It’s no secret that Amazon is plowing through sector after sector, leaving barely any scraps for what’s left of the companies they’ve destroyed.
And we’ve spoken a lot about how you can profit from this action by short selling certain sectors, but there’s a specific sector that’s become “Amazon-proof,” and I’ve got the perfect way for you to take your ‘secret sector payouts.’
It’s as simple as repeating four letters over the phone…
Thanks to Amazon’s (AMZN) mammoth 230% 2-year growth, entire sectors have been brutally suffocated.
The retail sector has taken the hardest hit, with the grocery and pharmaceutical sectors currently in Amazon’s crosshairs.
In these two years, the companies that were once the backbone of America have taken fatal falls from nosebleed heights.
Macy’s (M) has shed 65%, JC Penney (JCP) has lost 54%, and Victoria’s Secret owner, L Brands (LB), has suffered a 47% devaluation.
There seems to be no way of stopping Amazon from taking over the world.
While I still stand by the Amazon-fueled short positions we’ve spoken about recently, I’ve found a sector that seems to be completely Amazon-proof.
In fact, there’s a huge possibility Amazon could soon strike a deal with one of the biggest companies in this sector.
Think about everything Amazon has going for it, and see if you can guess which sector it is I’m talking about…
Amazon needs warehouses to store all its products, and it’s going to continue to need more and more warehouses as it drives forward into its future.
That’s exactly where you’re going to take your ‘secret sector payouts’ from.
Amazon is dependent on the industrial retail sector, and it has no way around that.
There’s one stock in this sector that stands out to me—both fundamentally and technically.
That company is STAG Industrial (STAG).
STAG’s approach to sidestepping Amazon’s destruction comes from a little bit of luck and a whole lot of hard work—which is the perfect combination for any company you’re looking to invest in.
The industrial retail company has 342 buildings across 32 states, and within its roster of 296 tenants are some big-hitters: FedEx (FDX), XPO Logistics (XPO) and DHL.
In the last quarter alone, it bought 21 buildings, which are already 95% occupied… that means STAG will be receiving immediate cash flow from these buildings.
But the reason for STAG being Amazon-proof doesn’t lie in its tenants; it lies in the fact that Amazon could be looking for a lot of new warehouses in the near future.
STAG seems to be the number one contender for these warehouses.
Clearly, the fundamentals should soon align for STAG.
But on a more technical front, STAG’s stock is sitting right around all-time highs, with a solid line of support around $26.50.
As STAG continues to consolidate, it may present itself as the perfect ‘buy’ very soon.
So, keep an eye on STAG as Amazon’s surge continues, and when the perfect time comes, jump on the industrial retail sector and take your Amazon-proof payouts.