Well, well, well. The Supreme Court just delivered what might be the most expensive legal smackdown in recent memory, and some lucky stocks are about to cash in big time.
Here’s the tea: SCOTUS basically told Trump “nah, bro” on using emergency powers to slap tariffs on everything. And while politicians are probably scrambling to figure out what this means for their next campaign promises, Wall Street analysts at Jefferies are already doing the math on which stocks just won the lottery.
Think of tariffs like that annoying friend who always makes you split the check even when they ordered the lobster. Companies have been paying these extra costs, and guess what? They’ve been passing them right along to us. But now that the court killed these particular tariffs, some companies are about to see their profit margins get a serious glow-up.
The Winners Circle:
Signet Jewelers is probably popping champagne right now. They were getting hit with a 15% tariff on their Indian diamond imports (because apparently even sparkly rocks aren’t safe from trade wars). Now that’s dropping to zero. Ka-ching!
Yeti – yes, the cooler company that somehow convinced us all to pay $400 for an ice box – was facing a $0.35 per share hit from tariffs. That might not sound like much, but in the world of premium outdoor gear, every penny counts toward funding the next viral TikTok campaign.
Nike was staring down a $1.5 billion tariff bill. That’s roughly 3 million pairs of Air Jordans worth of extra costs. Now they can redirect that money toward, I don’t know, maybe making shoes that don’t fall apart after six months? (Just kidding, Nike. Mostly.)
Sharkninja – the company behind those infomercial blenders that can apparently pulverize a smartphone – had already been playing supply chain Tetris to dodge tariff impacts. Now they get to keep all those operational improvements AND lose the tariff headache. It’s like getting extra credit on a test you already aced.
Birkenstock rounds out the list. The German sandal maker that somehow made “ugly comfortable” into a fashion statement was facing a 7% tariff hit. Now they can focus on what really matters: convincing Gen Z that $150 cork shoes are a personality trait.
The big picture? This ruling doesn’t just help these five companies – it’s a signal that the era of “tariff everything that moves” might be cooling off. For consumers, this could mean lower prices (eventually). For investors, it means some stocks just got a surprise earnings boost.
Of course, there’s still the small matter of whether companies will get refunds for tariffs they’ve already paid. That’s like asking if your ex will give back your Netflix password – technically possible, but don’t hold your breath.
The moral of the story? Sometimes the best investment strategy is just waiting for nine people in robes to make expensive problems disappear. Who knew the Supreme Court moonlighted as a stock picker?