Yahoo Finance 5 Sectors That Should Get a Lift to Their Sales This Summer Season
Schools are about to be emptying, and children will be returning home for the summer season.
These five sectors stand to get a lift this summer thanks to a number of seasonal factors.
One of the obvious beneficiaries of warmer weather are adult beverage companies like for example Molson Coors Canada Inc. (TSX:TPX.B)(NYSE:TAP).
Molson and other beer brewers faced a small setback this spring as the weather was cooler than normal. If that trend reverses for the summer months, Molson stands to see a spike in its sales.
On top of the potential for a warmer season and how that could help to drive additional beer sales, management is focused on driving performance in the back half of the year to hit the performance it laid out at the start of the year following a slower first quarter.
Summer vacations are often filled with sports, backyard barbecues, and camping.
Canadian Tire Corporation Limited (TSX:CTC.A) offers all types of seasonal products to help Canadians make each summer holiday better than the last.
Canadian Tire also happens to be the parent company of FGL Sports, which owns the Sport Chek, Sport Mart, and Athlete’s World.
Summer months tend to be better at getting people outdoors, and FGL Sports, which also sells a range of bikes and accessories, stands to benefit from the seasonal trend.
The other thing that tends to happen during the summer is, people and families tend to travel more. That could be from travelling to soccer and baseball tournaments, camping trips, or vacations to summer properties.
Companies involved in the sale of refined gasoline products, like, for example, Suncor Energy Inc. (TSX:SU)(NYSE:SU), Imperial Oil Ltd. (TSX:IMO)( NYSE:IMO), and Cenovus Energy Inc. (TSX:CVE)(NYSE:CVE) will often strategically take advantage of the opportunity, raising prices at the pump to boost sales and their bottom lines.
And then you have the teenagers who suddenly have too much free time on their hands. One of the favourite past times of teens in the summer is to head out to the local movie chain. It also helps that movie studios in Hollywood tend to schedule their biggest releases for the summer.
Despite facing some short-term headwinds lately, Cineplex Inc. (TSX:CGX) is a theatre chain that stands to benefit from a strong showing at this summer’s box office.
Unique to the 2018 summer season, marijuana is expected to become legal recreationally in Canada — meaning this summer will be the very first time that medical marijuana companies will able to sell their product to the adult public.
Companies to watch in this space include the likes of Canopy Growth Corp. (TSX:WEED)(NYSE:CGC), Aurora Cannabis Inc. (TSX:ACB), Aphria Inc. (TSX:APH), and Cronos Group Inc. (TSX:CRON)(NASDAQ:CRON), not to mention several others.
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Fool contributor Jason Phillips owns shares of CENOVUS ENERGY INC. and owns the 60-strike January 2019 calls on MOLSON COORS CANADA INC., CL.B, NV. The Motley Fool owns shares of Molson Coors Brewing.
