I know I’m a day early, but I’d like to wish you a happy Fourth of July holiday today anyway.
And I also want to share my two favorite “Fourth of July” stocks. I honestly don’t know why I think of these two companies every year at this time, but I do. Maybe it’s because they show up at our table during holiday grill sessions…
2 Great July Fourth Stocks
That’s right — I’m talking about beverages and burgers. With a big weekend on the immediate horizon, a lot of Americans are going to be grilling and drinking. I usually enjoy a beer or two on the holiday. And more often than not I’ll reach for a Sam Adams Porch Rocker — that is, if my wife doesn’t hand them all out first.
The brand is owned by The Boston Beer Co. Inc. (NYSE: SAM), which also makes that tasty Sam Adams Summer Ale that is a seasonal favorite in many beach communities. The $3 billion market cap company also offers those with a sweet tooth such summer delights as Twisted Tea and HardCore Cider.
The Boston Beer Co. has been delivering more than just refreshing alcoholic beverages, though. The stock has been a heck of a performer, too.
Boston Beer shares are up by 27% since July 4, 2013, by 75% since July 4, 2012, and by 147% since July 4, 2011. The company has a record of profitability, and analysts expect revenues and earnings to grow by more than 20% this year.
Check out Boston Beer. It is headquartered in Boston, Massachusetts, and is in a sector that tends to prove resilient regardless of what’s going on in the economy.
My second Fourth of July stock is almost guaranteed to have its products represented on the picnic table this weekend. McCormick & Co. Inc. (NYSE: MKC) makes spices, sauces and other specialty foods.
You know that huge spice rack in the supermarket? McCormick’s usually owns a few slots, if not the entire thing. And its seasonings sure do make burgers taste good.
McCormick’s stock hasn’t delivered the big returns that Boston Beer has, but it’s still been a very good investment for long-term holders. The stock is up by 4.3% since July 4, 2013, by 20% since July 4, 2012, and by 54% since July 4, 2011.
The company’s flavor enhancers will spice things up when you make a plate this weekend. And the stock will enhance you income portfolio as well since it pays a nice 2% dividend at the moment.
Don’t expect huge growth with McCormick, but this is a steady, moderate grower. Revenue should climb by 3% to 4% annually over the next two years while the EPS growth rate should be nearly double that — around 8%. It’s not a volatile stock, so it could be exactly the kind of investment that will allow you to stay relaxed when you’re enjoying the holiday.
So there you have it, two American companies with great tasting products that you’re almost guaranteed to see over this July Fourth holiday weekend. Have a fun and safe holiday, and I’ll be back in touch next week.
The New American Prius is a Pick Up Truck
Yes. That’s right. A bigger, better, beefier vehicle is rolling off the assembly line – an American truck that’s actually more efficient than the Toyota Prius. Hey, it can even tow five of them. And it’s not a wimpy hybrid. It’s a 302hp heavy-duty beast. Yet, it only costs around $15 bucks to fill up! And you can travel 800 miles on one tank. That’s why we call it the “American Prius.” ONLY ONE COMPANY has the breakthrough technology for building this truck. And now you can share in their massive profits.