People love to write La Croix off as nothing special, and for good reason. The widely sold canned beverage is simply fruit-flavored seltzer sold at a premium. Such products have been sold in stores and soda fountains for decades under countless brands, many of which still exist.
Yet La Croix is decidedly more delicious than your average seltzer water. It’s packaged in a colorful, psychedelic can that looks like anything but seltzer. Sundance Beverage Company, the makers of La Croix, ship more than twenty flavors of the beverage nationwide, giving consumers ample choice and variety in their consumption. The drink is also sugar-, sodium-, and calorie-free, making it a healthy alternative to soda.
It’s these reasons and more that make La Croix one of the most sought-after beverages at your local supermarket. At the same time, this surge in demand is propelling stock of National Beverage Corp, Sundance/La Croix’s parent company, to absurd new highs. This means you could not only invest in La Croix; you could potentially make a bundle from the drink, too.
Investing in La Croix doesn’t mean buying more La Croix.
Let’s get this out of the way: one does not make money on La Croix by buying up their local store’s supply and reselling it. Despite high demand in the drink, Sundance Beverage is able to keep up with customers’ insatiable thirst and keep stores stocked. If you want to invest in the popular beverage, you simply need to buy shares of $FIZZ, National Beverage Corp’s stock. You can do this through your broker or brokerage of choice. (We recommend Robinhood for new investors.)
$FIZZ is outperforming many popular stocks.
Thanks in part to the popularity of La Croix, National Beverage Corp’s stock ($FIZZ) is consistently hitting all-time highs on the market. Though the company’s share price is currently $96.57, their stock has increased by 89.06% since the start of 2017. Their stock is also up 55.46% since the same time last year, and up 551% in the last five years.
This isn’t just well above the market average. $FIZZ is outpacing some of the most popular stocks on the market. Compare the company’s performance to Apple, for example. Apple’s stock is up 24.49% since January of this year and 49.13% since the same time last year. In fact, $FIZZ is growing faster than Tesla, Amazon, ExxonMobil, and countless other industry leaders.
Would a dip in popularity hurt $FIZZ?
La Croix is popular now, but some industry analysts and researchers attribute this to a mere fad. Though millions have enjoyed the beverage for decades, millions more are jumping on the La Croix bandwagon. Whether they keep drinking the stuff for years to come or move on to another beverage in the coming months is anyone’s guess.
Fortunately, National Beverage sells tons more products than La Croix. If people stopped drinking this specific drink, the company would see a noticeable impact in their sales, profit, and stock price in the short term. Yet thanks to their wide product offering, National Beverage can stay afloat, even if this supposed fad dies out.
Should you invest in $FIZZ?
If you think demand for La Croix will continue indefinitely, you might consider investing in $FIZZ. The company’s stock is certainly taking advantage of the surge in popularity and sales, which is part of the reason why it continues to grow. Just be sure to do your research in the company’s finances before you buy a single share. If you think we’ve reached “peak La Croix” or the company’s stock has little room left to grow, you can always invest elsewhere.