Top Stocks for Hurricane Season
Mother Nature is a tough taskmaster with her destructive whims and wrath. She listens to nobody, but it is possible to profitably invest in companies that help get us back to normal life after her fury.
Hurricane Bertha, which petered out before reaching land, was the first Atlantic hurricane of the season. But odds are it won't be the last troublesome weather of the year. I have built a portfolio of companies that are ready, willing and able to help areas hit by natural disasters rebuild as quickly as possible, plus a few stocks to avoid when nature decides to remind us who is boss.
Obviously, no one hopes for a hurricane to hit our shores, but harsh weather is an unkind fact of life. Thankfully, our society invests in companies that rebuild our communities and infrastructure rapidly. Given the choice, I would banish all hurricanes that bring so much destruction and heartache to those in their path, but I cannot (yet) control nature. However, I can show a playbook to profits that we can donate to help hurricane victims.
The hurricane portfolio is divided into three parts: onshore plays, offshore plays and stocks to avoid or short. All groups have one common trait: providing basic services such as electricity, gas, transport, phone and cable.Fundamentally, I think the offshore segment is where the most upside lies because they hold better business prospects (translation: less exposure to U.S. consumer). The offshore plays are more levered to the energy sector specifically to the drilling platforms in Gulf of Mexico.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV