Value investors love mundane sectors and what could be more mundane than brushing your teeth? Nobody ever talks about brushing their teeth, how they enjoy it or how they look forward to it every morning. Well basically I think nobody does, that’s why it’s ever been talked about.
But as far as investing is concerned, this is one of the best business to be it. We will talk about a few important points:
Everyday Necessity (Consumer Staples)
Well, first of all, everyone brushes teeth at least once a day right? Toothpaste runs out fast, and people just buy back the same brand without thinking too much. Even if prices were up like 20%, they still buy it. After all it’s something going into your mouth. If it’s going from $5 to $6, most people would risk switching to something that doesn’t taste right.
And toothbrushes, they wear out fast too! ...
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