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10 Growth Stocks to Buy on Dips in 2020

10 Growth Stocks to Buy on DipsPosted on Wednesday, May 22nd, 2019 by Chris Markoch

A key consideration in selecting a stock is its ability to perform after it takes a dip. Even the best-performing stock does not climb up forever. It has dips along the way. Whether those dips are mild or severe, the question is not how to avoid them, but how do they respond?

Some stocks move in a slow, steady pace with no long corrections. Others can be more volatile – like a roller coaster – moving up and down in predictable patterns, but still finding a way to achieve long-term growth. Depending on your risk tolerance, either – or both – approaches can work well for your portfolio.

In this presentation, we’ll take a look at ten stocks that have shown the ability to continue on a profitable trajectory even when they drop in price. These stocks may not be dropping now, but are certainly worth keeping an eye on during this time of market volatility.

#1 - Johnson & Johnson (NYSE:JNJ)

Johnson & Johnson logo

Johnson & Johnson (NYSE: JNJ) - Defensive stocks are one of the first places to look for quality growth stocks that manage to avoid prolonged declines. One reason for this can be their tendency to pay dividends. But that's not the real story with J&J. While it's true that 56 consecutive years of dividend increases makes them not only a Dividend Aristocrat but a Dividend King, the dividend yield of 2.7% is not in and of itself something that will move the needle for many investors. The bigger story for J&J is their slow, steady growth that comes because of, or maybe in spite of, their massive size. Johnson & Johnson has a $360 billion market cap with revenue of over $81 billion stemming from their core business units in pharmaceuticals (50%), medical devices (33%), and consumer health products (17%). Some analysts are projecting a long-term target for J&J stock to be over $148. That’s a nice gain from the stock’s current price of $137.20 per share and the company currently has an impressive 25.40 P/E value and annual earnings-per-share growth of 7.6%.

About Johnson & Johnson
Johnson & Johnson, together with its subsidiaries, researches and develops, manufactures, and sells various products in the health care field worldwide. It operates in three segments: Consumer, Pharmaceutical, and Medical Devices. The Consumer segment offers baby care products under the JOHNSON'S brand; oral care products under the LISTERINE brand; beauty products under the AVEENO, CLEAN & CLEAR, DABAO, JOHNSON'S Adult, LE PETITE MARSEILLAIS, NEUTROGENA, and OGX brands; over-the-counter medicines, including acetaminophen products under the TYLENOL brand; cold, flu, and allergy products under the SUDAFED brand; allergy products under the BENADRYL and ZYRTEC brands; ibuprofen products under the MOTRIN IB brand; and acid reflux products under the PEPCID brand. This segment also provides women's health products, such as sanitary pads and tampons under the STAYFREE, CAREFREE, and o.b. brands; wound care products comprising adhesive bandages under the BAND-AID brand; and first aid products under the NEOSPORIN brand. The Pharmaceutical segment offers products in various therapeutic areas, including immunology, infectious diseases, neuroscience, oncology, pulmonary hypertension, and cardiovascular and metabolic diseases. The Medical Devices segment provides orthopedic products; general surgery, biosurgical, endomechanical, and energy products; electrophysiology products to treat cardiovascular diseases; sterilization and disinfection products to reduce surgical infection; diabetes care products; and vision care products, such as disposable contact lenses and ophthalmic products related to cataract and laser refractive surgery. The company markets its products to general public, and retail outlets and distributors, as well as distributes directly to wholesalers, hospitals, and health care professionals for prescription use. It has research and collaboration alliance with Morphic Therapeutic. The company was incorporated in 1887 and is based in New Brunswick, New Jersey.

Current Price: $144.56
Consensus Rating: Buy
Ratings Breakdown: 12 Buy Ratings, 4 Hold Ratings, 0 Sell Ratings.
Consensus Price Target: $163.86 (13.3% Upside)

#2 - WEC Energy Group (NYSE:WEC)

WEC Energy Group logo

WEC Energy Group (NYSE: WEC) - Speaking of dividends…utility stocks are always an attractive choice for long-term growth in any market because of their ability to pay a dividend. WEC is a small player but has seen its share price increase by nearly 80% in five years. That means $10,000 invested in 2014 would be worth almost $18,000 at present stock prices and that doesn't factor in the ability to reinvest dividends. The dividend yield for WEC is a modest 2.95%, but that's not what has caused it to grow. The secret, in WEC's case, is in its relative obscurity. WEC doesn’t face the same buying and selling pressures as larger utilities such as Duke Energy (NYSE: DUK) and Southern Co. (NYSE: SO), giving it the ability to grow at a comfortable pace. The downside for this stock is that it does trade within a defined range for quite some time before breaking out to the upside.

