10 Best Furniture Stocks to Buy Now from freeamfva's blog

In this article, we discuss the 10 most popular stocks to buy right now. If you want to skip our detailed analysis of these stocks, go directly to the 5 Best Furniture Stocks to Buy Now.To get more news about wholesale furniture, you can visit beour.com official website.

During the lockdown, the home furniture industry capitalized from the spike in consumer demand for furnishings as idled stay-at-home buyers sought to re-furnish their houses. Consumer spending patterns shifted as offices encouraged employees to work from home. According to Deloitte's data, the personal consumption expenditure in durable goods, including furnishings, durable household equipment, home gym machine, and home office equipment, in the US has increased 6.3% in 2020, up from 4.8% in the previous year.

In 2020, the home improvement and repair spending grew by approximately 3% to $420 billion, according to a study by the Joint Center For Housing Studies of Harvard University. Some of the biggest names in the furniture industry that benefited during the pandemic are Bassett Furniture Industries, Incorporated (NASDAQ: BSET), Herman Miller, Inc. (NASDAQ: MLHR), Leggett Platt, Incorporated (NYSE: LEG), and HNI Corporation (NYSE: HNI), as recent earnings show.

Even though the furniture and home improvement sectors made money last year, Credit Suisse analyst Seth Sigman is bullish on the industry for at least the next year. Based on a McKinsey Company survey, even in the post-pandemic period, 30% of consumers intend to spend money on home-related items. The continuous surge in demand was evidenced in the recent earnings figure of The Home Depot, Inc. (NYSE: HD) and Wayfair Inc. (NYSE: W).

In the first quarter of 2021, The Home Depot, Inc.'s (NYSE: HD) revenue came in at $37.5 billion, an increase of 32.7% year over year and beating revenue estimates of $34.96 billion. The home improvement behemoth recorded a 19.3% growth in consumer transactions to 447.2 million. For the quarter, same-store sales increased by 31% globally, while e-commerce revenue increased by 27%. The stock has gained 31% year to date, and shares increased 19% in the last twelve months.

Another furniture stock market analysts are bullish on is Boston-based online furniture retailer Wayfair Inc. (NYSE: W). Jefferies analyst Jonathan Matuszewski maintained a buy rating on Wayfair Inc. (NYSE: W) with a price target of $330 per share, following the company's solid Q2 report. The company's second-quarter revenue came in at $3.9 billion. On August 5, Wayfair Inc. (NYSE: W) stock jumped 6.60% in premarket trading after the company reported a higher profit than expected.
The stocks on our list were picked based on their fundamentals and prospects for growth based on key business characteristics. We also took into account analyst ratings and future potential.

We ranked these furniture stocks based on the number of hedge funds having stakes in them, based on our data of over 866 hedge funds.

Why pay attention to hedge fund sentiment while choosing stocks? Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the SP 500 ETFs by more than 124 percentage points since March 2017. Between March 2017 and May 29, 2021, our monthly newsletter’s stock picks returned 186.1%, vs. 100.1% for the SPY. Our stock picks outperformed the market by more than 115 percentage points (see the details here). That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.