When it comes to news, most Americans only follow the stories that pertain to their lives, views and ideals. They shelter themselves in a cocoon of news sources that reinforce their ideas…
Conservatives tout the truthfulness of Fox….
Liberals cling to the Rachel Maddows of MSNBC…
But the problem in following this practice is simple: you only get one side of the story. You’re getting a biased view of the world – and while it may be comforting – it’s also very misleading.
As a stock analyst, I don’t have the luxury of being able to just get the news I want to hear – in order to get the most accurate view – I have to get my news from across the board.
But there’s something I’ve noticed over the past few weeks…
No matter which news source you read or watch, one thing seems to be abundantly clear: violence seems to be on the rise.
I’m not just talking about the recent tragedies in Orlando either…
And I’m not just talking about the violence at our recent political rallies, nor the foreign civil unrest…
Violence and violent crime seem to be grabbing more and more headlines as the political dust settles – and Americans are starting to ask, “what more can we do?”
Most people say, “There’s always been violence – it’s nothing new, and it’s hardly news. It’s the way of the world.”
And while they’re correct, there’s ZERO doubt that things are more visible with the advent of the internet and social media…
But I don’t have to look to the news to confirm this – all I have to do is follow the money in the markets – they tell me that I’m 100% correct.
I know what you’re thinking…
“The markets? How can looking at the markets prove that people are more afraid? That’s impossible!”
It’s not impossible – even better, I can prove it.
Let’s just take a look at a stock that’s of American descent – Smith & Wesson (SWHC) – and while this company needs no introduction, its business plan is simple…
Provide products and services for safety, security, protection, and sports.
Something it has done and done well since 1852.
But if you look at the stock’s price movement the day after the Orlando tragedy happened – that Friday, the stock closed at $21.41 – Monday, the day after the shootings – the stock peaked at $23.89. That’s an almost 12% jump in less than a day!
That’s CRAZY…
Another gun stock, Sturm, Ruger & Co. (RGR) saw double-digit price appreciation as well, as its Monday peak of $63.57 was almost 11% higher than its Friday close.
5 years ago – you could have grabbed shares in RGR for less than $20 – you could have bought shares of SWHC for less than $2.75!
Why do you think these companies are doing so well?
Can it be because people are buying their products? Yes. That’s EXACTLY the reason. People are buying either because they’re worried for their safety or worried that firearms are a dwindling commodity.
Either way, as investors, we have to keep our finger on the pulse of the markets – you can’t surround yourself with what you want to hear – you have to consider it all, especially if you want to make money.
And there’s money to be made in security…
The success of SWHC speaks loud and clear.
You can bet that here at GorillaTrades – our fingers are on the pulse. We know what’s happening. We make sure not to let commentary and conjecture stop us from the finding you the best money making opportunities Wall Street has to offer.
We’d love for you to try GorillaTrades– but if you’d rather stay a lone wolf – just know you’ll always have a pack if you need it!
Until next time…
“It’s not a gun control problem; it’s a cultural control problem.” – Bob Barr
