Three stocks that should profit from demand for cleaner and greener living
A professional investor tells us where he’d put his money. This week: Chris Versace of the Cleaner Living ESG-S ETF, picks three fast-growing green stocks


We’ve seen many times in the past how structural shifts in consumer spending have a major effect on economies. Consumer spending accounts for 50%-60% of GDP, depending on the country, underlining the importance of the choices that consumers make about how they shop, bank, communicate, work, live and play.
We are seeing the latest shift unfold as consumers increasingly demand cleaner products that shun harmful ingredients, additives and chemicals in those products they put in and on their bodies, in their homes and workplaces, or into the environment. Fuelling this shift are growing concerns over obesity, diabetes, added sugar, genetically modified organisms (GMOs) and artificial ingredients in food, personal care items, and other products, and rising awareness about our collective environmental footprint.
Tematica Research’s Cleaner Living index, which is used by the Cleaner Living ESG-S ETF, captures this unfolding change in consumers’ preferences across multiple segments of the economy.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Greener eating with Sprouts
While US retailers such as Walmart, Kroger and Target are converting shelf space to offer cleaner living products, over 68% of the products at Sprouts Farmers Market (Nasdaq: SFM) are already driven by attributes such as organic, non-GMO, paleo and keto. Over the last few years, its e-commerce penetration has more than quadrupled. Sprouts opened 12 new stores in 2021 and targets 15-20 new ones in 2022. Those efforts, along with consumer market-share gains, have Sprouts on track to deliver earnings per share (EPS) of $2.08 this year, growing to $2.30 in 2023 versus $1.25 in 2019.
Keeping electric vehicles running
The global electric vehicle (EV) market is expected to reach 34.8 million units by 2030, up from just 4.1 million in 2021. We see a growing demand for EV charging stations, both out and about as well as in the home. The monthly data from carmakers shows that the mix of EVs is growing. As that continues, the EV charging station pain-point will become increasingly clear.
In the US, there will be a spending boost for EV charging stations associated with the Biden administration’s infrastructure spending package, while Europe is aiming to become less dependent on Russian oil and gas. All of that bodes very well for ChargePoint Holdings (NYSE: CHPT), which has the largest network of charging stations across 14 countries in North America and Europe.
Making sure scrap metal isn’t wasted
Steel prices have risen considerably as a result of supply disruption caused by the Russia-Ukraine war. As the Omicron lockdowns in China fade and US infrastructure spending rises, demand for steel should climb. That could keep steel prices at or near current levels, which is positive for Schnitzer Steel Industries (Nasdaq: SCHN).
Schnitzer is a global leader in the metals recycling industry that collects, processes and recycles raw scrap metal and provides processed scrap metal to mills and foundries around the world. Roughly 95% of the company’s revenue is derived from the sale of recycled ferrous and non-ferrous metal products and finished steel products. Analysts’ consensus expectations are forecasting that Schnitzer will deliver EPS in the range of $7.58-$7.73 in 2022 and 2023, compared with $2.16 in 2019.
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
Christopher Versace is index creator for the Digital Infrastructure and Connectivity UCITS ETF
-
Review: Eden Roc Cap Cana – fun, sun and golf in the Caribbean
Travel Eden Roc Cap Cana in the Dominican Republic offers everything from relaxing by the pool to a world-class golf course
-
Reeves delays cash ISA reform, but savers are not out of the woods yet
The chancellor has reportedly delayed plans to cut the cash ISA limit, which were set to be announced at Mansion House on 15 July, and will take more time to consult with the industry
-
AJ Bell: a fine British fintech going cheap
Opinion Don’t overlook investment platform AJ Bell, a significantly undervalued British business with an excellent financial base
-
Energy infrastructure companies will provide a lift for your portfolio
Opinion Stacey Morris, Head of Energy Research at VettaFi, highlights three energy infrastructure stocks that she'd put her money in
-
QXO: a compelling opportunity in the building materials industry
Opinion The boss of QXO knows how to make a few billion dollars, and aims to repeat the trick. Investors would be wise to back him, says Jamie Ward
-
Microsoft’s partnership with OpenAI is on the rocks
Microsoft’s joint venture with OpenAI, the developer of ChatGPT, appears to be in trouble. What now for the two groups?
-
Carson Block on short-selling and what investors should watch out for when going long
Interview Renowned short seller Carson Block talks to Matthew Partridge about his specialism and where to go long
-
Investors can buy into tomorrow’s top global technology stocks today
Opinion Anthony Ginsberg, manager of HAN-GINS Tech Megatrend Equal Weight UCITS ETF, highlights three technology stocks as he tells us where he'd put his money
-
Drinks maker Diageo gets back on its feet – should you invest?
Diageo has faced one disaster after another over the past two years. Is it finally time to buy?
-
'Seeking out quality and resilience will pay off for patient British investors'
Opinion Gary Channon, chief investment officer of Phoenix Asset Management Partners, and Kartik Kumar, member of the Investment Team, select three stocks