About WEC Energy Group
WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and nonregulated renewable energy services in the United States. The company operates through six segments: Wisconsin, Illinois, Other States, Electric Transmission, Non-Utility Energy Infrastructure, and Corporate and Other. It generates and distributes electricity from coal, natural gas, oil, hydroelectric, wind, and biomass sources; provides electricity transmission services; offers retail natural gas distribution services; transports customer-owned natural gas; and generates, distributes, and sells steam. The company offers electricity to approximately 1.6 million residential, small and large commercial and industrial, and other customers; and natural gas to 2.8 million residential, and commercial and industrial customers. As of December 31, 2018, it operated approximately 36,800 miles of overhead distribution lines and 33,300 miles of underground distribution cable, as well as approximately 500 distribution substations and 500,450 line transformers; and approximately 48,900 miles of natural gas distribution mains, as well as 1,100 miles of natural gas transmission mains. The company was formerly known as Wisconsin Energy Corporation and changed its name to WEC Energy Group, Inc. in June 2015. WEC Energy Group, Inc. was founded in 1981 and is headquartered in Milwaukee, Wisconsin.

Current Price: $86.14
Consensus Rating: Hold
Ratings Breakdown: 1 Buy Ratings, 6 Hold Ratings, 5 Sell Ratings.
Consensus Price Target: $85.22 (-1.1% Upside)

#3 - Verizon Communications (NYSE:VZ)

Verizon Communications logo

Verizon Communications (NYSE: VZ) - Another trait to look for in companies that achieve sustained success is innovation. And, the telecom industry is all about innovation. In fact, without meaningful innovation to draw investor interest, the industry can largely become a sparring match with companies competing on price for what can seem like a race to the bottom. The next innovation in the telecom industry is coming in the form of a 5G revolution and, as we’ve mentioned before, Verizon is well-positioned to take a leadership position as this new technology rolls out across the United States. In addition to being in a position to capitalize on the 5G revolution, one of the competitive advantages that Verizon enjoys within this highly competitive sector is that, aside from their acquisition of Yahoo, the company doesn’t stray too far outside the telecom industry. However, like a lot of companies in this space, Verizon has had uneven income growth that has weighed on the stock. Despite that, the company manages to show steady revenue growth and investors seem to be rewarding the stock which has posted a gain of over 17% over the last 12 months.

About Verizon Communications
Verizon Communications Inc., through its subsidiaries, offers communications, information, and entertainment products and services to consumers, businesses, and governmental agencies worldwide. The company's Wireless segment provides wireless voice and data services; Internet access on various notebook computers and tablets; international travel wireless services; and network access services to deliver various Internet of Things products and services, as well as offers digital advertising and digital media services platforms. This segment also provides wireless devices, including smartphones and basic phones, wearables, and tablets and other Internet access devices. As of December 31, 2018, it had 118.0 million retail connections. Its Wireline segment offers traditional circuit-based network products and services; networking solutions, comprising private Internet protocol (IP), Ethernet, and software-defined wide area network, as well as cyber security services; local exchange, regional, long distance, and toll-free calling services; voice messaging and conferencing services; and workforce productivity and customer contact center solutions, as well as residential fixed connectivity solutions, including Internet, TV, and voice services under the Fios brand name. This segment also provides premises equipment, as well as installation, maintenance, and site services; data, voice, local dial tone, and broadband services primarily to local, long distance, and wireless carriers; voice and networking products, Fios services, IP networking, voice solutions, security, and managed information technology services for small and medium businesses, state and local governments, and educational institutions; and security and managed network services. The company was formerly known as Bell Atlantic Corporation and changed its name to Verizon Communications Inc. in June 2000. Verizon Communications Inc. was founded in 1983 and is headquartered in New York, New York.

