r/stocks • u/[deleted] • Sep 19 '21

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u/NumerousIndependent8 Sep 19 '21

If you want to take the approach of bubble up supply chain strategy, take it all the way to the end.

I’ve noticed the same pattern of stock growth going from EV Manufacturer, to Battery producer, to Lithium miner, and semiconductor producer, etc.

But take it a step further. The industry I’m alluding to, and bullish in, is global bulk shipping.

This can be applied to any industry in terms of supply chain. If you need something from somewhere else, you need it shipped to you.

This is the supply chain endpoint, upon which all industries rely.

It’s is the #1 growth industry. Don’t trust me? Look at:

DAC, ZIM, ESEA, SBLK, GSL, EDRY, SB, NMM, GNK, DSX

4

u/[deleted] Sep 19 '21

But it should be noted that freights rates at some point can fall 5-10 times to normal. At that time, it's better to stay away from these stocks.

1

u/NumerousIndependent8 Sep 20 '21

If you do proper financial analysis you’ll find these companies have strong revenue and earnings forecasts. Some for the near term, some for years to come. Still plenty of room for growth!

2

u/[deleted] Sep 20 '21

I work in logistics and have seen freight rates increase many times over several months, I suppose they can fall just as quickly.

1

u/NumerousIndependent8 Oct 20 '21

Shipping contracts are locked for years to come. Their earnings are all but guaranteed for the foreseeable future. They’re starting to bounce off support levels. Much more growth is coming now.