Wall Street Left Don Jr. at the IPO Altar… Now GrabAGun’s Betting $20M to Win Them Back

When GrabAGun rolled up to the New York Stock Exchange last month under the ticker PEW (yes, like the gun sound… and yes, some marketing guy probably patted himself on the back so hard he needed a chiropractor), Donald Trump Jr. and the crew pitched it like they were launching the next Amazon… if Amazon only sold firearms, tactical gear, and maybe a few “Don’t Tread on Me” flags (they have great margins).

The playbook was pretty straightforward and clever (so they thought). Don Jr. went all-in on the “patriotic parallel economy” narrative… targeting conservative buyers, younger tech-using gun owners, and anyone who thinks Amazon Prime should include free two-day shipping on bulk 9mm. The brand vibe was Cabela’s meets Shopify, run through a MAGA Instagram filter, and topped off with a freedom-heavy Spotify playlist. All hate aside, on paper, it’s not the worst niche e-commerce concept you’ve ever heard.

The only problem is that Wall Street doesn’t exactly spend weekends wandering Bass Pro Shops (shocking, I know). Their reaction was closer to watching someone pitch Shark Tank with an “Uber for Lawnmowers” idea after three IPAs… some polite nods, maybe a chuckle, but you could see every Shark quietly thinking, “Yeah… I’m out.”

Day one, the stock got clipped for a 25% loss before the morning coffee cooled. Day two, another 22% gone. By the end of the month, PEW was trading more than 70% below its debut price.

So what sparked the sell-off after the initial hype cycle, you ask? Well, for starters, the company’s main asset isn’t some proprietary tech stack or a logistics chain so good it keeps Jeff Bezos up at night… it’s Don Jr.’s personal brand (sigh). Even the SEC filings basically admit it: if he walks, the business could take a hit. Translation: you’re betting on one guy’s ability to keep himself in the headlines, and that propping up the entire business.

Then there’s the SPAC thing. Back in 2021, going public via SPAC was like having a blue check on Twitter… you were hot. Now, it’s like wearing Crocs to a black-tie wedding (making a statement, just not the one you want). Add in the fact that selling guns online is basically operating with a giant “regulate me” sign taped to your forehead, and you’ve got a risk profile spicier than a Carolina Reaper margarita. One bad headline out of D.C. and your “record-breaking” quarter turns into a “going out of business” sale.

So on August 4th, GrabAGun looked at Wall Street and said, “Alright, watch this.” And in a shock to a lot of “suits,” they announced a $20 million share buyback. CEO Marc Nemati called the stock “significantly below” intrinsic value, which is posturing for “you guys clearly have no idea what you’re looking at.” And what if he’s right? They’ve got $120 million in cash, zero debt, and (this is the shocking part) actual positive earnings. In post-SPAC land, that’s like a summer day in Florida without any rain (it never happens).

The math is pretty simple too: fewer shares means each one is worth a bigger slice of the pie. And if they pair the buyback with a strong Q2 earnings report on August 14th? That’s the investing equivalent of breaking someone’s ankles with a crossover and then nailing a step-back three… suddenly, the analysts who ghosted you start blowing up your phone.

Of course, it’s still a tightrope walk over Niagara Falls, considering selling guns is about as political as it gets. But that aside, if the plan works, PEW could stage a rebound so sharp that early sellers will feel like the guy who traded his Bitcoin for a pepperoni pizza. If it flops, then Don Jr. and the board have basically just dropped $20 million buying more stock in what’s essentially his own political merch store. Either way, PEW remains firmly in my personal hall of fame for tickers that are just plain fun to say… PEW. PEW.

At the time of publishing this article, Stocks.News holds positions in Amazon, Spotify, and Uber as mentioned in the article.