Smith & Wesson: Initiation à Deux

Forward View is initiating formal coverage of Smith & Wesson $SWHC with a $30 target price and a Buy rating. While Tuesday’s election eliminated a long-term risk to Smith & Wesson (namely the person commonly referred to as HRC), the associated panic gun-buying we had forecast won’t happen. Happily for institutional investors, SWHC stock is suddenly on sale. The firm’s fundamentals remain attractive, and the transition to an outdoor brands holding company is just beginning. We recommend buying the dips, and load up on shares if the stock touches $20. That price would be a perfect entry point, but anything below $25 seems to be very promising. As our President-elect would say, “Buy bigly!” And you can’t ignore bigly…