Today I'm reviewing a small-cap aerospace & defense firm named Sturm, Ruger & Company, Inc. Its trading ticker symbol is RGR.

Sturm Ruger & Co Inc is engaged in the design, manufacture, and sale of firearms to domestic customers. The Company also manufactures and sells investment castings made from steel alloys for internal use in the firearms segment.

The company sells its firearm products through independent wholesale distributors principally to the commercial sporting market; and castings and MIM parts directly or through manufacturers' representatives. 

The company also exports its firearm products through a network of commercial distributors and directly to foreign customers comprising primarily of law enforcement agencies and foreign governments. 

Sturm, Ruger & Company, Inc. was founded in 1949 and is headquartered in Southport, Connecticut.

I use three key data points to gauge the value of any dividend equity or fund likeSturm, Ruger & Company, Inc. (RGR): 

(1) Price

(2) Dividends

(3) Returns

Besides those three, four more keys will finally unlock an equity or fund in which to invest.

But those first three primary keys, best tell whether a company has made, is making, and will make money. 

RGR Price

Ruger's price per share was $59.70 at Friday's market close. A year ago its price was $50.70 for a gain of $9 per share.  

Assuming Ruger's price will trade in the range of $40 to $70 next year, perhaps that $9 gain could be realized in the coming year and move RGR's current $59.70 price to $68.70 by late-August, 2019. 

RGR Dividends

Ruger's most recent quarterly variable dividend was $0.34declared August 3rd and paid August 31st.

At that most recent quarterly pay rate, its 2018 annual dividend is calculated at $1.36 yielding 2.28% at Friday's closing $59.70 price.

Gains For RGR?

Adding the $1.36 estimated annual dividend to the $9.00 year over year price gain for RGR makes a $10.36gross annual per share gain, which will be reduced by costs to trade the shares.  

A little over $1,000.00 invested today at the $59.70 recent price buys 17 Sturm, Ruger & Company, Inc. (RGR) shares. 

A $10 broker fee paid half at purchase and half at sale costs about $0.59 per share, subtracting that $0.59 brokerage cost from the estimated $10.36 gross gain leaves a net gain of $9.77 X 17 shares = $166.09 or a 16% net gain on a $1,014.90 investment.

Therefore, Sturm, Ruger & Company, Inc. whose trading ticker symbol is RGR, now shows a possible 16% net gain including a 2.28% dividend yield. 

One broker covers this stock:

He says "buy" (or else)

So, the analyst consensus recommendation number is 1 or "buy".

The price target set by that single broker is $1.70 under the $68.70 year over year price target I named. 

Y Charts has data on this firm, too. Y Charts has rated RGR "neutral" for an overall "Y" rating; it has "average" for a value score, and "strong" for RGR fundamental score. Y Charts rated Ruger "22.25% over" for a Historic Valuation score based on a historic $48.83 valuation per share.

So, you could look at all those various numbers this way, Sturm, Ruger & Company, Inc. (RGR). has made money, is making money, and could net a 16% annual gain including a 2.28% dividend yield. It could be more, it could be less.

The above speculation is based on past year performance. Actual results remain to be seen. Those results will determine if Sturm, Ruger & Company, Inc. (RGR) is worth your time and money.