Why Sturm, Ruger Stock Sank 13% on Thursday

Shares of gunsmith Sturm, Ruger (NYSE: RGR) stock are down 10.4% as of 11:40 a.m. EDT, after clawing their way back out of a 13.3% hole earlier in the morning.

Sturm, Ruger released its fiscal second-quarter 2017 earnings news yesterday evening after close of trading. The company reported earning $0.57 per share on sales of $131.9 million. That doesn't sound so bad without context, but here's the thing: Analysts had been looking for Ruger to report $1.11 per share in profits, so the company missed Wall Street's target by nearly 50%.

Even worse, sales were down 22% from last year's $167.9 million, and profits were off by more than 50% from the $1.22 a share that Ruger had earned by this time last year.

Source: Fool.com