Acitivies:
Dividends Paid 0 0 0
Sale or Purchase of Stock -10,153 -21,126 -25,205
Net Borrowings 1,000 0 0
Other Cash Flows fr Financing 0 0 0
Total Cash Flows fr Financing -9,153 -21,126 -25,205
Effect of Exchange Rate Change 0 0 0
Change in Cash & Cash Equiv.s 4,582 -2,210 3,259
Quarterly Cash Flow: All Numbers in Thousands
Period Ending 3-Oct-09 4-Jul-09 4-Apr-09 31-Dec-08
Net Income 7,108 8,680 5,807 5,759
Operating Activites:
Depreciation 1,662 1,663 1,662 1,847
Adjustments to Net Income -228 1,956 614 -5,471
Changes in Accounts Recv'bls 790 -1,923 198 -6,305
Changes in Liabilities 4,512 732 672 5,914
Changes in Inventories -727 2,247 3,627 5,171
Changes in Other Oper'g Acts 2,149 -273 -2,211 3,625
Total Cash Flow f Operations 15,266 13,082 10,369 10,540
Investing Activities:
Capital Expenditures -3,472 -3,128 -3,701 -3,108
Investments 20,029 -37,288 -11,420 1,477
Other Cash Flows fr Investing -27,520 27,564 0 0
Total Cash Flows fr Investing -10,963 -12,852 -15,121 -1,631
Financing Acitivies:
Dividends Paid -2,345 -1,640 0 0
Sale or Purchase of Stock 0 0 -14 -2,801
Net Borrowings 0 0 -1,000 1,000
Other Cash Flows fr Financing 33 1,378 0 0
Total Cash Flows fr Financing 0 0 0 0
Effect of Exchange Rate Chg 0 0 0 0
Change in Cash & Cash Equiv. 1,991 0 -32 8
RGR Sturm, Ruger & Co. Inc. [Indices near +3.0 or near zero,
or < zero bear special attention.]
P/E Ratio Tests:
Current P/E Ratio < 28? 3.0000 P/E Ratio > 5? 1.0000
P/E Ratio Vs Growth Rate: -2.0000 Forward P/E Ratio < 28? 1.7533
Sales Tests:
Price/Sales Ratio < 2.3? 2.9114 Inventory/Sales < 5%? 0.7600
Sales < $1 billion? 3.0000 Operating Margin < 7.5%? 0.4446
Balance Sheet Tests:
Debt/Equity < 0.40? 1.0000 Long-Term Debt Service: 3.0000
LTD Being Reduced? 1.0000 Short-Term Debt Service: 3.0000
Current Ratio > 2? 1.3985 Working Capital >= 1.5? 0.7150
Leverage Ratio < 20%? 3.0000 Debt / Assets < 1? 1.0000
Quick Ratio > 1? 1.1192 Inventory Turnover > 1? 0.6744
Shares Out Decreasing? 0.0000 Market Cap.> 1.5 Billion? 3.0000
Profit Margin > 7.5%? 1.3733
Income Tests:
Dividend Yield > 2.0%? 1.7647 EPS Annual Growth > 10%? 0.0000
Enterprise Value/Revenue: 0.3933 EPS 5-yr Growth > 20%? 0.0800
Enterprise Value/EBITDA: 0.4314 EPS Growth Consistent? 1.8000
EPS Qrtly Growth > 10%? 3.0000 Collection < 45 days? 0.6947
Rev. Qtrly Growth > 15%? 3.0000 Gross Pft/Cur. LTD < 1? 3.0000
EPS Annual Growth > 10%? 0.0000 Borrowing Int. Rate< 6%? 1.0000
Stock Performance Tests:
Volatility > 25%? 3.0000 % Held by Insiders < 5%? 3.0000
Beta > 1.25? -0.1440 % Held by Institut. < 50? 0.5447
50 Da MA > 200 Da MA? -0.3982 % Held by Institut. > 30? 3.0000
52-Wk Change vs. S&P 500: 2.3281 Short Ratio > 5? 3.0000
Price/Book Value < 3? 1.6300 Short % of Float > 20? 1.3600
Return on Assets > 17%? 1.3729 Average Volume > 100,000? 2.7228
Cash Flow Tests:
Oper. C.F. > Lever'd C.F: 1.4038 Positive Free Cash Flow? 1.0000
Positive Oper. Cash Flow? 1.0000 Price to C.F./sh. Ratio: 0.4340
Cash Flow / Assets >.10? 2.5074
RGR Sturm, Ruger & Co. Inc. Overall Zenith Index: 1.5730
Financial Statements |
Financial Ratios |
. . . . . . . . . . . . 1 = Highest , 10 = Lowest
Market Grader |
Intrinsic Value |
Intrinsic Value by Discounted Cash Flow Method:
Intrinsic Value |
Intrinsic Value by Projected Earnings Growth Method:
Stock Scout |
We find "Scout" to be a bit biased toward the high end, so anything under a 6 is considered a negative, 6 and above, positive.
