HOW TO PLAY IT

A pandemic, rising gas prices and ever-better logistics software have combined to create a virtuous circle of efficiency: As delivery routes get denser, the cost of package delivery comes down and people are more willing to give up their trips to the mall. The obvious winners in e-commerce, like Amazon and Shopify, are overbought. Look for less glamorous outfits whose share prices are reasonable multiples of what Value Line projects for cash flow, in the sense of net income plus depreciation: United Parcel Service, Prologis (smart warehouses), XPO Logistics (keep the shares of its logistics operation when it’s spun off) and WestRock (cardboard for boxes).