With all the tropical storms hitting the U.S. recently, many in the Southeast can't wait for the 2004 storm season to end. The boarding up of windows has become an all too familiar routine in Florida. With all the destruction to homes and businesses, some companies are helping Floridians protect their property and rebuild.
For example, Georgia-Pacific
The run on plywood and generators at home improvement stores such as Lowe's
Sales have surged as folks in the path of the storm stocked up on survival supplies such as flashlights and batteries. With widespread power outages, the need for generators has risen faster than the incoming waves. Briggs & Stratton
Both Home Depot and Lowe's have said there would be no price gouging to take advantage of hurricane victims. Lowe's has activated its "natural-disaster price suspension policy," meaning prices in affected areas are locked in for 30 days.
The stocks of all these companies have done well over the past few weeks, with Home Depot reaching a new 52-week high last Thursday. Unlike many retail establishments in the hardest-hit areas, the home improvement retailers may actually find the storms to be a boon for them. Sales are on the rise, and this could translate into healthy earnings gains this quarter. There are two months left in the 2004 hurricane season. And with the threat of more storms on the horizon, the need for protection and survival supplies won't subside any time soon.
Fool contributor Kelvin Taylor does not own shares of any of the companies mentioned.