A few weeks ago I asked the question: “Why are gun stocks strong?” The first reason is that many Americans fear the president and his associates will soon make guns more difficult to buy, so they’re buying them now. The second reason is fear of burglary and robbery, and the other crimes that tend to increase during recessionary times. I followed that with profiles of the three top-performing stocks in the sector, Sturm, Ruger (RGR) and Smith & Wesson (SWHC), who make guns, and Cabela’s (CAB), who sells them to the public. In the three weeks since then, all three stocks have done very well. Sturm, Ruger is up 13%, Smith & Wesson is up 10% and Cabela’s is up 18%.
