Shares of gun makers rallied Monday, in the wake of what has been described as the deadliest mass shooting on U.S. soil. Smith & Wesson parent American Outdoor Brands Corp.’s stock AOBC, -0.44% jumped 3.0% in afternoon trade. Volume topped 3.7 million shares, compared with the full-day average over the past 30 days of 2.1 million shares. Sturm, Ruger & Co. Inc. shares RGR, -0.65% climbed 2.7% and Vista Outdoor Inc. shares VSTO, -0.98% ran up 1.8% toward a 6-week high.
Analysts say the regulatory environment is among the biggest drivers of demand for guns, as fears of tighter regulation have boosted gun sales and share prices in the past. Since President Trump was elected, however, fears of tighter regulations have faded and share prices have dropped.