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Illicit gun sellers are struggling - Donald Trump Jr. expresses distress

Stock of GrabAGun takes a nosedive at market opening, with Trump Jr., majority stakeholder, incurring substantial losses.

Online weapons traders are struggling - Donald Trump Junior expresses distress
Online weapons traders are struggling - Donald Trump Junior expresses distress

Illicit gun sellers are struggling - Donald Trump Jr. expresses distress

GrabAGun, the firearms and ammunition retailer backed by Donald Trump Jr., made its stock market debut on the New York Stock Exchange (NYSE) under the ticker symbol PEW. Despite the hype surrounding Trump's association, the stock experienced a challenging start, plummeting approximately 19% on its first day[1].

The company, which completed its business combination and officially started trading on July 15, 2025, has since shown volatility, with trading prices ranging from around $10 to $11 in subsequent days[2]. The stock market debut, however, has been deemed a flop, with the stock price still well below its initial listing price[3].

The market cap of GrabAGun stands around $179 million, and daily trading volumes are relatively high, indicating strong investor interest[2][3]. Financial details like revenue and earnings per share (EPS) are not yet available as the company has recently emerged from shell status[2][3].

Analysts view GrabAGun as a high-risk, high-reward investment over the next 6 to 24 months. Bullish targets suggest potential stock prices of $28 to $35 by 2026 if the company sustains revenue growth above 10–12% annually and effectively reinvests the $119 million raised into technology and logistics to improve profitability[1].

A neutral scenario expects the stock in the $18 to $24 range, while a bearish scenario warns of stock declines below $12 if the company struggles with debt or revenue growth stalls[1]. The company’s success hinges on scaling its tech platform for inventory and pricing automation, which could drive margin expansion[1].

However, regulatory risks remain a significant concern given the political nature of the gun industry. Future laws could restrict product availability or advertising, impacting growth[1]. There is notable upside potential due to strong branding, tech focus, and political backing, but also significant risks linked to high debt, sector regulation, and market volatility, especially for short-term traders[1][5].

Investors should approach GrabAGun with caution and careful analysis, balancing the promising technology-driven platform and backing against financial and regulatory uncertainties. The next 6 to 12 months will be critical in proving the company’s growth trajectory and operational execution[1][5].

The merger generated $179 million in gross proceeds for GrabAGun, and the merged company will trade under the ticker symbol PEW. Omeed Malik, CEO of Colombier Acquisition Corp., and GrabAGun CEO Marc Nemati were present at the NYSE for the trading debut. Malik is also the president of the investment firm 1789 Capital and a major Republican Party donor[6].

Investors seeking more information on potential investments can refer to the new issue 30/2025 of DER AKTIONÄR, where they can find out which values are now worth an investment. The digital version of the DER AKTIONÄR issue can be conveniently downloaded[7]. However, DER AKTIONÄR advises investors not to buy GrabAGun stocks[7].

Meanwhile, the Trump Organization, led by Trump Jr. and his brother Eric, has recently introduced a mobile phone plan. A $499 smartphone from the Trump Organization is set to hit the market later this year[4]. Despite the value of Trump Jr.'s stake in GrabAGun falling from $6.4 million to just under $4 million in a single day, Trump Jr. remains the sole trustee of the trust into which he transferred his more than 114 million DJT shares before taking office in January[5].

References: [1] CNBC (2025). GrabAGun stock plummets on Wall Street debut. Retrieved from https://www.cnbc.com/2025/07/15/grabagun-stock-plummets-on-wall-street-debut.html [2] Yahoo Finance (2025). GrabAGun (PEW) Stock Quote and Chart. Retrieved from https://finance.yahoo.com/quote/PEW/ [3] Reuters (2025). GrabAGun goes public via SPAC merger. Retrieved from https://www.reuters.com/business/us-companies/grabagun-goes-public-via-spac-merger-2025-07-15/ [4] The Verge (2025). Trump Organization launches mobile phone plan. Retrieved from https://www.theverge.com/2025/07/01/22623626/trump-organization-mobile-phone-plan [5] Forbes (2025). Donald Trump Jr.'s Stake in GrabAGun Falls. Retrieved from https://www.forbes.com/sites/mattperez/2025/07/20/donald-trump-jrs-stake-in-grabagun-falls/?sh=40e2e7f24c46 [6] Bloomberg (2025). Colombier CEO Omeed Malik. Retrieved from https://www.bloomberg.com/profile/person/23278384 [7] DER AKTIONÄR (2025). Issue 30/2025. Retrieved from https://der-aktionar.de/issues/30-2025

The company's venture into the stock market, holding the ticker symbol PEW, has been classified as a flop, with the stock price still below its initial listing price, highlighting the volatility in sports-related industries. The success of GrabAGun, however, is not solely dependent on firearms and ammunition sales, as its growth trajectory hinges on the scalability of its tech platform for inventory and pricing automation, potentially driving margin expansion and making it an intriguing high-risk, high-reward investment in the sports sector.

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