The economy is heating back up, folks...
According to the Federal Reserve, retail sales are strong and our gross domestic product number is humming along. In fact, if things stay this way, the word “inflation” is going to be more common in the financial world.
Heck, even legendary investor Warren Buffett thinks inflation is on the rise.
But it doesn’t always mean bad news for the stock market. It simply means, consumer stocks are heating back up for summer. And with stimulus checks in the pockets of most Americans, the odds of seeing a strong summer rally are high.
That’s especially true given the market has gained almost 30% during President Joe Biden’s first 100 days in office.
All things considered, I’m bullish on the consumer segment of the economy. It’s showing remarkable strength, and its sentiment toward normalcy simply can’t be ignored — not any longer that is.
I have my sights set on two consumer stocks for summer ripe with potential profits...
The first stock on my radar is Flowers Foods Inc. (NYSE: FLO).
It’s one of the largest manufacturers of packaged bakery goods in the U.S., and it has 47 bakeries that produce beloved, niche brands like Dave’s Killer Bread, Tastykake and Mi Casa Tortilla.
I mean, who doesn’t love those names?!
By sticking with niche brands that have built reputations across regions of the country and unique features of each brand, FLO remains one of the most durable consumer stocks for summer.
The company has had four quarters of positive earnings surprises. And once this stock breaks above $25 per share, my next target level will be $32.
Check out my video below to learn more about FLO and the next consumer stock for summer 2021 I have my eye on. And be sure to share your thoughts in the comments section below.
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