"We are making ammo" videos from Hornady and Federal

[David S.]

Expanding capacity seems like a questionable investment given the possibility that the Biden administration may go after online ammo sales.

[TAZ]

Expanding capacity seems like a questionable investment given the possibility that the Biden administration may go after online ammo sales.

Expanding capacity is always risky based on short term bubbles. Biden is definitely a concern, but IMO this is a bubble caused by a spike in new owners and a shut downs due to ChicomFluV19. The new gun owners are done for the most part they will buy their supply that their great grandkids will find under their beds after they die. ChicomFluV19 will either go away or we just learn to deal like the flu.

Taking in debt for additional capacity is not going to happen. Same fur taking in employees that will need to be let go in a year or less.

[BehindBlueI's]

...IMO this is a bubble caused by a spike in new owners and a shut downs...

...and panic buying hoarders and flippers.

As far as investing in capacity, I'd note that if you invested in Vista, a company that gets about 50% of it's revenue from shooting sports, the day they began publicly trading you'd have lost about 20% of your money today, and that's after the recent rebound quadrupling it's value. If you'd invested in the S&P 500 at the same time, you'd have slightly more than doubled your money. Olin would have been almost as good as the S&P 500, but that's largely because 90% of it's business has nothing to do with shooting and Winchester got the military contract to help offset the market drop in civilian sales.

Investing in capacity at this point isn't investing, it's speculating on how long the bubble lasts.

[Bergeron]

There's a quote from Michael Bane, back in 2012, that I've posted before that says it takes 5 years to from concept to production of a new ammunition facility. Even if you're growing an existing facility, how much could time could you even save? Half?

I really think that these new 7+ Million new gun owners represent a tremendous opportunity. I'd rather see them start to shoot, and keep shooting, no matter what that does to supply/demand. There are more people who have become new gun owners in the last year than there are members of the NRA. The potential is high.

[cheby]

Where are the imported ammo and components? Looks like a business opportunity

[Hot Sauce]

Man breaks into gun club three times, steals ammunition from CBP

During his time in the club, Blanc reportedly attempted to steal the club’s $20,000 Kabota utility vehicle and successfully stole $4,400 in ammunition and handgun magazines from the CBP and $250 worth of Dewalt cordless power tools.

So what $4,440 worth ammo mean nowadays, like 4 boxes of Federal AE?