US Population Aging According to Mizuho analyst, the US population will be about 10% older by the decade’s end.
Investment firm predicts that spending by American consumers of the same age group will nearly double in the next five-year period, which may benefit several stocks until the end this decade.
Mizuho is confident that Home Depot and GE Healthcare will benefit from this change in US demographics.
Home Depot Inc (NYSE: HD)
Mizuho believes that Home Depot will benefit from the aging of US residents, as people often do not feel comfortable moving to a new home in their old age.
HD shares could benefit from increased home improvements in coming years.
In a note sent to clients recently, it said that “a rapidly aging housing inventory coupled with the shift toward services should continue to be a positive factor for maintenance and repair of homes.”
Mizuho has a positive view on Home Depot because the majority of US houses are older than 40 years.
The $450 target price indicates that the stock could rise by close to 30 percent from this point.
HD shares are even more attractive at the current price because they offer a dividend yield of 2.62%.
Home Depot’s strong financial position may also be a reason for investing in the company in 2025.
The home improvement retailer posted $3.02 per share in February on revenues of $39.70 billion.
Comparatively, analysts were looking at $3.01 per shares and $39.16 Billion.
GE Healthcare Technologies Inc (NASDAQ: GEHC)
Mizuho views the recent drop in GE Healthcare shares as a chance for investors to invest long-term.
Analysts are confident that GEHC’s profits will increase as the US population ages. Seniors require more procedures and tests, and therefore contribute to overall health tech demand.
Investment firm advises GE Healthcare shareholders to buy shares now at the current price because the Nasdaq listed firm uses artificial intelligence in its growth strategy.
Nvidia announced a partnership with GEHC for autonomous imaging just last week.
Like HD, Chicago-based company, Illinois is doing very well on the financial front.
It reported earnings of $1.45 per share for the fourth quarter last month, which was well over $1.26 predicted by experts.
The rest of Wall Street is in agreement with Mizuho about GEHC.
GE Healthcare’s stock is currently rated “overweight” by the consensus, with a mean price target of $103 indicating a possible upside of 25%.
Please note that GEHC currently yields 0.17%.
The post US Population Aging: Here are the Top 2 Stocks Set to Benefit may change as new information becomes available.
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