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Gun maker stocks bounce off multi-month lows

Shares of gun maker’s rose in premarket trade Friday, to bounce off multi-month lows, in the wake of mass shootings in New Zealand that killed at least 49 people. American Outdoor Brands Inc.’s stock gained 1.0% and Sturm Ruger & Co. shares were indicated up 1.0% ahead of the open. Ammunition maker Vista Outdoor Inc.’s stock was will inactive. Industry analysts say the regulatory environment is among the biggest catalysts for gun stocks, as fears of a stricter environment tend to increase demand. On Thursday, American Outdoor and Sturm Ruger shares initially rallied, after a Connecticut court ruled that the maker of AR-15 assault rifles could be sued over the Sandy Hook Elementary School mass shooting in 2012, before reversing course to close lower. American Outdoor’s stock fell 0.1% to suffer a 5th-straight decline and to close at a 7-month low, while Sturm Ruger’s stock dropped 1.1%, a 4th decline in 5 sessions, to close at a 12-month low. American Outdoor shares have lost 9.9% over the past 12 months and Sturm Ruger’s stock has gained 1.4%, while the S&P 500 has tacked on 2.2%.

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