Shares of gun makers surged Monday, in the wake of what has been described as the deadliest mass shooting on U.S. soil.
Smith & Wesson parent American Outdoor Brands Corp.’s stock AOBC, +4.72% jumped 4.9% in premarket trade, while Sturm, Ruger & Co. Inc. shares RGR, +3.28% climbed 4.0%. Vista Outdoor Inc. shares VSTO, -0.35% were still inactive ahead of the open.
Analysts say the regulatory environment is among the biggest drivers of demand for guns, as fears of tighter regulation have boosted gun sales and share prices in the past. Since President Trump was elected, however, fears of tighter regulations have faded and share prices have dropped.