Brrrrrrrrrr…
With Thanksgiving right around the corner – and leaves starting to turn colors in our northern states right now – it’s a good time to prepare for the winter.
Luckily for the Gorilla, Florida offers us a different kind of winter – so I’ll be sure to look for my hoodie (if I even need it) or maybe I’ll see if I need to actually put a pair of shoes on (we wear flip-flops year-round here)…
But for most people above the Florida/Georgia line – you need to prepare in different ways.
For some, it’s about pulling the winter wardrobe out, storm windows, or digging out the snow chains – and for those of you, good luck! May you experience a mild winter…
However, with winter approaching – the Holiday doldrums kick in on Wall Street – and not much seems to happen.
So, how do you prepare for that as an investor?
Well, it’s probably not in the way you’d think!
One of the things the Gorilla likes to do is think about the future…
And what I mean by that is: I like to look at the season we’re going into and try to anticipate if there is anything that could push some industry or some market do to something spectacular.
It’s really not that hard to project…
But I also like to think outside of the box for things that John Q Public wouldn’t even think about.
Which brings us to the stock we’re going to talk about today…
But before we do – let’s talk about what we know about the winter season.
We know it’s cold in most of the country…
We know that people will be spending more time indoors trying to escape those lower temperatures and will be looking for ways to combat that overwhelming feeling of cold.
We also know that while there are a few companies that cater to winter-like Burlington Coat Factory (BURL) or Douglas Dynamics (PLOW) – there’s another company that most people don’t think about when it comes to investing…
But they should – as it’s something that should come to everybody’s mind whenever the temperatures turn cooler.
When you think “fall” or “winter” – what’s the first thing to come to your mind?
For people that were born or raised in the north – there’s one thing that seems to pop in after the word “football” …
And it reminds many people of “home.”
Soup.
Yes, soup is one of the first things that pop into many minds when they talk about the long winter nights…
As a hot bowl of soup can warm you up and keep you warm for a couple of hours – depending on the recipe – but this meal has been a staple of cold Americans for decades.
Can you tell me where I’m going with this?
If you haven’t guessed by now…
Yes, we’re talking about soup – and in particular – the first name in the soup business, Campbell Soup Company (CPB).
You may not realize this – but Campbell’s is an almost $15 billion juggernaut in the food business – and most people don’t even think about it other than when they’re walking down the soup aisle in their local grocery store…
But as investors – we may want to give it a little more thought – as this stock is the perfect kind of winter investment that could pay dividends (both metaphorically and LITERALLY) when Spring finally thaws us out.
Because get this…
If you decided to hold onto Campbell’s stock, you’ll be getting a reliable 3% dividend – which may sound like a pittance to some people…
But when you compare it to the yield of a 10-year Treasury note – you’re pretty much tripling what you’d be able to bring home there.
Oh…
And unlike the semi-annual coupon on that bond (something that doesn’t change as long as you own it) – Campbell’s quarterly dividend should rise over time.
So, you see?
An American staple could pay you more than an American note! Crazy, right?
While Campbell’s hasn’t shown up on the GorillaTrades trading matrix…
It’s still a pretty smart move for even the most seasoned of investors.
However, if you’re looking for something with a little more punch and kick to it – you may want to give GorillaTrades a try…
We’re always here if you want a little extra help with your trading…
So please, don’t hesitate to ask!
Regardless, do yourself a favor and give Campbell’s a look – it could set you up for a pretty nice Spring!
“Only the pure in heart can make a good soup.” – Ludwig van Beethoven
