Many savvy investors love to invest in a certain niche. With the booming housing market, one popular niche has been in home-related stocks, like those used for remodeling and home building. One popular area has been flooring stocks. If you want to invest in flooring stocks, you must do your research first. There are many different types of flooring stocks, and they all have their advantages and disadvantages.
You must consider what is popular in the market and what will continue to be popular. Many homes being remodeled currently have a sunroom addition, so using this as an example, think about the different types of flooring that a potential remodeler might be interested in. For example, tile offers a variety of colors and styles but can be expensive depending on the size of the room; vinyl is cheap and isn’t often used in remodeling, but plank flooring tends to be a great sunroom option. With this in mind, let’s take a look at some great stocks below!
Armstrong World Industries (NYSE: AWI) – Armstrong World Industries specializes in manufacturing interior building products and is one of the largest providers of tile, carpeting, wood flooring, ceramic tiles, and other building products in North America. They have a large market capitalization, making them attractive to investors trying to invest in stable companies with high supplies.
Lumber Liquidators (NYSE: LL) – Lumber Liquidators operates over 360 retail stores specializing in selling hardwood floors across the United States and Canada, offering more than 400 different species and finishes making it easy for customers to find what they’re looking for at low prices. With a stock price currently under $20 per share, this can be an excellent investment choice if you only plan to invest 100 dollars or less!
Lowe’s (NASDAQ: LOW). Lowe’s has always been a great go-to for housing remodels. Both individuals and companies use Lowe’s when doing new flooring or flooring removals. Lowe’s has shown substantial growth over the years and it continues to have a solid outlook. LOW is currently trading over $230 per share, making it a bit pricier, but solid investment.
Some flooring companies have been having a tough time recently because of the housing boom. New homes are being built continuously, which has increased demand on existing flooring materials; as potential home buyers have lined up to purchase new properties, hardwood floors and carpet increased dramatically, making it difficult for many homeowners to afford renovations!
With so much competition between different brands, consumers can easily switch their brand loyalty if one company doesn’t meet expectations or introduces product changes that customers don’t like. Flooring companies need to be aware of this and make sure they’re always offering customers the latest trends at competitive prices.
In conclusion, investing in flooring stocks can be a great choice, but only if you buy the right companies. Be sure to do your research and invest in high-quality, well-established firms with low-risk profiles! The best way to make money investing is to keep it simple by sticking with what you know; don’t get caught up in all of the noise, or your investment strategy will be off before it even gets started!