SPRINGFIELD, Mass. (AP) — Smith & Wesson, citing strong demand for its firearms, boosted its sales outlook for the fourth-Monday.
Shares jumped nearly 7 percent in morning trading.
The company now expects net sales from continuing operations to total about $129 million, up from its previous range of between $113 million to $118 million.
Smith & Wesson also said that its backlog more than doubled to about $439 million as of the end of the quarter, up from $187 million at the same time last year.
The company is seeing strong orders across its product line, including M&P branded products such as pistols, modern sporting rifles, along with the new Shield handgun, which was introduced during the quarter.
The Shield is a slim handgun that the company touts as "concealable."
Analysts, such as Wedbush's Rommel Dionisio, have also cited fears that President Barack Obama may tighten gun laws if he is re-elected.
The shares of Smith & Wesson and its rival, Sturm, Ruger & Co., hit 52-week highs on May 1.
Smith & Wesson releases its fourth-quarter results on June 28.
Shares of Smith & Wesson Holding Corp., based in Springfield, Mass., rose 42 cents, to $6.65, after peaking at $7.05 earlier in the day.
