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Funeral Home Stocks to Buy in February 2025

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The Best Funeral Home Stocks to Buy in February 2025

Key takeaways

Contents
Why be bullish on funeral stocks?People don’t cheap out on funeralsWhat are the top funeral home stocks to buy right now?Matthews International Corporation (NASDAQ:MATW)Service Corporation International (NYSE:SCI)Carriage Services Inc (NYSE:CSV)

The funeral industry is recession-resistant – Regardless of economic conditions, funeral services remain in steady demand, making these stocks relatively stable investments.

Cremation is reshaping the business – With cremation rates rising, companies are adapting by offering premium cremation services, memorialization products, and cremation equipment.

Scale and pricing power matter – Larger players like Service Corporation International (SCI) benefit from industry consolidation and pricing power, while smaller firms like Carriage Services (CSV) compete by focusing on premium, personalized services.

3 stocks I like better than the ones on this list.

They say death and taxes are the only sure things in life. So, if you’re thinking of investing in one of these guaranteed areas, you’re in the right spot as we will be diving into some of North America’s best funeral home stocks.

Why be bullish on funeral stocks?

Since it’s impossible to invest in taxes, putting cash to work in an industry that makes many people uncomfortable — death, isn’t a bad thing. Yes, everybody dies, but that alone doesn’t necessarily make passing a good investment theme.

You only die once, after all. And longer life spans combined with ever-lower infant mortality translate into lower death rates.

However, a few factors combine to make the funeral home industry bullish. A pandemic caused the untimely death of more than 1 million Americans and an additional 50,000 Canadians.

That alone is a lot of burials. Drug use has led to an explosion of premature deaths in young people. And after a decades-long streak of life expectancy marching ever higher, the trend has begun to reverse in Canada and the United States.

People don’t cheap out on funerals

Another reason to be bullish about burial service stocks is that we only die once. Nobody wants to be accused of cheating out on Grandma’s funeral. This ensures a funeral home’s pricing power and means grieving relatives are likely to say yes to high-margin add-ons.

As our population grows, so does the need for resting places. Yes, many folks opt to be cremated, but they still want somewhere relatives can visit. So they’re choosing a hybrid option and storing cremated remains in vaults at the cemetery. This, combined with still strong demand for casket burials, also bodes well for the cemetery business.

Besides, what better way to hedge your own inevitable passing? A small investment in a top funeral home stock could make you enough money to pay for a pretty comfortable trip into the afterlife. It’s an excellent way to stick it to the man.

With the Toronto Stock Exchange being heavily cyclical and exposed to industries such as steel, financials, oil and gas, and gold, there are not many Canadian stocks in the funeral sector.

In fact, Canada’s only publicly-listed company in this industry was taken private, so there are no longer any pure-play funeral home stocks listed in Canada.

With that in mind, I have to expand this list to North America. Lets go over the top funeral home stocks to buy today.

What are the top funeral home stocks to buy right now?

Memorialization and industrial technology provider

Matthews International Corporation (NASDAQ:MATW)

Matthews International operates across multiple industries, but its memorialization segment is a key driver of revenue. The company provides cemetery and funeral home products, including bronze and granite memorials, caskets, and cremation equipment. Beyond funeral services, Matthews is also involved in industrial technology and energy storage solutions, diversifying its revenue streams.

P/E: –

5 Yr Revenue Growth: 3.2%

5 Yr Earnings Growth: -%

5 Yr Dividend Growth: 3.7%

Yield: 3.5%

Service Corporation International (NYSE:SCI)

Service Corporation International (SCI) is the dominant player in the North American funeral home and cemetery business. The company owns and operates thousands of funeral homes and cemeteries across the U.S. and Canada. With its scale and extensive pre-need sales programs, SCI has built a strong moat in the death care industry.

P/E: 22.7

5 Yr Revenue Growth: 5.1%

5 Yr Earnings Growth: 8.1%

5 Yr Dividend Growth: 10.5%

Yield: 1.5%

Carriage Services Inc (NYSE:CSV)

Carriage Services is a smaller but rapidly growing funeral home and cemetery operator in the U.S. The company focuses on a high-margin, boutique approach, emphasizing premium services and personalized memorialization. With a mix of owned funeral homes and cemeteries, as well as partnerships, Carriage Services offers an alternative to the larger corporate players.

P/E: 18.4

5 Yr Revenue Growth: 7.4%

5 Yr Earnings Growth: 27.7%

5 Yr Dividend Growth: 8.4%

Yield: 1.1%

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