Reliance Worldwide Corporation Aus P Ltd (ASX: RWC) shares have been making waves on the ASX and I think it deserves a spot on your watchlist.
RWC share price
Reliance Worldwide shares have performed strongly, despite being listed for less than two years. The chart above compares its performance to the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO), before dividends.
Who is Reliance Worldwide?
Reliance Worldwide is a $2 billion company, yet most investors are unaware of its existence and its products.
Reliance Worldwide operates in a somewhat niche industry, plumbing and water solutions. The company's flagship product is Sharkbite, plumbing connections which allow pipes to be connected behind your wall effortlessly and securely.
Plumbers I have spoken to consider Sharkbite to be both time saving and reliable. However, they notice the cost. Sharkbite products are a cut above the rest and have a price tag to match.
Nonetheless, Reliance Worldwide's sales are growing. It operates throughout Australia, the Americas and Europe.
In August, the company reported strong growth in each of its product and geographic segments, which sent its share price higher. In the USA, the growth in distribution and sales of Sharkbite is Reliance Worldwide's focus moving forward. Pleasingly, in the most recent financial year it reported double-digit sales growth.
It also increased its final dividend.
Foolish Takeaway
Earlier this year I wrote that Reliance Worldwide shares deserve a spot on your watchlist. While the share price has risen strongly since then I continue to believe it has a bright future ahead. That's why I have it firmly on my watchlist in 2017.
