#2 - Coca-Cola (NYSE:KO)
When considering stocks to buy in a bear market, consumer discretionary stocks may not be the first to come to mind. The word discretionary means that consumers have optionality as far as how they spend their money. And unlike consumer staples like paper towels, toilet paper, and toothpaste, consumers may decide to step away from sugary drinks.
However, the facts tell a different story, and Coca-Cola (NYSE:KO) has a proven history of being an exceptional choice as a defensive stock. In the last five quarters, the company has beaten on both earnings and revenue. The company trades at a P/E of 25x earnings. That’s a little higher than the sector average. However, Coca-Cola is expecting to see single-digit growth in revenue and EPS over the next five years.
That should be enough to support the consensus opinion of KO stock as a Moderate Buy. And with a dividend yield of 2.86%, long-term investors should enjoy a stable total return.
About Coca-Cola
The Coca-Cola Company, a beverage company, manufactures, markets, and sells various nonalcoholic beverages worldwide. The company provides sparkling soft drinks, sparkling flavors; water, sports, coffee, and tea; juice, value-added dairy, and plant-based beverages; and other beverages. It also offers beverage concentrates and syrups, as well as fountain syrups to fountain retailers, such as restaurants and convenience stores.
Read More - Current Price
- $63.96
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 13 Buy Ratings, 4 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $71.80 (12.3% Upside)
