When it comes to making great investments, few stocks can match the power of “inevitables.”
“Inevitables” is a concept popularized by legendary investor Warren Buffett. It’s his term for big companies that dominate their industries. The companies have such well entrenched and well defended spots in the marketplace that their continued success and customer loyalty is virtually inevitable.
This makes inevitables excellent long-term investments that allow you to make big money while still sleeping well at night.
In 1996, Buffett specifically pointed out Coca-Cola’s extremely strong position in the beverage industry… and how it would enable the company to prosper for generations.
As you can imagine, Buffett loves to own inevitables. He’s been a big shareholder in The Coca-Cola Company (KO) for decades… and made billions of dollars doing it.
I like to take Buffett’s concept a little further. I love to invest in massive business trends that are so entrenched… have such bright futures… and such strong future demand, that strong growth is virtually guaranteed.
That’s why I believe investing in specific trends in the healthcare and insurance industries are great financial decisions right now. Let me explain.
Investing in Your Health
We know that there will always be growth in the healthcare sector. However, the biggest growth opportunities within the sector can vary. After doing extensive research, I know just where to invest now: home healthcare.
In 2018, the global home healthcare growth market was worth $205.78 billion. And according to Adroit Market Research, that market should more than double to $641.10 billion by 2025. This will be due in part to patients with chronic diseases, rising disposable income, greater awareness for lifestyle disorders and technological developments. The elderly population will drive a lot of this growth. As of 2017, it accounted for nearly 13% of the global population, and it is expected to grow about 3% annually.
Given this growth, now is the time to invest in the home healthcare companies, and I believe I have found the one. It has been around for more than 20 years, it’s seen triple-digit earnings growth, and it has reported over $2 billion in revenue. In addition, it holds the coveted A-rating in Portfolio Grader.
That means it is a screaming buy right now.
My stock pick is an under-the-radar name that is well-positioned to profit off of the home healthcare trend as it continues to expand.
I just recommended this stock in my Breakthrough Stocks service, and I’ve got the full details waiting there for you now. Click here to learn more and sign on to get this stock pick today.
The Importance of Insurance
As important as it is to manage risk when investing, we need to manage risk outside of the stock market, too. This is where insurance comes in. It is an effective way to manage risk for things like healthcare, automobiles, life and even our pets.
Within this space, I am most interested in specialty insurance. This is insurance that can be purchased for items that are special or unique. These policies are important for items that are not usually covered under other insurance policies, like a classic car or a boat.
According to iCrowdNewswire, in 2018, the global specialty insurance market was at $220 million. By 2025, it should hit $310 million. Because it’s a smaller market, the key for big profits is to find the player with the biggest reach.
And I found just that player.
This company has business across the entire United States, and has seen big growth. Its earnings are up in the triple-digits, and its sales have been very strong, too. It also holds an A-rating in Portfolio Grader, and based on company management’s projections for the next quarter, I expect this stock to be a strong performer going forward.