Thursday, March 12, 2009

Sign of the Times: Smith & Wesson Earnings Beat (SWHC)

We last looked at pistol manufacturers in October's "Small Arms vs. The Bankers" which had a five day chart (Sturm Ruger outpacing the KBW Bank Index) and the comment:
*Most of the small arms companies are privately held. The Beretta family has been doing their thing for five hundred years. The CEO of Mossberg is a Mossberg. Browning and Winchester are owned by The Herstal Group, Colt's Manufacturing Co. is owned by Zilkha & Co. and Remington Arms is owned by Cerberus Capital.
Here's a six month chart of SWHC,RGR and the BKX (via Yahoo Finance):

Chart for Smith & Wesson Holding Corp. (SWHC)

From Reuters:
UPDATE 1-Smith & Wesson Q3 profit beats Street view

* Q3 profit beats Street expectations

* Net product sales up 26 pct

* Says amends credit pact to expand debt covenant

* Shares rise as much as 10 pct

March 12 (Reuters) - U.S. firearms maker Smith & Wesson Holdings Corp (SWHC.O) reported a higher-than-expected third-quarter profit, helped by a double-digit growth in the sales of handguns and tactical rifles, sending its shares up 10 percent....MORE

The stock was up 15% going into the release and another 8% in late after-hours trade.