Stock Picks That Gained Value During Past Recessions

The Most Important Thing

risk is largely a matter of opinion

Sam Mendoza

·4 years ago

shared a media post in group #The Most Important Thing

As the Federal Reserve continues to hike interest rates, there are serious concerns that the U.S. and global economies will face a significant recession in 2023. These concerns have caused prices to fall significantly in 2022, but this does not mean there will not be significant opportunities in financial markets. 

Let’s look at some companies that gained value during all recessions since the turn of the millennium. This means they gained during the 2001 tech bubble, the 2007-2009 great recession, and the 2020 coronavirus crash. 

This list should give you some names to consider as we head into the new year.

Sam Mendoza
Stock To Watch: QUALCOMM Incorporation (QCOM) • This technology company has lost 33% in 2022. • The company gained 3.7% during the 2001 recession, 17.3% during the great recession, and 1.3% during the 2020 recession. • Overall, the stock gained an average of 7.4% during recessions. • Wall Street analysts' consensus is that the stock will gain 23.5% over the next 12 months.

Sam Mendoza
Stock To Watch: Royal Gold Inc. (RGLD) • This non-energy materials company has gained 6% in 2022. • The company gained 103.8% during the 2001 recession, 38.3% during the great recession, and 27.3% during the 2020 recession. • Overall, the stock gained an average of 56.5% during recessions. • Wall Street analysts' consensus is that the stock will gain 19.5% over the next 12 months.

Sam Mendoza
Stock To Watch: Illumina (ILMN) • This healthcare company lost 44.8% in 2022. • The company gained 41% during the 2001 recession, 31.4% during the great recession, and 20.1% during the 2020 recession. • Overall, the stock gained an average of 30.8% during recessions. • Wall Street analysts' consensus is that the stock will gain 18.6% over the next 12 months.

Sam Mendoza
Stock To Watch: Edwards Lifesciences Corporation (EW) • This healthcare company lost 41.5% in 2022. • The company gained 28.8% during the 2001 recession, 47.9% during the great recession, and 6.2% during the 2020 recession. • Overall, the stock gained an average of 27.6% during recessions. • Wall Street analysts' consensus is that the stock will gain 16.8% over the next 12 months.

Sam Mendoza
Stock To Watch: F5 (FFIV) • This technology company lost 37.9% in 2022. • The company gained 317.9% during the 2001 recession, 21.4% during the great recession, and 16.1% during the 2020 recession. • Overall, the stock gained an average of 118.4% during recessions. • Wall Street analysts' consensus is that the stock will gain 14.7% over the next 12 months.

Embed post to a webpage :

<div data-postid="qymv" [...] </div>