I work tangentially in the commercial real estate industry and over and over again, I’m seeing more and more demand for plumbing, both in residential and commercial spaces. I also considered the possibility that if large commercial spaces needed to be converted into residential, plumbing (and AC) would need to be extensively replaced, and as such there would be increased demand for plumbing supplies. Lastly, as a small piece of anecdotal evidence, I see plumbers themselves building out beautiful homes not just for clients but also for themselves, reinforcing how well plumbing is doing right now.
Eventually, with my interest piqued, I researched the largest publicly traded plumbing supply companies and ended up investing (June 2023) in three that have done extremely well: EME (current holdings $29k) up 96%, FERG ($21k) up 43% and FIX ($30k) up 99%. That said, it was a bit of blind luck as I was investing in the industry while knowing very little about the three companies themselves. I’d like to invest more but this time with a little knowledge about the companies. So, I ask you, the plumbers or those that are in the plumbing know. Which of the three plumbing companies do you like and why? Or perhaps you like all three…thoughts?
*I’m not a financial advisor, use your own judgement about what to invest in….
