We don’t often think about it, but the supply chain affects the cost of goods and services in a huge way.
The global supply chain is dealing with Russia’s invasion of Ukraine, worker shortages and inflation. It’s driving up the cost of goods.
But I believe there’s opportunity in the more insulated North American market.
We can capitalize with a company that rates a 99 on our Stock Power Ratings system. Its stock has achieved “maximum momentum” while it’s helped keep our supply chain on track.
Supply Chain Issue Costs Big Bucks
By definition, a supply chain is a network between a company and its suppliers to produce and deliver products to consumers.
A 2021 Vanson Bourne study said that global supply chain disruptions cost American companies $228 million in 2021.
This was before Russia’s invasion of Ukraine, which put additional pressure on countries trying to bring in and ship out everything from wheat to oil.
Those disruptions don’t just cost companies … they cost us as consumers. When companies face increased costs, they pass the buck on to us.
But I believe these issues are short-lived. Those companies that rely more on a domestic supply chain are less affected.
Today, I have a Power Stock that keeps the North American supply chain on track. This logistics company moves products from U.S. manufacturers to U.S. customers.
- It scores a 99 on our Stock Power Ratings system!
- It’s done well to weather the current market downturn.
- This stock recently hit a 52-week high.
I believe this stock has more room to run.
The Trend: Supply Chain Rebound Means Big Profits
The North American logistics market was already robust when the COVID-19 pandemic hit.
The sector was valued at $992 billion dollars in 2020.
While the pandemic, inflation and worker shortages have pressured logistics, this mega trend will only grow in the coming years.
Revenue from the North American logistics market reached $1 trillion in 2021. That’s expected to grow to $1.3 trillion by 2025 — a 30% growth rate in four years!
In this episode of The Bull & The Bear, I share a top company in our Stock Power Ratings system and tell you why it’s a strong contender for your portfolio.
Its 99 overall rating means we are “Strong Bullish” on this logistics stock and expect it to beat the broader market by three times over the next 12 to 24 months.
The Bull & The Bear
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Matt Clark, CMSA®
Research Analyst, Money & Markets
Matt Clark is the research analyst for Money & Markets. He’s the host of our podcast, The Bull & The Bear, as well as the Marijuana Market Update. He’s also a certified Capital Markets and Securities Analyst through the Corporate Finance Institute. Before joining the team, he spent 25 years as an investigative journalist and editor — covering everything from politics to business.