Sturm, Ruger & Company Earnings Preview

Investors are on the edge of their seats, hoping that Sturm, Ruger & Company (NYS: RGR) will top analyst expectations for the fifth consecutive quarter. The company will unveil its latest earnings on Thursday, July 28. Sturm, Ruger & Company is engaged in the design, manufacture, and sale of firearms to domestic customers.

What analysts say:

  • Buy, sell, or hold?: Analysts generally think investors should hang on to Sturm, Ruger & Company, with half rating the stock a hold. That rating hasn't budged in three months.
  • Revenue forecasts: On average, analysts predict $69.8 million in revenue this quarter. That would represent a rise of 8.4% from the year-ago quarter.
  • Wall Street earnings expectations: The average analyst estimate is earnings of $0.41 per share. Estimates range from $0.38 to $0.44.

What our community says:
CAPS All-Stars are solidly behind the stock, with 96.6% granting it an "outperform" rating. The community at large concurs with the All-Stars, with 92.7% assigning it a rating of "outperform." Fools are keen on Sturm, Ruger & Company and haven't been shy with their opinions lately, logging 177 posts in the past 30 days. Even with a robust four out of five stars, Sturm, Ruger & Company's CAPS rating falls a little short of the community's upbeat outlook.

Sturm, Ruger & Company's income has fallen year over year by an average of 7.1%. The company's revenue has now risen for two straight quarters. The company's gross margin shrank by 2.1 percentage points in the last quarter. Revenue rose 10.5% while cost of sales rose 14% to $51.4 million from a year earlier.

Now, let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows gross, operating, and net margins over the past four quarters.






Gross Margin





Operating Margin





Net Margin





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