On February 26, 2026, Beretta Holding S.A. nominated four independent candidates for election to the board of Sturm, Ruger & Co. Inc. (NYSE: RGR) at the company’s 2026 annual meeting. With a disclosed stake of 9.95% of Ruger’s outstanding shares Beretta positions itself as Ruger’s largest shareholder.
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| Boardroom Alpha |
Beretta’s Case Against the Board
Beretta’s campaign is centered on a critique of Ruger’s recent financial and governance performance, a lack of alignment with shareholders, and poor governance:
1. Financial Underperformance: Net income is down 90% from peak levels, alongside margin compression and negative total shareholder returns over the long term. Beretta underscores Ruger’s three-year total shareholder return underperformance relative to Smith & Wesson Brands by 57.1%, and against the Russell 2000 by 81.5%, despite what it believes is a favorable demand environment.
2. Lack of Shareholder Alignment: Beretta points out that the board’s collective ownership amounts to only ~1.0% after over 65 years of aggregate service and insiders are net sellers of the company stock.
3. Governance: Beretta believes the board’s recent refresh is “cosmetic,” with new appointees lacking the necessary capital allocation and public company experience to turn around performance. Overall, it believes the board is more concerned with self-preservation and retention of their cash compensation, rather than creating value for shareholders.
Beretta’s Nominees
Beretta’s slate will look strong to other Sturm shareholders given their backgrounds in capital markets, corporate governance, and the firearms and outdoor industry.
Michael Christodolou, founder of Inwood Capital and former chairman of Lindsay Corporation, brings a track record in activist investing and capital market operations. William F. Detwiler, co-founder of Fernbrook Capital, adds experience in investment banking, M&A, and accounting. Mark W. DeYoung is the former chairman and CEO of Vista Outdoor and Alliant Techsystems, offering direct firearms industry and transaction experience. Fredrick DiSanto, chairman and CEO of Ancora Holdings, is maybe the biggest of the nominees with deep expertise in capital allocation and governance.
Beretta is hoping other shareholders view their slate as having the relevant operational, financial, and governance backgrounds in order to drive a meaningful in performance.
Investor Take Away
To us, Beretta has the upper hand in a contest where the data is the activist’s best advocate and this one won’t go to a vote.
Ruger’s negative TSR across nearly every relevant horizon creates a difficult defense for a board whose recent “refreshment” has failed to cool an rising Activist Vulnerability score. The pressure is particularly acute for CEO Todd Seyfert, whose “CEO Hot Seat” score is climbing alongside a 20-year CFO tenure that Beretta will likely frame as a barrier to modernization.
And, the ace up the sleeve is likely dissident nominee Fredrick DiSanto. In DiSanto, Beretta has not only a strong director nominee, but the experience of one of the top deal-making activists out there today.