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SHOP TIL YOU DROP! US Consumer Stocks to BUY NOW for maximum gains in your portfolio!

Apr 10, 2019

Better Data for Better Investment DecisionsBetter Data for Better Investment Decisions
Better Data for Better Investment DecisionsBetter Data for Better Investment Decisions

 

  • The rally in US stocks to start the year has been fueled by a rally in “beta” stocks, notably US Consumer Discretionary.
     
  • YTD as of yesterday’s close, Large-Cap US Consumer Discretionary is +18.85% vs +15.47% for the S&P 500 
     
  • Large-cap US Consumer Staples has performed well but have lagged the S&P500, coming in at +11.18%
     
  • Remember, at the beginning of the year, we recommended our members buy US consumer stocks.  You can listen to it here.
     
  • As we enter earnings season, we think there is a great opportunity for consumer stocks to surprise.  As we highlighted earlier this week, 1Q2019 earnings estimates have been slashed by the most in 3 years!  You can read more about it here

US Large-Cap Consumer Top Buy Ideas

Name Ticker Sector Industry Primary Stock Ranking Secondary Stock Ranking
AUTOZONE INC AZO Consumer Discretionary Automotive Retail US Large-Cap Top Buy US Consumer Discretionary Top Buy
DARDEN RESTAURANTS INC DRI Consumer Discretionary Restaurants US Large-Cap Top Buy US Consumer Discretionary Top Buy
GENUINE PARTS CO GPC Consumer Discretionary Distributors US Large-Cap Top Buy US Consumer Discretionary Top Buy
HERSHEY CO HSY Consumer Staples Packaged Foods and Meats US Large-Cap Top Buy US Consumer Staples Top Buy
HOME DEPOT INC HD Consumer Discretionary Home Improvement Retail US Large-Cap Top Buy US Consumer Discretionary Top Buy
LAUDER (ESTEE) COS INC -CL A EL Consumer Staples Personal Products US Large-Cap Top Buy US Consumer Staples Top Buy
O'REILLY AUTOMOTIVE INC ORLY Consumer Discretionary Automotive Retail US Large-Cap Top Buy US Consumer Discretionary Top Buy
PROCTER & GAMBLE CO PG Consumer Staples Household Products US Large-Cap Top Buy US Consumer Staples Top Buy
STARBUCKS CORP SBUX Consumer Discretionary Restaurants US Large-Cap Top Buy US Consumer Discretionary Top Buy
TURNING POINT BRANDS INC TPB Consumer Staples Tobacco US SMID-Cap Top Buy US Consumer Staples Top Buy

Source: Capital IQ

  • AutoZone Inc. (AZO) is a retailer and distributor of automotive replacement parts and accessories through its 5,618 stores in the US and 610 other locations mostly in North and South America. AutoZone has clearly displayed a priority of growing its profitability with the company posting an all-time high gross margin of 53.2% in FY2018.
     
  • We highlighted AutoZone Inc. as a “Top Buy” Stock Research Report on April 5th, 2019 here.
     
  • Darden Restaurants Inc. (DRI) is the owner and operator of full-service restaurant brands like Olive Garden, LongHorn Steakhouse, and Bahama Breeze in the United States and Canada. Darden generated a robust return on equity of 28.1% in FY2018, the highest for the company since FY2008! 
     
  • Hershey Co. (HSY) manufactures and sells chocolate and non-chocolate confectionery products through popular brands such as Twizzlers, Kit Kat, Reese’s, and Bubble Yum. Since Hershey began offering a dividend in FY1998, the company has increased its annual payment to investors every year to payout USD$2.76/share in FY2018! 
     
  • Home Depot Inc. (HD) is the US-based home improvement retailer that sells lawn and garden products, offers home maintenance services, and provides professional home installation services. Home Depot has generated robust comparable sales growth of 5.88% per annum since FY2014 while the company posted record Sales/Sq. Ft. Owned of USD$446.86 in FY2019.  
     
  • Procter & Gamble Co. (PG) offers branded consumer packaged goods through brands such as Oral-B, Tide, and Chairman to customers across the globe. Procter & Gamble’s return on invested capital of 10.8% in FY2018 was the best for the company since FY2006! 
     
  • Starbucks Corp. (SBUX) is the global provider of coffee and tea beverages, single-serve beverages, food, and snacks through its more than 25,000 retail locations across the world. Starbucks generated a robust return on equity of 136.2% in FY2018 while the stock offers a 1.9% dividend yield as of Tuesday’s close. 
     
  • Turning Point Brands Inc. (TPB) is a US-based provider of tobacco products through three segments: Smokeless Products; Smoking Products; and NewGen Products. Analysts currently maintain a consensus price target for Turning Point Brands shares of USD$55, implying a nearly 28% upside to the stock’s last price!

 

 

Global Top Stock IdeasTOP LONG & TOP SHORT STOCK IDEAS FOR GLOBAL MARKETSMONTHLY TOP IDEAS FROM OUR MULTI-FACTOR QUANTITATIVE MODELS
Global Top Stock IdeasTOP LONG & TOP SHORT STOCK IDEAS FOR GLOBAL MARKETSMONTHLY TOP IDEAS FROM OUR MULTI-FACTOR QUANTITATIVE MODELS