By Tom Knighton
Gun companies have had a rough year, and it doesn’t look like things are going to pick up anytime soon.
As if the industry’s struggles weren’t enough all on their own, it now seems that market analysts are less than thrilled with the industry’s prospects as we move into the second year of the Trump presidency.
Maksim Netrebov, founder of New Jersey-based Maks Financial Services and contributor at Seeking Alpha, slammed the gun maker’s holding company, American Outdoor Brands, in a Dec. 11 article for evading questions regarding why the lowered guidance came only now — and not a year ago when President Donald Trump’s electoral victory left the industry flush with inventory and short on demand.
“If we are on the Titanic, the Iceberg is now visible, it is too late to stop the ship and the deck chairs are arranged,” he said. “The industry demand is deteriorating both significantly and quickly, the companies bet wrong and are now sitting on massive inventories, even larger manufacturing capacities which they spent billions on, and are playing ‘chicken’ with each other seeing who will blink first and cut their production.”
Those companies — American Outdoor Brands, Vista Outdoor and …Read the Rest
Source:: Bearing Arms