Current Price: $54.30
Consensus Rating: Hold
Ratings Breakdown: 7 Buy Ratings, 15 Hold Ratings, 0 Sell Ratings.
Consensus Price Target: $61.41 (13.1% Upside)

#4 - Salesforce (NYSE:CRM)

salesforce.com logo

Salesforce (NYSE: CRM) - Another good indicator of a strong growth stock is how quickly it recovers compared to the broader market. While the S&P 500 is still finding resistance as it tries to push past its peak, Salesforce has recently passed a technical level of resistance at $150 and is now poised to continue its forward movement. In addition to having a good technical outlook, the stock benefits from the company’s leadership position in the consumer relationship management (CRM) software industry. A good deal of credit for this leadership position stems from the company’s commitment to constant innovation – which is expected, and rewarded, by its key demographic – the millennial customer and salesperson who are changing the traditional sales model. As part of the broader technology sector, Salesforce shows a higher volatility than other stocks and carries a beta of 1.4 which means it is likely to have highs and lows that are larger than the broader market. Nevertheless, if you can handle the occasional dip, this seems like a strong stock to buy and hold.

About salesforce.com
salesforce.com, inc. develops enterprise cloud computing solutions with a focus on customer relationship management. The company offers Sales Cloud to store data, monitor leads and progress, forecast opportunities, and gain insights through analytics and relationship intelligence, as well as deliver quotes, contracts, and invoices. It also provides Service Cloud, which enables companies to deliver personalized customer service and support, as well as a field service solution that enables companies to connect agents, dispatchers, and mobile employees through a centralized platform, which helps to schedule and dispatch work, and track and manage jobs in real-time. In addition, the company offers Marketing Cloud to plan, personalize, and optimize one-to-one customer marketing interactions; and Commerce Cloud, which enables companies to enhance engagement, conversion, revenue, and loyalty from their customers. Further, it provides Lightning Platform that offers no-code to pro-code Platform-as-a-Service tools for building, securing, integrating, and managing the business apps; Anypoint Platform enables customers to connect any system, application, data, or device; Quip collaboration platform, which combines documents, spreadsheets, apps, and chat with live CRM data; and Salesforce Customer 360, which enables companies to connect customer data across the various offerings for financial services, healthcare, and government. Additionally, the company offers consulting and implementation services; training services, including instructor-led and online courses; and support and adoption programs. It provides its services through direct sales; and consulting firms, systems integrators, and other partners. The company was founded in 1999 and is headquartered in San Francisco, California.

Current Price: $176.52
Consensus Rating: Buy
Ratings Breakdown: 40 Buy Ratings, 3 Hold Ratings, 1 Sell Ratings.
Consensus Price Target: $198.87 (12.7% Upside)

#5 - Facebook (NASDAQ:FB)

Facebook logo

Facebook (NASDAQ: FB) - To paraphrase the old song, “For all your faults, we love you still”. That’s the message that sellers of Facebook should ignore at their own risk. To say the stock has been beleaguered these last few months is a massive understatement. However, just when the stock looked like it might be ready to suffer a long correction, they delivered a positive first-quarter earnings report that has sent the stock back towards its all-time high. As of this writing, it still had a bit to go, but it has momentum on its side. Since a nearly 11% rise after the earnings report, the stock has settled into a comfortable, bullish pattern.  Facebook bulls have long held the mantra that 2,000,000 users can’t be wrong. And this seems to be the case for the stock going forward. Plus, in comparison to its FAANG stock brethren, Facebook looks like a downright bargain. While this stock certainly bears watching, it is still showing exceptional growth potential.

About Facebook
Facebook, Inc. provides various products to connect and share through mobile devices, personal computers, and other surfaces worldwide. The company's products include Facebook that enables people to connect, share, discover, and communicate with each other on mobile devices and personal computers; Instagram, a community for sharing photos, videos, and messages; Messenger, a messaging application for people to connect with friends, family, groups, and businesses across platforms and devices; and WhatsApp, a messaging application for use by people and businesses to communicate in a private way. It also provides Oculus, a hardware, software, and developer ecosystem, which allows people to come together and connect with each other through its Oculus virtual reality products. As of December 31, 2018, it had approximately 1.52 billion daily active users. The company was founded in 2004 and is headquartered in Menlo Park, California.

Current Price: $232.20
Consensus Rating: Buy
Ratings Breakdown: 42 Buy Ratings, 3 Hold Ratings, 1 Sell Ratings.
Consensus Price Target: $241.26 (3.9% Upside)

#6 - Dollar Tree (NASDAQ:DLTR)

Dollar Tree logo

Dollar Tree (NASDAQ: DLTR) - Consumers love a bargain. That seems to be the case with Dollar Tree and its family of companies. The discount retailer doesn't require a sputtering economy to make a solid case for investors. Consider these numbers. In 2017, the company's annual revenue increased by 33.69% year-over-year. They followed that up with a 7.37% year-over-year increase from 2017 to 2018. And so far 2019 is showing a similar story with the stock up almost 3% on a year-over-year basis. You get the point, despite competing in a competitive retail space, the company is finding a way to maximize shareholder value. Ironically, one of the more appealing aspects of the stock moving forward is their initiative to raise prices on select items which should produce a short-term bump in revenue. Dollar Tree is not a smooth ride. When their stock price does pull back it tends to do so in a big way. However, the trend of the stock has been consistently positive, a fact that is not lost on investors.

