5 Stocks to Buy Now That May Be Huge Summertime Winners

May 28, 2019 by 247lee

With Memorial Day, the unofficial start to the summer season, behind us, the first real day of the new season is just over three weeks away on Friday, June 21. School soon will be out in most parts of the country, and families are getting ready for the annual exodus to all points north, south, east and west for fun and vacations. Gasoline prices actually have been falling recently, so you can bet that even more families will be hitting the road or the skies for destination vacations.

In addition, many homeowners are getting ready for summer projects to enhance the value and fun of home ownership, and that caters well to the big retailers that fill the needs of gardeners, home repair enthusiasts and more.

We screened our 24/7 Wall St. research database and found a host of top companies that should do great over the next 90 days. All five are rated Buy at some of the top firms we cover.

Cedar Fair

Plenty of families will be heading to this top company’s theme parks this summer. Cedar Fair LP (NYSE: FUN) is one of the largest regional amusement-resort operators in the world, and it is a publicly traded partnership headquartered in Sandusky, Ohio. Focused on its mission to make people happy by providing fun, immersive and memorable experiences, the company owns and operates 11 amusement parks, including its flagship park, Cedar Point, along with two outdoor water parks, one indoor water park and four hotels.

The company also operates an additional theme park under a management contract. Its parks are located in Ohio, California, North Carolina, South Carolina, Virginia, Pennsylvania, Minnesota, Missouri, Michigan and Ontario.

Cedar Fair investors are paid a sizable 7.05% distribution. B. Riley has a Buy rating and a $60 price target on the shares. The Wall Street consensus target price is slightly higher at $61.67. The stock closed last Friday’s trading at $52.56 apiece.

Disney

This company is a top consumer media and entertainment company with multiple streams of income to push revenue and is on the US 1 list at Merrill Lynch. Walt Disney Co. (NYSE: DIS) stock continues outperforming on a near-term and long-term basis as it is the largest publicly traded media and entertainment company and a global leader in producing high-quality, branded family entertainment.

Key assets include its theme parks (six locations globally), the ABC TV network, ESPN, FX, National Geographic and other cable networks, iconic film studios ( Disney, LucasFilms, Marvel, Pixar, 20th Century Fox), Star India, direct-to-consumer streaming platforms (Disney+, 66% Hulu stake and ESPN+) and consumer products.

Disney stock is up more than 21% so far this year, thanks to an almost 15% surge after the company unveiled more details of its streaming plans at its investor day in April.

Disney shareholders are paid a 1.28% dividend. Merrill Lynch has a price target of $168, which is well above the consensus target of $149.09. The stock closed at $132.79 per share on Friday.

Home Depot

This company remains the undisputed leader in the home improvement retail category, and summertime is huge for the retailer. Home Depot Inc. (NYSE: HD) is the world’s largest home improvement specialty retailer, with 2,270 retail stores in all 50 states, the District of Columbia, Puerto Rico, U.S. Virgin Islands, Guam, 10 Canadian provinces and Mexico.

Home Depot stores sell various building materials, home improvement products, and lawn and garden products, as well as provide installation, home maintenance and professional service programs to do-it-yourself (DIY), do-it-for-me (DIFM) and professional customers.

Shareholders of Home Depot are paid a 2.67% dividend. The $215 Merrill Lynch price target for the Buy-rated shares compares with the posted consensus price objective last seen at $205.86. The stock closed most recently at $193.59 a share.

SeaWorld Entertainment

While this company changed the way it does shows due to a degree of public outcry a few years back, the parks remain a prime summer attraction. SeaWorld Entertainment Inc. (NASDAQ: SEAS) is a leading theme park company that delivers family-oriented entertainment through a diversified array of offerings and a focus on animal interaction and education.

The company owns and operates 11 theme parks in the United States, which attract more than 20 million visitors annually. Key brands include SeaWorld (with parks in Florida, California and Texas), Busch Gardens (Florida and Virginia) and Sesame Place (Pennsylvania). Flanker brands include Discovery Cove (Florida), Aquatica (Florida, California and Texas), Adventure Island (Florida) and Water Country USA (Virginia).

The analysts at B. Riley rate this stock a Buy, and they have a $34 price objective. The posted consensus target price is $32.82, and the shares were last seen trading at $27.25 apiece.

Six Flags Entertainment

This is another theme park giant that is poised to see a host of visitors this summer. Six Flags Entertainment Corp. (NYSE: SIX) is a regional theme park operator, with approximately 19 regional theme and water parks. Its parks occupy approximately 4,500 acres of land and are located in geographically diverse markets across North America. Its parks offer a selection of thrill rides, water attractions, themed areas, concerts and shows, restaurants, game venues and retail outlets. They offer approximately 830 rides, including over 135 roller coasters.

The Company’s parks include Six Flags America, Six Flags Discovery Kingdom, Six Flags Fiesta Texas, Six Flags Great Adventure & Safari/Six Flags Hurricane Harbor, Six Flags Great America, Six Flags St. Louis, Six Flags Magic Mountain/Six Flags Hurricane Harbor, Six Flags Mexico and Six Flags New England.

Six Flags investors are paid a solid 6.18% distribution. Stifel rates this stock at Buy and has a $61 price target on the shares. The consensus price target is set at $73.60, though, but the stock closed at $51.24 last Friday.

Of course, all these companies do business year round, but the summer brings warm weather and vacation time for families, and that means more business and more people spending money. Toss in lower prices at the pump, and it could make for an outstanding overall summer of 2019.