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S&P 500 Consumer Staples Sector Charts, Components, Prices

These upsides, together with pricing actions, fueled Mondelez’s third-quarter 2022 results. Driven by the solid quarterly results and continued momentum in the snacks business, management raised its guidance Ondas de elliot for 2022. Porter’s editorial is a sad but true reflection that shows little hope for the people of Mexico. However, when it comes to Mexican businesses operating internationally, improvements are continual.

We use essential products daily, from food, beverages and personal care items to household essentials like cleaning supplies and toiletries. These products are generally resistant to changes in consumer behavior and economic conditions and are considered safe and reliable investments in times of uncertainty. But what are consumer staples stocks, and why should you consider adding them to your investment portfolio? We will teach you how and why consumer staples stocks are essential.

Our editors are committed to bringing you unbiased ratings and information. We use data-driven methodologies to evaluate financial products and companies, so all are measured equally. You can read more about our editorial guidelines  and the investing methodology  for the ratings below.

  • Consumer staples manufacturers must continue investing in product development and innovation to protect the brand reputations they’ve built.
  • The latest GDP report shows economic growth slowing down in the first quarter of this year vs. the fourth quarter of 2022.
  • PEP has owned a number of other brands, many of which it sold off in the 1990s, such as restaurant chains Pizza Hut, Taco Bell and KFC, plus the U.S. rights to Russian distiller Stolichnaya.
  • When choosing a consumer staples stock or even a consumer staples index fund (which tracks a market index), there are some factors to consider.
  • While, as noted previously, inflation expectations have not yet become an issue, oil and gasoline prices have rebounded recently.

That’s because trends in the beauty business, which are subject to broader fashion tastes, tend to change more quickly and attract smaller brands. No matter which consumer staple ETF you choose, be sure to do your homework before investing. Read the fund’s prospectus and research the individual stocks that make up the fund. By doing so, you’ll be better equipped to make an informed investment decision. Look for a team with a track record of success in running a consumer staples business. This will give you confidence that they have the experience and expertise to navigate through tough times.

Consumer Staples Stocks

Because of its exposure to the restaurant industry, Pepsi was more affected by the early stages of the pandemic. However, the company was able to quickly recover, and it posted 9.5% organic revenue growth in 2021. Through the first six months of 2022, it kept the ball rolling by expanding Forex Trading Online organic revenue growth by 13.3%. Consumer staples are noncyclical, meaning they offer investors safety during recessionary climates. Since being spun off, Philip Morris has grown its market cap to be higher than Altria’s, making it one of the biggest sin stocks in the world.

Corteva develops and supplies germplasm and traits in the corn, soybean and sunflower seed markets. CTVA also supplies products to the agricultural input industry that protects against weeds, insects and other pests, and diseases as well as enhances crop health. Consumer staples stocks aren’t a good fit if you trade frequently for short-term profits or look to realize gains by timing the market. Consumer staples companies are also exposed to regulatory risk, particularly tobacco companies and makers of over-the-counter medicines. Changes in the regulatory environment can lead to higher costs and lower business results.

#12 – Constellation Brands

The S&P 500 closed 2022 with a total loss of about 18% on the year, its worst annual return since the financial crisis of 2008. Consumer staples stocks are a traditional safe haven from uncertainty, which has already proven to be more than abundant over the past 12 months. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services. Nonetheless, Estee Lauder has been a top performer, more than doubling the S&P 500’s roughly 60% return over the past five years. However, that includes a more dramatic ascent and a much steeper decline during the 2022 bear market, highlighting the volatile nature of the sector.

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Celsius Holdings (CELH, $94.84) might not be the most well-known consumer staples stock on this list, but it is worth a mention because it has an impressive track record of growth in recent years. For those unfamiliar, Celsius sells energy drinks and “liquid supplements” under the Celsius name. Its edgy flavors include apple jack’d, inferno punch, and strawberry dragon fruit.

Best Consumer Staples Stocks Of 2023

The company is set to release earnings results on Feb 13, before the opening bell. ELF recorded earnings surprises in the last four reported quarters, with an average beat of 92.8%. The company is set to release earnings results on Feb 1, after the closing bell. CTVA recorded earnings surprises in the last four reported quarters, with an average beat of 19.8%. MDLZ recorded earnings surprises in three out of the last four reported quarters, with an average beat of 6.4%. The company is set to release earnings results on Jan 31, after the closing bell.

Revenue was up fractionally year-over-year to $25.3 billion, beating estimates by $40 million. Conagra is a food company with well-known brands like Slim Jim, Healthy Choice, Marie Callender’s, Orville Redenbacher’s, Reddi Whip, Birds Eye, Vlasic, Hunt’s, and PAM. On April 28th, 2023, the company announced results for the first quarter of 2023.

Since these companies sell goods such as food and cleaning products that consumers rely on regardless of the state of the economy, they tend to generate solid profits even in weak economies. In addition, consumer staples stocks have benefited from several tailwinds in recent years. The aging of the population has led to increased demand for healthcare products and services.

#46 – New York Times

However, among the remaining 10 sectors, consumer staples suffered marginally by declining 0.8% last year while the benchmark itself tumbled 19.4%. Additionally, cosmetics companies were hit harder by the COVID-19 pandemic than most consumer staples businesses because social distancing led to a decline in the demand for makeup and fragrances. L’Oreal is a French company that manufactures a range of personal care products, including cosmetics. The company started in 1909 when a chemist invented a hair dye and has since grown into the world’s largest cosmetics company. If you’re looking to invest in consumer staple stocks, one way to do so is through consumer staple ETFs. Consumer staple ETFs offer investors exposure to a basket of consumer staple stocks, which can provide diversification and reduce risk.

If you’re new to investing, or you’d like to change up your current investing accounts, be sure to check out Forbes Advisor’s list of the best online brokerages and the best investment apps. Consumer staples are the basic goods that people buy to support their everyday lives. Companies microsodt aktie in this industry manufacture, distribute and sell products like food, beverages and personal hygiene products, which are typically less sensitive to economic cycles. Look for companies with a unique product or service that is in demand even when the economy weakens.

Investors often make the process of finding stocks more complicated than it needs to be. Well, the dividends, for one—Organon, at a nearly 6% yield, pays out 4x what the market does. This is a diversified pharmaceutical portfolio with a specialization in women’s health, which is expected to be a $50 billion market by 2025. Also, OGN is largely expected to deploy capital into M&A to rejuvenate its growth. In the third quarter of 2022, THS’ top line increased year over year, with pricing being the main driver.

Consumer staples manufacturers must continue investing in product development and innovation to protect the brand reputations they’ve built. Eggs, milk, soda, bath soap, laundry detergent, socks, underwear, pet food, diapers, toilet paper, cigarettes, ibuprofen and cough medicine are all consumer staples products. E.l.f produces primarily value-priced, clean, cruelty-free beauty products. The company holds top market share positions in cosmetic brushes, makeup primers, concealers, eyebrow makeup and cosmetic sponges.

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Dock David Treece is a former licensed investment advisor and member of the FINRA Small Firm Advisory Board. His focus is on breaking down complex financial topics so readers can make informed decisions. He has been featured by CNBC, Fox Business, Bloomberg, and MarketWatch. Enter your email address below to receive the latest headlines and analysts’ recommendations for your stocks with our free daily email newsletter.

The rise of the middle class in developing countries has led to increased demand for consumer staples products. Consumer staples stocks can be a good option for investors seeking steady growth, solid dividends, and low volatility. Consumer staples stocks are usually a defensive sector because, in theory, they’re providing consumers with products that they typically need.

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