There is a lot of money to be made in food trends, health trends and beauty trends. Just look at how well a2 Milk Company Ltd (Australia) (ASX: A2M) and Bellamy's Australia Ltd (ASX: BAL) have done in 2017.
Some of the companies that are really tapping into this trend are the following:
Blackmores Limited (ASX: BKL)
Blackmores is the vitamin and health giant that encourages everyone to be a well being, by consuming their products.
The business has a wide variety of supplements that aim to improve various physical or mental elements of someone's life.
It has proven very popular here and abroad as revenue and profit have increased significantly over the past few years.
Concerns over China revenue seem a distant memory with the share price recovering from $87 in August to today's $139.54.
I like Blackmores because it actually has fairly strong recurring revenue once a customer starts taking one of its daily supplements.
Blackmores is currently trading at 34x FY18's estimated earnings with a fully franked dividend yield of 1.93%.
BWX Limited (ASX: BWX)
BWX is Australia's leading natural beauty brand with ranges like Sukin, Uspa and Edward Beale.
There is a growing movement of consumers rejecting products that have a negative effect on the environment or themselves. Sukin is generating strong growth overseas with export sales doubling over the last financial year.
The BWX share price has been one of the best performers over the past year or two and I think it will continue doing well.
It's currently priced at 26x FY18's estimated earnings with a fully franked dividend yield of 1.01%.
TRILOGYINT FPO NZX (ASX: TIL)
Trilogy is best known for its Trilogy rosehip line of skincare products.
The company boasts that it sells a bottle of rosehip every twenty seconds and is New Zealand's number one skincare brand.
Trilogy has expanded its business through acquisitions and now includes Lanocorp New Zealand, Ecoya and Goodness Natural Beauty Lab.
Management have set their eyes on overseas growth and it could be a long-term success story.
Trilogy is currently trading at 12x FY17's earnings with a dividend yield of 2.1%.
Foolish takeaway
Blackmores is a good business but it seems a bit too reliant on the Asian market for my liking. I think BWX is the best long-term buy at the current prices if it can capitalise on its export markets.
