HIGHLIGHTS
November was all about the Presidential election. President Elect Trump’s pro-business stance was met with euphoria on Wall Street. The S&P500 was up 5.73% for the month bringing the year to date total increase to 26.47%, excluding dividends. The momentum Wellvest Capital’s Health and Wellness Index built in October continued with a vengeance in November, up 142.84% for the month bringing the H&W Index on par with the S&P500, up 26.76% for the year!
An episode of the vintage TV series “The Twilight Zone” does not hold a candle to what just happened to the health and wellness sector as a result of the recent Presidential election. The sector, and the stocks, are now enjoying the halo of the “Make America Healthy Again” movement. While the path to get here was unpredictable and unprecedented the message and objective is welcomed.
HEALTH AND WELLNESS TO THE FOREFRONT
Not since the height of the COVID pandemic has the topic of health and wellness gotten so much attention. This time around the narrative is about food and not just immunity. Time will tell what policy changes are implemented and their impact on the food and beverage industry. Regardless investors are piling into potential beneficiaries including most of the companies in the H&W Index, enhanced by a significant rotation to small cap stocks. Companies that have struggled for years to get a solid bid, had the best month in a very long time. Winners include; The Honest Company (HNST), up 122.8%; Natural Grocers (NGVC) tacked on 71.8% in November, increasing the YTD gain to 194.1%. Planet Fitness (PLNT) and Xponential Fitness (XPOF) gained 26.8% and 24.4% respectively. United Natural Foods (UNFI) nearly doubled its performance for the year, up 22.1% for the month and 53.0% YTD. Even WW (WW) had a good run, gaining 28.8% for the month. What will happen to these stocks over the next few quarters is anyone’s guess, but the focus on health and wellness is something everyone can get behind.
H&W INDEX WINNERS and LOSERS – YTD
- Top Five Winners
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- Top Five Losers
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Copyright: Wellvest Capital 2024