4 Pet Stocks to Beat the Recession

Pet Stock #2 – PetMed Express (PETS)

Another major player in the animal medical field, PetMed Express (PETS) is a retailer of prescription
and non-prescription pet medications, as well as other health products. Discount prices and convenience make this a go-to service for many pet owners.

PETM saw strong Q1 results, as revenue increased 13% to $77 million and net income grew 22% to $8.1 million. The balance sheet holds zero debt —
always a good thing.

One of the things I like about PETM is that the company acquired more customers this quarter and spent less to do so. It brought in 297,000 new
customers, compared to 267,000 from the same quarter a year ago, at a cost that was 12% lower. Now that’s the sign of a growing business.

This excellent customer growth without cost-cutting puts PETM at the top of my list. I rate it an A, or strong buy.

Next – Pet Stock #3