Categories
Consumer Stocks Featured Investing Stock Market Today Stocks to Watch

2 Recession-Proof Stocks To Watch In May 2024

Here are consumer staples stocks to watch in the stock market right now.

The stock market often reflects broader economic trends. However, certain sectors like consumer staples tend to be more resistant to economic downturns. Recession-proof stocks, particularly in the consumer staples sector, include companies that produce or distribute essential goods. This includes items such as food, beverages, and household products. These stocks are attractive during economic slowdowns because demand for these goods remains stable, regardless of the economy’s overall health.

Investing in recession-proof stocks offers stability as these companies tend to have consistent revenue and earnings. This stability can lead to less volatility in stock prices and a reliable stream of dividends, which is appealing to risk-averse investors. However, the downside is that these stocks typically offer lower growth potential compared to cyclical sectors that thrive during economic booms. Additionally, because these stocks are known for their safety, they may be overvalued during periods of economic uncertainty, resulting in lower yields for investors.

Overall, buying recession-proof stocks in the consumer staples sector can be a prudent strategy for investors seeking to safeguard their portfolios against economic downturns. While they may not provide the high returns of more volatile stocks during boom periods, they offer protection and steady gains in challenging economic climates, making them a fundamental part of a diversified investment strategy. With this being said, let’s look at two consumer staples stocks to watch in the stock market now.

Recession-Proof Stocks To Buy [Or Sell] Today

Procter & Gamble Co. (PG Stock)

Starting us off, Procter & Gamble (PG), or P&G, is a leading multinational corporation specializing in a wide range of consumer goods. Its product categories include cleaning agents, personal care, and hygienic products. P&G’s well-known brands, such as Tide, Pampers, and Gillette, are staples in households around the world.

Last month, Procter & Gamble reported better-than-expected third-quarter 2024 financial results. Getting right into it, the company posted Q3 2024 earnings of $1.52 per share, with revenue of $20.20 billion for the quarter. This came in higher than analysts’ consensus estimates for the quarter which were earnings estimates of $1.42 per share, on revenue estimates of $20.51 billion.

In 2024 thus far, shares of PG stock have jumped higher by 11.50% YTD. Meanwhile, during Thursday’s afternoon trading session, Procter & Gamble stock is trading green up 0.47%, trading at $165.85 per share.

[Read More] Best Dow Jones Stocks To Buy Right Now? 2 For Your Watch List

Coca-Cola Company (KO Stock)

Next, Coca-Cola (KO) is a global leader in the beverage industry. The company offers a vast portfolio of drinks under various sub-brands including Sprite, Fanta, and its flagship Coca-Cola. The company operates a worldwide distribution system, the largest in the beverage industry, which allows it to serve customers in over 200 countries.

At the end of last month, the company announced a beat for its Q1 2024 financial results. Specifically, Coca-Cola reported an EPS of $0.72 versus estimates of $0.69. The company also notched in revenue for the quarter of $11.30 billion, versus estimates of $10.95 billion. Additionally, the company said it estimates 2024 earnings to be between $2.80 to $2.82 per share.

Year-to-date, Coca-Cola stock has increased by 5.42% so far. While on Thursday afternoon, shares of KO stock are trading higher up 0.31% on the day, currently trading at $63.06 a share.

If you enjoyed this article and you’re interested in learning how to trade so you can have the best chance to profit consistently then you need to checkout this YouTube channel. CLICK HERE RIGHT NOW!!

By Jonathan Phillip

Jonathan Phillip is an up and coming financial contributor in the stock market today. He's found a strong niche in writing about true growth industries. His main focus for the last 5 years has been on the cannabis industry and marijuana stocks. He is one of the top contributors to cannabis media outlets like MarijuanaStocks.com. He also is head of social media management for StockMarket.com.

Since an early age, Jonathan has been an active member of the cannabis culture. Coming from Miami, Florida, he's been able to identify emerging trends in the space including the emergence of cannabis derivatives, vapes, e-liquids, wax, and more. His ability to identify emerging niches has afforded him the ability to source valuable information from top industry names.

Jonathan has also managed to build a strong social media presence for companies. He has worked with hundreds of public companies to develop a digital presence. As an active blogger and social media influencer, his focus is on lifestyle segments of the market. You can find Jonathan reporting on anything from industry conferences and investor events to corporate disclosures and cannabis market movers.

Since the early days of marijuana companies going public, Jonathan has made it a point to find information before the crowd. The main target of his writing is on undiscovered or under-researched companies that could hold true, lasting market potential. Through his research, Jonathan has managed to be one of the early writers to identify the opportunity of cannabis over other things like alcohol and he was one of the first reporters to cover the multi-billion dollar deals that materialized in 2017 and 2018. He has also covered the emergence of multi-state operators in the U.S. after Canada paved the way in late 2018 and 2019 for legalization in North America.

Jonathan is also an active member of the underground hip-hop scene. He has worked with some of the biggest names in the rap community while also gaining valuable insight from top producers and business moguls focused on moving brands forward. In his free time, Jonathan builds social communities and continues to hone his skills as a leading financial writer.

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments