3 Ridiculously Strong "Redneck Stocks"
Alright Bubba, hop in your pickup truck and crank up the Patsy Cline.
Because you’re going places, my friend…
The middle class in rural America is coming back—the same folks who were hit hardest by the Great Recession. And it represents one of the largest (and most profitable) market trends today.
In fact, you can ride this wave for an easy double-digit gain…
What’s causing it? Cheap gas, low interest rates and rising wages. That means the good ol’ boys have more cash in their pockets. And companies catering to them are taking off.
There’s data to back this up too, you hayseed. Last month, personal consumption expenditures grew 4.3 percent, according to Bloomberg – the fastest pace since 2006. And that includes the folks in the sticks.
So let’s check out some “hillbilly stocks” that every good ol’ boy should own. And they’ve sporting some S&P-crushing charts, as you’ll see…
First up is Deere & Co. (NYSE:DE). Deere released better than expected first quarter earnings – despite revenue declines. And while many analysts are forecasting weak agricultural demand this year, this tractor stock is having none of that. Shares are up more than 10% since September. And one cat you may have heard of (Warren Buffett) just bought a huge stake in Deere. Berkshire Hathaway doubled-down on its DE position last quarter, snapping up more than 7.6 million shares. Uh, can you say…BULLISH?
Then we have Tractor Supply Co. (NASDAQ:TSCO). If you’re a growth-stock maniac, this sucker’s got your name on it. The self-described “rural lifestyle” retail store is ripping it up. Just this week, management raised long-term store growth and operating margin targets. Oh yeah, and Tractor Supply stock is up 38% over the past six months.
Still not good enough for ya? Then feast your eyes on market leader Home Depot (NYSE:HD). Home Depot stock jumped nearly 4% yesterday after crushing earnings and announcing a massive $18 billion repurchase plan and boosting its dividend.
Do-it-yourselfers and weekend handymen are back in action, and so is the housing market, according to the HD brass. Proof? The stock soared to new all-time highs by mid-morning. And Home Depot’s CFO told Fortune Magazine that 25% of customers entering stores to pick up online orders buy more once they arrive. That should boost sales, huh?
This stock is mowing down everything in its path! And despite its massive market-cap, HD shares continue delivering eye-popping gains. Over the past six months, the stock is up 28%.
I don’t think these three market-beaters are going to slow down anytime soon. In fact, they might turn out to be some of the best plays of the year.
P.S. Alright Bubba, hop in your pickup truck and crank up the Patsy Cline. If you want to cash in on the biggest profits this market has to offer, sign up for my Rude Awakening e-letter, for FREE, right here. Stop missing out. Click here now to sign up for FREE.