Smith & Wesson to divest Thompson/Center Arms

[Slater]

In today's environment you wouldn't think they would need the money:

"SPRINGFIELD, Mass., May 3, 2021 /PRNewswire/ -- Smith & Wesson Brands, Inc. (NASDAQ Global Select Market: SWBI), a leader in firearm manufacturing and design, today announced that it plans to divest its Thompson/Center Arms brand. This decision is part of the Company's broader strategic plan that will focus on its core Smith & Wesson brands."

https://ir.smith-wesson.com/news-rel...thompsoncenter

[utahjeepr]

I find it a little odd. They have restructured the corporation and split into Smith and Wesson / American Outdoors. It ain't like the company(ies) doesn't have a couple dozen brands. I didn't pay much attention to it, I have a guy that manages my investments. I just remember getting given AOUT stock a few months back as part of the split. T/C is kind of a bit player in the market, but the Contender niche is a damned loyal customer base. I wonder who will end up with it.

[titsonritz]

T/C is kind of a bit player in the market, but the Contender niche is a damned loyal customer base. I wonder who will end up with it.

And Encore. Hopefully not some conglomerate like Freedom Group.

[Esq.]

Their bolt guns are fairly decent entry level guns actually. The problem they have in that niche is the Ruger American and the Savages.....

[lowprone]

The Contender made that niche , they need to make it again.

[SteyrAUG]

I can understand S&W wanting to focus on their product line.

T/C might also be ready to stand on their own feet.

[utahjeepr]

I can understand S&W wanting to focus on their product line.

T/C might also be ready to stand on their own feet.

I would buy the argument if they didn't have so much other stuff in their portfolio. I mean I get it, they own plastic production/development companies, tooling, automated machine control,... but they are parent to a lot of other stuff too.

Meh, they know their business better than me. That's why I ride their coattails with my investments not the other way round.