About Dollar Tree
Dollar Tree, Inc. operates discount variety retail stores. It operates through two segments, Dollar Tree and Family Dollar. The Dollar Tree segment offers merchandise at the fixed price of $1.00. It provides consumable merchandise, including candy and food, and health and beauty care, as well as everyday consumables, such as household paper and chemicals, and frozen and refrigerated food; variety merchandise comprising toys, durable housewares, gifts, stationery, party goods, greeting cards, softlines, and other items; and seasonal goods that include Valentine's Day, Easter, Halloween, and Christmas merchandise. This segment operates 7,001 stores under the Dollar Tree and Dollar Tree Canada brands, as well as 12 distribution centers in the United States and 2 in Canada; and a store support center in Chesapeake, Virginia. The Family Dollar segment operates general merchandise discount retail stores that offer consumable merchandise, which comprise food and beverages, tobacco, health and beauty aids, household chemicals, paper products, hardware and automotive supplies, diapers, batteries, and pet food and supplies; and home products, including housewares, home décor, and giftware, as well as domestics, such as comforters, sheets, and towels. Its stores also provides apparel and accessories merchandise comprising clothing, fashion accessories, and shoes; and seasonal and electronics merchandise that include Valentine's Day, Easter, Halloween, and Christmas merchandise, as well as personal electronics, which comprise pre-paid cellular phones and services, stationery and school supplies, and toys. This segment operates stores under the Family Dollar brand; and 11 distribution centers, as well as a store support center in Matthews, North Carolina. The company was founded in 1986 and is headquartered in Chesapeake, Virginia.

Current Price: $85.20
Consensus Rating: Buy
Ratings Breakdown: 13 Buy Ratings, 9 Hold Ratings, 1 Sell Ratings.
Consensus Price Target: $96.35 (13.1% Upside)

#7 - Coca-Cola (NYSE:KO)

Coca-Cola logo

Coca-Cola (NYSE: KO) - Coca-Cola fits the model of a stock that moves upwards, albeit sometimes in fits and starts that is consistent with the beverage industry. Like virtually every player in this space, KO is turning the classic image of a soft drink company on its head. And with brands such as Dasani water, Zico coconut water, and Honest T tea in their portfolio, there's room for growth without relying on the fluctuations that can come from their iconic brand. Sales and earnings continue to grow and propel the stock forward. Over the past several years, the stock has had some sharp pullbacks, but in every case, it has led to the stock ascending to higher highs. The future continues to look bright as Warren Buffett's investment firm Berkshire Hathaway (BRK) recently announced it was maintaining a sizable stake in the manufacturer. There is also speculation that KO will be one of the first beverage makers to introduce CBD products that will tap into the growing cannabis market.

About Coca-Cola
The Coca-Cola Company, a beverage company, manufactures and distributes various nonalcoholic beverages worldwide. The company provides sparkling soft drinks; water, enhanced water, and sports drinks; juice, dairy, and plant-based beverages; teas and coffees; and energy drinks. It also offers concentrates, syrups, beverage bases, source waters, and powders/minerals, as well as fountain syrups to fountain retailers, such as restaurants and convenience stores. The company sells its products primarily under the Coca-Cola, Diet Coke/Coca-Cola Light, Coca-Cola Zero Sugar, Fanta, Schweppes, Sprite, Thums Up, Aquarius, Dasani, glacéau smartwater, glacéau vitaminwater, Ice Dew, I LOHAS, Powerade, AdeS, Del Valle, innocent, Minute Maid, Minute Maid Pulpy, Simply, ZICO, Ayataka, Costa, FUZE TEA, Georgia, Gold Peak, and HONEST TEA brands. The Coca-Cola Company offers its beverage products through a network of company-owned or controlled bottling and distribution operators, as well as through independent bottling partners, distributors, wholesalers, and retailers. The company was founded in 1886 and is headquartered in Atlanta, Georgia.