Projected Earnings |
Research Reports |
Analysts' Opinions |
Insider Activity |
Institutional Activity |
Institutional Orders to Buy or Sell:
Sentiment |
Zenith uses the "sentiment" score above or below 50 to award a positive or negative point in the Decision Matrix.
Short Interest Ratio |
As the short interest rises as a percentage of average daily share volume (Days to Cover), this is considered a measure of negative sentiment. Similarly, a decrease in that percentage is considered positive sentiment.
Stock Report |
Management's Discussion of Results of Operations Excerpts |
Moving Average Chart |
Right Time Study |
Channeling Potential |
The summary below includes a value for `Degree,' which refers on a
scale of 1 to 10 the range of a channel in the period under consi-
deration compared to the total range of price movement. It also looks
for the last closing price to be within the channel, otherwise zeroed.
The `Index' is the `Degree' weighted for volatility. Generally, the
the higher the index, the more suitable is the stock for trading as
a `rolling stock' between channel high and low points.
Results for Sturm Ruger & Co.:
Symbol? RGR
Total Months Available: 120
Months in Cycle? 4
Months Covered by Periods: 12
Period 1 Period 2 Period 3
H1 L1 H2 L2 H3 L3
13.71 5.98 15.20 10.90 13.70 9.61
RANGE = 15.20 TO 5.98 Close = 11.09
CHANNEL = 13.70 TO 10.90 Degree = 3
Volatility = 25.25% Index = 7
Intraday Chart |
20 Days:
Stock Fetcher |
Point & Figure Chart |
Wall Street Analyzer |
Marketspace Chart |
Time Series Forecast |
Neural Network Prediction |
"Neurostock" can only track long trades. Therefore its performance, as tracked by itself on stocks which are consistently falling, may not appear as good as it could if each "sell" signal were a "short sale."
Ultimate Trading Systems |
The corresponding trades for the above chart are shown in tabular form below.
Recommendation |
| Factors | Weighted Points |
|---|---|
| News | - 1 |
| Comparison | + 1 |
| Industry | + 1 |
| Bond Issue | 0 |
| Zenith Index | + 1 |
| GAAP vs. non-GAAP Earnings < 1% | + 1 |
| Cash Flow | + 1 |
| Ratios | + 1 |
| Market Grader | + 1 |
| Intrinsic Value DCF | + 1 |
| Intrinsic Value DDM | 0 |
| Stock Scout | + 1 |
| Projected Earnings | - 1 |
| Research Reports | + 1 |
| Analysts | + 1 |
| Executive Perquisites | + 1 |
| Insider Activity | - 1 |
| Institutional Activity | + 1 |
| Management Reporting | + 1 |
| Short Interest | - 1 |
| Sentiment | - 1 |
| Standard & Poor's | + 1 |
| Moving Average | + 1 |
| Right Time Study | + 1 |
| Stock Fetcher | - 1 |
| Point & Figure | - 1 |
| Wall Street Analyzer | - 1 |
| Marketspace Chart | + 1 |
| Time Series Chart | - 1 |
| Neural Network | - 1 |
| Stock Options | + 1 |
| Ultimate Trading Systems | - 1 |
| Total | + 8 |
Place 2,740 shares of Sturm, Ruger & Co. (RGR) on the Active List.
