Sturm Ruger & Co Inc

Find Ratings Reports
RGR : NYSE : Industrial Goods
$49.85 | %
Today's Range: 48.5 - 50.25
Avg. Daily Volume: 348400.0
02/24/17 - 4:02 PM ET

Financial Analysis


STURM RUGER & CO INC's gross profit margin for the third quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. The company has grown sales and net income significantly, outpacing the average growth rates of competitors within its industry. STURM RUGER & CO INC is extremely liquid. Currently, the Quick Ratio is 2.02 which clearly shows the ability to cover any short-term cash needs. The company managed to increase its liquidity from the same period a year ago, despite already having strong liquidity to begin with. This would indicate improved cash flow.

During the same period, stockholders' equity ("net worth") has increased by 24.27% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q3 FY16 Q3 FY15
Net Sales ($mil)161.43120.87
EBITDA ($mil)38.6426.81
EBIT ($mil)30.0717.96
Net Income ($mil)19.8511.96


Balance Sheet Q3 FY16 Q3 FY15
Cash & Equiv. ($mil)101.3660.25
Total Assets ($mil)360.85293.12
Total Debt ($mil)0.00.0
Equity ($mil)266.12214.14


Profitability Q3 FY16 Q3 FY15
Gross Profit Margin36.4435.46
EBITDA Margin23.9322.18
Operating Margin18.6314.86
Sales Turnover1.811.78
Return on Assets23.210.32
Return on Equity31.4614.13
Debt Q3 FY16 Q3 FY15
Current Ratio2.712.35
Debt/Capital0.00.0
Interest Expense0.030.04
Interest Coverage939.63498.92


Share Data Q3 FY16 Q3 FY15
Shares outstanding (mil)18.9718.7
Div / share0.490.36
EPS1.030.62
Book value / share14.0311.45
Institutional Own % n/a n/a
Avg Daily Volume333572.0309323.0

Valuation


BUY. STURM RUGER & CO INC's P/E ratio indicates a significant discount compared to an average of 24.01 for the Leisure Equipment & Products industry and a significant discount compared to the S&P 500 average of 26.35. Conducting a second comparison, its price-to-book ratio of 3.56 indicates a premium versus the S&P 500 average of 2.94 and a significant discount versus the industry average of 5.50. The current price-to-sales ratio is well below the S&P 500 average and is also below the industry average, indicating a discount. Upon assessment of these and other key valuation criteria, STURM RUGER & CO INC proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
RGR 11.52 Peers 24.01   RGR 9.19 Peers 13.04

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

RGR is trading at a significant discount to its peers.

 

Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

RGR is trading at a significant discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
RGR 13.26 Peers 18.88   RGR 0.30 Peers 1.26

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

RGR is trading at a significant discount to its peers.

 

Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

RGR trades at a significant discount to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
RGR 3.56 Peers 5.50   RGR 176.43 Peers 25.76

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

RGR is trading at a significant discount to its peers.

 

Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

RGR is expected to have an earnings growth rate that significantly exceeds its peers.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
RGR 1.45 Peers 1.67   RGR 25.62 Peers 7.01

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

RGR is trading at a discount to its industry on this measurement.

 

Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.

RGR has a sales growth rate that significantly exceeds its peers.

 

 

Latest Stock Upgrades/Downgrades