5 Hot Gen Z Products Perfect For Future-Proofing Portfolios (And Why)

Gen Z Products
Credit: Piqist

Investor tip: Hot Gen Z products are perfect stocks to research. You’ve probably got two questions. What is Gen Z? And why should you care? We’ve got those answers and much more.

First up, the big questions:

What is Gen z?

An age group younger than millennials.

How old is Gen Z, or Generation Z?

People aged between 15 and 21 (born between 1997 and 2012) are from Gen Z/Generation Z.

Why should I care about hot picks for Gen Z?

The products 15-21-year-olds are using today (if at scale), are possibly tomorrow’s big stocks. Whether that’s a big future Initial Public Offering, a big acquisition, or general growth. Think of them as tomorrow’s Facebook, Google, and Amazon acquisitions.

CHECK OUT: 10 Stocks to watch if you’re on a budget of $10 or less.

Lululemon (LULU)

  • Some of the top Gen Z products on the market are athleisure – a combination of athleticwear and leisurewear, if you were curious.
  • One of the top brands on the move is Lululemon. They began as a brand for high-income women, but have been expanding to average-income and high-income men.
  • It’s this higher-end exclusivity that Gen Z is clearly chasing – and Lululemon seems happy to pivot their demographic to snap up the interest.
  • According to polls in 2019, Lululemon was a top 10 clothing brand.

Ulta (ULTA)

  • Another brand about looks is Ulta (ULTA), one of the top cosmetics Gen Z products.
  • Since 2018, it has been a disruptive force, taking market share away from other established brands to become the top destination for young shoppers after make-up.
  • In 2019 Ulta had 38-percent of the young consumers mind-share.
  • One of the reasons Ulta is so fashionable is because of its all-in-one solution to brands. You see, Ulta is where hot brands go to sell their Gen Z products.

Activision Blizzard (ATVI)

  • If you’re between 20-and-40, you’ve likely heard of World of Warcraft and Call of Duty. These major game franchises are also top Gen Z products from Activision Blizzard.
  • Gaming is pivoting from physical to digital media which is upping the revenue games companies make per unit sold.
  • As 60-percent of Gen Z gamers download games rather than buy physical discs, this pivot will continue and likely grow over time with the release of disc-less next-generation consoles.
  • As one of the biggest companies in gaming, with 35-percent teen mind-share, Activision Blizzard is an interesting stock to watch going forwards.

Beyond Meat (BYND)

  • Another trend amongst Gen Z is sustainable food sources. One company filling that Gen Z products gap is Beyond Meat.
  • The company produces plant-based meat substitutes, began in 2009, and only went public in 2019.
  • With the attention put on animal-based food supplies, the number of people, specifically Gen Z switching to vegan or vegetarian lifestyles is increasing.
  • The future is bright for Beyond Meat. It’s now international, has restaurant partnerships, and is one of the Gen Z products to watch going forwards.

Snapchat (SNAP)

  • According to polls, 51-percent of Gen Z use Snapchat daily.
  • Gen Z only loads up YouTube and Instagram more than Snapchat on a daily basis. Not even the often talked about TikTok comes close, with only 11-percent of Gen Z using that app daily.
  • This trend in usage isn’t a habit these users will grow out of. So it might be prudent to expect Snapchat’s popularity to progress as these Gen Z users age.
  • According to Yahoo Finance: “Long-term investors should buy Snap stock, as the company’s second-quarter results show that it’s continuing to benefit from strong, positive trends.”

Disclaimer: Please always remember to do your due diligence before investing. This is not financial advice, only stocks for you to research.

CHECK OUT: 5 Simple steps to picking stock for investment virgins.

Share: