Barry Schwartz
Floor & Decor Holdings Inc.
FND-N
BUY
Jan 04, 2022
Creating the "Home Depot" of flooring in the US. Sells to commercial and residential. Gaining market share. Ambitious plans to open more stores, which extend beyond the US. High growth business. Impacted by supply chain, but long term, you'll do well.
It's like the home depot of tiling and hardware floors. They can add many more stores. They won't be beat on price or selection. People don't want carpets any more. They have a good runway of growth. (Analysts’ price target is $129.15)
(A Top Pick Jul 19/21, Down 28%) Hurt by rising interest rates. Market shoots first, asks questions later. Sells to contractors and DIY'ers. Opening lots of stores over next 5 years. Structural tailwinds. Heavy stuff you can't buy off AMZN.
If inflation is really declining, then people will buy houses again and shop at HD. It's time to consider the home stocks again. Today's rally (based on tame CPI today) shows pent-up demand for these beaten-up stocks. He follows this.
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