Record heat: Stocks winners and losers
AC Tech Romero repairs an air conditioning unit on July 10 in Austin
By Krystal Hur, CNN
New York (CNN) — As Americans desperately seek to cool off, some stocks are rising with the temperature.
Shares of companies whose products help cool homes have gained as record temperatures hit the United States. Carrier Global shares have jumped 10.6% this month, Whirlpool rose 4.8% and Aaon added 8.3%.
Those gains have outperformed the broad-based S&P 500, which has risen 2.7% in the same time frame.
That comes as Americans stock up on air conditioners, fans and other products to help battle the sweltering heat. Air conditioner sales on Amazon soared 248% during the 30 days ending July 14, according to data from Jungle Scout, a data and analytics provider for Amazon sellers. Fan sales jumped 60%.
Shares of beverage companies have also risen, as people reach for something refreshing. Molson Coors shares have gained about 5% this month and Constellation Brands added 8.8%.
Natural gas stocks have also benefited from the surge in temperature as Americans crank up their air conditioners. Cheniere Energy has added 3.2% in the last month, Devon Energy gained 4.6% and Coterra Energy rose 4.6%.
“The heat wave that much of the United States is experiencing is great for natural gas stocks because there are natural gas peaker power plants all over America that come on during peak load demand to help provide extra electricity,” according to a note by Louis Navellier, chairman of Navellier & Associates.
Still, extreme weather has been a headache for many companies.
Airlines have canceled thousands of flights this summer due to the heat wave but also because of heavy rainfall, thunderstorms, wildfire smoke and other weather events.
Shares of United Airlines, which saw a higher number of cancellations compared to its industry peers, have fallen 0.4% for the month. JetBlue Airways stock has slipped 2.4%.
Extreme weather events could also pose problems to agricultural companies, as heavy rainfalls flood crop fields and record temperatures leave farmers at higher risk of heat-related illness and death.
The-CNN-Wire
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