More proof that the "disappearing middle class" trend in America is alive and well: rent-to-own furniture and appliances chain Aaron's (AAN) just struck an all-time high.

Regular readers are familiar with Porter's thoughts on the decline of the middle class in the U.S. In short, low interest rates and the Fed's loose-money policies have allowed the wealthy to borrow money and buy stocks, real estate, and other hard assets. But rising prices squeeze the lower-income wage earners, who have to pay more for everything from groceries to washing machines while their wages stagnate or fall.

Earlier this year, we showed how this trend has been a boon to discount retailers like Dollar General (DG). But the rent-to-own ("RTO") industry has also benefited. RTO retailers cater to the poor... They provide higher-end items to folks who can't afford them normally. The business has thrived over the past couple years, and Aaron's is a prime example.

Aaron's stores are filled with furniture, appliances, and electronics for people to rent. The company is in a long-term uptrend. Shares are up more than 50% over the past year and just rose to a new all-time high. As long as the disappearing middle class continues... businesses like Aaron's should continue to trend higher.

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