- Inflation and economic growth are expected to rise in 2021, resulting in the so-called "reflation trade".
- The odds for an infrastructure bill look about as high as they have in recent memory.
- Gorman-Rupp manufactures pumps used in water/wastewater infrastructure, as well as economically sensitive sectors (energy, agriculture, mining, etc.). GRC sales should benefit from increased economic activity.
- GRC has an exceptionally strong balance sheet, shares have low volatility for the industrial sector, and the company has paid increasing dividends for 48 years.
- At $34.35, shares represent a compelling way to play the reflation trade, as well as secular trends favoring investment in water infrastructure.
For further details see:
Play The Reflation Trade With Gorman-Rupp