Current Price: $46.09
Consensus Rating: Buy
Ratings Breakdown: 16 Buy Ratings, 5 Hold Ratings, 0 Sell Ratings.
Consensus Price Target: $54.86 (19.0% Upside)

#8 - Micron Technology (NASDAQ:MU)

Micron Technology logo

Micron Technology (NASDAQ: MU) - Do you enjoy roller coasters that go up and up and up and then down and down and down? If so Micron may be the stock for you. The last six years have been marked by long uptrends and long downtrends. Fortunately for investors, the higher highs have outweighed the higher lows. But riding out a pullback that can last over a year is not a pleasant experience for some investors. However, what investors should know is that the pullbacks in the stock price correspond to the cyclical nature of RAM production capacity. With that in mind, however, investors need some assurance that the stock is likely to bounce back. MU showcases an outstanding balance sheet that demonstrates financial health with operating cash levels that are nearly 3x their total debt. This lends further support to a stock that climbed 37% in 2018, more than doubling the industry average of 15%.

About Micron Technology
Micron Technology, Inc. engages in the provision of innovative memory and storage solutions. It operates through the following segments: Compute and Networking Business Unit (CNBU); Mobile Business Unit (MBU); Storage Business Unit (SBU); and Embedded Business Unit (EBU). The Compute and Networking Business Unit segment includes memory products sold into cloud server, enterprise, client, graphics, and networking markets. The Mobile Business Unit segment offers memory products sold into smartphone, and other mobile-device markets. The Storage Business Unit segment comprises of SSDs and component-level solutions sold into enterprise and cloud, client, and consumer solid-state drive (SSD) markets, other discrete storage products sold in component and wafer forms to the removable storage markets, and sales of 3D XPoint memory. The Embedded Business Unit segment consists of memory and storage products sold into automotive, industrial, and consumer markets. The company was founded by Ward D. Parkinson, Joseph L. Parkinson, Dennis Wilson, and Doug Pitman in October 1978 and is headquartered in Boise, ID.

Current Price: $45.80
Consensus Rating: Buy
Ratings Breakdown: 23 Buy Ratings, 4 Hold Ratings, 1 Sell Ratings.
Consensus Price Target: $61.13 (33.5% Upside)

#9 - United Parcel Service (NYSE:UPS)

United Parcel Service logo

United Parcel Service (NYSE: UPS) - Executing a "buying on the dips" strategy requires commitment. Because of some of the best short-term, and even long-term, buying opportunities can be hidden in stock charts that show wild fluctuations. That's the case with UPS. There are many factors such as fuel costs that can have a negative influence on this stock. Not to mention it is in a highly competitive industry with the likes of FedEx and DHL. This means that sometimes the stock can be punished on news that is "just OK" – which seems to be the case after its last earnings report. Analysts were expecting more and as a result, they sent the stock plummeting. To be fair, UPS has short-term challenges, and perhaps their largest challenge is looming in the form of Amazon who is projected to compete directly with FedEx and UPS. But the long-term trend for the stock has been consistently positive and there’s no reason to believe anything different in the near term.

About United Parcel Service
United Parcel Service, Inc. provides letter and package delivery, specialized transportation, logistics, and financial services. It operates through three segments: U.S. Domestic Package, International Package, and Supply Chain & Freight. The U.S. Domestic Package segment offers time-definite delivery of letters, documents, small packages, and palletized freight through air and ground services in the United States. The International Package segment provides guaranteed day and time-definite international shipping services in Europe, the Asia Pacific, Canada and Latin America, the Indian sub-continent, the Middle East, and Africa. This segment offers guaranteed time-definite express options, including Express Plus, Express, and Express Saver. The Supply Chain & Freight segment provides international air and ocean freight forwarding, customs brokerage, distribution and post-sales, and mail and consulting services in approximately 220 countries and territories; and less-than-truckload and truckload services to customers in North America. This segment also offers shipping, visibility, and billing technologies; and insurance, financing, and payment services. The company operates a fleet of approximately 123,000 package cars, vans, tractors, and motorcycles; and owns 47,000 containers that are used to transport cargo in its aircraft. United Parcel Service, Inc. was founded in 1907 and is headquartered in Atlanta, Georgia.

