Service Corporation International: A Deadly Opportunity

With all this talk about another economic depression, it is ironic to find value in an industry that only recently has been feeling the effects of the last depression. During the 1930s, when the unemployment rate reached 25%, it is not surprising that people were less inclined to have children. Less births back then has been one of the reasons the death care industry has recently seen a decrease in customers.

The 30s, however, ushered in the 40s, which saw the beginning of the baby boomer generation. This large shift in demographics could have a profoundly positive impact on the fortunes of the death care industry in a few years. With a 13% share of the industry in North America, Service Corporation International (NYSE: SCI) is best positioned to benefit from this change. Other publicly-traded industry participants include Stewart Enterprises, Inc. (Nasdaq: STEI) and Carriage Services, Inc. (NYSE: CSV).