With more than 35 inches of rain and a "catastrophic storm-surge flooding" predicted in Texas, ServiceMaster (SERV) - a natural disaster damage restoration and repair company with 36 locations in Texas - looks to be one firm that might benefit from the massive water damage that could occur in Texas and throughout the Gulf Coast.
ServiceMaster (SERV) 36 locations in Texas stretch from Abilene to Waco to Huston and everywhere in between. ServiceMaster's Restore division offers comprehensive flood damage restoration and cleaning, disaster restoration, mold remediation, carpet drying, site restoration and debris removal.
About half of the Harvey storm path predictions suggest that Harvey may turn after making landfall in Texas and hit the Gulf Coast of Louisiana. With water removal pumps in New Orleans severely compromised already, we believe that the flooding would cause severe damage in these areas as well. ServiceMaster has 15 locations in Louisiana, including New Orleans.
ServiceMaster did extensive work in New Orleans following the water damage inflicted by Hurricane Katrina. You can read more about ServiceMaster's work during Katrina here.
(source: SERV Disaster Services Website)
We believe that shares of SERV will perform strongly during period following Hurricane Harvey and even now as investors begin to anticipate - and actually witness - the damage that the Hurricane will cause. Massive flooding can cause not only structural damage, but also extensive mold damage in the aftermath of a severe storm. ServiceMaster will be one of the companies on the front line doing repairs.
Disclosure: I am/we are long SERV.