Current Price: $97.07
Consensus Rating: Hold
Ratings Breakdown: 12 Buy Ratings, 8 Hold Ratings, 4 Sell Ratings.
Consensus Price Target: $110.76 (14.1% Upside)

#10 - Medtronic (NYSE:MDT)

Medtronic logo

Medtronic (NYSE: MDT) - Many of the stocks in this presentation may require a certain degree of investor patience. Although they show a consistent pattern of growth, the time may not be right. That is not the case with Medtronic. The manufacturer of medical devices delivers solid results over any time frame. However, although the stock has grown nearly 50% in five years, the growth has come in small bursts – with some pullbacks in between. This is because, like many companies in this industry, they fall victim to unrealistic expectations that, when not meant, lead to irrational corrections. One of those corrections started in the fourth quarter of 2018 when the stock fell from its high of over $97. It is now trading at just over $87 and looks like it is primed to make a challenge of the previous high. Even if this isn't the perfect time, Medtronic is "trend-friendly" meaning that they are poised to service the market of consumers 65 and older who will be in need of their services in the coming years.

About Medtronic
Medtronic plc develops, manufactures, distributes, and sells device-based medical therapies to hospitals, physicians, clinicians, and patients worldwide. It operates through four segments: Cardiac and Vascular Group, Minimally Invasive Therapies Group, Restorative Therapies Group, and Diabetes Group. The Cardiac and Vascular Group segment offers implantable cardiac pacemakers, cardioverter defibrillators, and cardiac resynchronization therapy devices; AF ablation product; insertable cardiac monitor systems; mechanical circulatory support; TYRX products; and remote monitoring and patient-centered software. It also provides aortic valves; percutaneous coronary intervention stents, surgical valve replacement and repair products, endovascular stent grafts, percutaneous angioplasty balloons, and products to treat superficial venous diseases in the lower extremities. The Minimally Invasive Therapies Group segment offers surgical products, including surgical stapling devices, vessel sealing instruments, wound closure, electrosurgery products, hernia mechanical devices, mesh implants, and gynecology products; hardware instruments and mesh fixation device; and gastrointestinal, inhalation therapy, and renal care solutions. The Restorative Therapies Group segment offers products for spinal surgeons, neurosurgeons, neurologists, pain management specialists, anesthesiologists, orthopedic surgeons, urologists, colorectal surgeons, urogynecologists, interventional radiologists, and ear, nose, and throat specialists; and systems that incorporate energy surgical instruments. It also provides image-guided surgery and intra-operative imaging systems; and therapies for vasculature in and around the brain. The Diabetes Group segment offers insulin pumps and consumables, continuous glucose monitoring systems, and therapy management software. The company was founded in 1949 and is headquartered in Dublin, Ireland.

Current Price: $97.15
Consensus Rating: Buy
Ratings Breakdown: 23 Buy Ratings, 6 Hold Ratings, 1 Sell Ratings.
Consensus Price Target: $115.37 (18.8% Upside)


Buying on the dips is a tried-and-true investment strategy. But like any investment strategy, the success or failure frequently comes down to the assets you select. Some stocks are declining for reasons that will cause the stock to face selling pressure for quite a long time. In this case, buying on a dip can be like trying to catch a falling knife – and no investor wants that. However, there are many companies that seem to thrive when their stock pulls back. In fact, for them, it’s just the kind of pause that can propel them to higher growth. Whether it’s due to innovation, being an industry or sector leader, being committed to a regular dividend, expanding into new markets, or their ability to profit in any economy, these stocks have shown an ability to withstand the dips and come back stronger.

We encourage you to look into these stocks. Not ready to pull the trigger now? If you’re a subscriber to MarketBeat Premium, you can add these stocks to your watch list and get real-time updates when there’s breaking news on analyst ratings and other news that may push the stock forward.

6 Stocks That Will Benefit From a Dovish Federal Reserve

The quaint correction that was labeled the “tech wreck” of 2018 seems like a distant memory to investors. What also seems like a distant memory is any thought of the Federal Reserve raising interest rates.

At the end of 2018, the Federal Reserve had raised its benchmark federal funds rate. With the trade dispute with China dragging on, there was increasing pressure on the Fed to lower interest rates. When interest rates are lower, stocks will generally rise as investors have no other option for growth.

In July 2019, the doves got their wish. But in a move that now seems to be a “what did they know move”, the Fed dropped rates again in October. The market soared to record highs in January and early February. Since mid-February however, the market has fallen dramatically, and the Fed juiced the market one more time by cutting rates down to levels not seen since the financial crisis.

None of us know for sure when the U.S. economy will be opened up. And while stocks are still a good investment, not every stock is a smart investment at this time. But some stocks perform well when interest rates are falling and that’s why we’ve prepared this presentation.

These six stocks stand to benefit from both low-interest rates and the unique economic conditions being brought on by the Covid-19 pandemic.

View the "6 Stocks That Will Benefit From a Dovish Federal Reserve" Here.

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