#3 - Consumer Staples Stocks (NASDAQ:PEP)
If you believe that interest rate cuts will spur consumer spending, consumer staples stocks are another stock sector to consider. These stocks underperformed the market in 2023 and 2024 as investors rotated into more favorable sectors. However, consumer staple stocks are getting renewed attention due to expectations of an improving economic outlook.
One of the best names to consider in the sector is PepsiCo Inc. (NASDAQ: PEP). The company is the home of the iconic soft drinks that bear its name and also owns the Frito-Lay brands. PEP stock is up just over 5% in 2024 but is well-positioned for growth as the economy improves. Plus, you get a dividend king that has increased its dividend for 53 consecutive years and currently offers a yield of 3.04%.
Another name to consider in this sector is Procter & Gamble Co. (NYSE: PG). In 2024, PG stock is up over 20%, which proves the company’s reputation as a defensive stock. The growth is particularly impressive as many consumers are opting for house brands over their preferred brand names. Procter & Gamble is another dividend king that has increased its payout for 69 consecutive years.
About PepsiCo
PepsiCo, Inc engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region.
Read More - Current Price
- $174.66
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 7 Buy Ratings, 7 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $185.53 (6.2% Upside)
