Top blue-chip stocks explored by Kalkine amid market turbulence

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Top blue-chip stocks explored by Kalkine amid market turbulence

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 Top blue-chip stocks explored by Kalkine amid market turbulence
Image source: © Kaarsten | Megapixl.com

Highlights:

  • T-Mobile achieved US$ 19,701 million in Q2 2022.
  • Amgen Inc. pays a dividend of US$ 1.94 on a quarterly basis.
  • Gilead Sciences, Inc. has a market cap of US$ 80.9 billion. 

Inflation is at a 40-year high, and steep rate hikes have made the stock market bearish, with perennial fear of the impending recession. However, bearish markets are also the time to look at blue-chip stocks as these companies usually have large business operations and cash flows to withstand economic uncertainty.

Stocks like T-Mobile US, Inc. (NASDAQ: TMUS), Amgen Inc. (NASDAQ: AMGN), and Gilead Sciences, Inc. (NASDAQ: GILD) could be worth exploring as part of a long-term strategy. Once the market turbulence subsides, investors can hope to gain some returns.

Here, we explore five blue-chip stocks picked by Kalkine Media® and see their performances:

T-Mobile US, Inc. (NASDAQ: TMUS)

T-Mobile US, Inc. is a US wireless network provider based in Bellevue, Washington, and Overland Park, Kansas. Its parent company is Deutsche Telekom AG, a German telecom enterprise that holds over 64 per cent of the common stock.

T-Mobile has 71 million postpaid and 21 million prepaid phone customers, equivalent to around 30 per cent of the retail wireless market in the US.

The US$ 180 billion market cap company has a P/E (price-to-earnings) ratio of 104.04. TMUS stock has soared close to 26 per cent year-to-date (YTD). The share price of T-Mobile jumped 4.51 per cent year-over-year.

TMUS stock touched its 52-week highest price of US$ 148.08 on August 26, 2022. It hit the lowest price of US$ 101.51 in 52 weeks on January 21, 2022.

In the second quarter of fiscal 2022, T-Mobile generated an industry-leading postpaid revenue.

T-Mobile clocked a total revenue of US$ 19,701 million in Q2 2022, relative to US$ 19,950 million in the same period in 2021.

In the 2022 second quarter, T-Mobile added 380,000 postpaid net accounts, which were the best in the industry and the highest in its history.

Amgen Inc. (NASDAQ: AMGN)

US-based Amgen Inc. is among the largest independent biopharma companies in the world. Founded in 1980, Amgen is headquartered in California. Its market value is US$ 130.9 billion, and the company distributed a dividend of US$ 1.94 on a quarterly basis.

Amgen's EPS (earnings-per-share) is US$ 11.8, and the AMGN stock sprinted over six per cent YTD. Over the past month, the stock gained over 3.2 per cent.   

On April 11, 2022, AMGN stock peaked at its 52-week price of US$ 258.45. It tanked to the lowest in 52 weeks of US$ 198.64 on December 1, 2022.

Amgen released its Q2 2022 financial results on August 4, 2022, showing a one per cent increase in its total revenues compared to the year-ago period. Its revenue for Q2 2022 was US$ 6.6 billion, and its GAAP operating income was US$ 2,176 million.

Gilead Sciences, Inc. (NASDAQ: GILD)

Gilead Sciences is a US biopharmaceutical company engaged in developing and marketing therapies to treat life-threatening infectious diseases. Its primary focus is on HIV and hepatitis B and C.

The company has a market cap of US$ 80.9 billion and announced a dividend of US$ 0.73, which is next payable on September 29, 2022.

Shares of Gilead Sciences increased 3.64 per cent in the past six months and jumped 6.6 per cent over the past month.

GILD stock climbed to its 52-week highest price of US$ 74.12 on December 30, 2021. In comparison, it fell to its 52-week lowest price of US$ 57.16 on June 14, 2022.

The company said its second-quarter 2022 revenue grew one per cent to US$ 6.3 billion compared to the corresponding period in 2021.

For the quarter that ended June 30, 2022, Gilead reported cash and marketable debt securities to the tune of US$ 7 billion. It registered US$ 1.8 billion in operating cash flow for the second quarter of 2022.

Cintas Corporation (NASDAQ: CTAS) revenue and net income, (US$)Source: ©Kalkine Media®; © Canva via Canva.com

Activision Blizzard, Inc. (NASDAQ: ATVI)

US-based video game company Activision Blizzard, Inc. was the result of a merger between Activision Inc. and Vivendi Games in 2008. Combined, it has become one of the largest video game publishers in the world. Some of its proud franchise portfolios include Call of Duty, World of Warcraft, etc.

The US$ 61.21 billion market cap company Activision Blizzard distributed a quarterly dividend of US$ 0.47. ATVI stock leapt 16.41 per cent in 2022, and the share price of Activision Blizzard dropped 3.4 per cent YoY.

Its 52-week highest price was US$ 86.9 on January 18, 2022. ATVI stock tanked at its lowest price in 52 weeks of US$ 56.4 on December 3, 2021.

In Q2 2022, Activision Blizzard posted GAAP net revenues of US$ 1,644 million, which was US$ 2,296 million in the year-ago quarter.

For the second quarter of fiscal 2022, Activision Blizzard’s cash and short-term investments were US$ 10.8 billion, and it reported net cash of approx. US$ 7.1 billion.

Cintas Corporation (NASDAQ: CTAS)

Cintas Corporation is a US company that provides uniform and facility services to businesses in North America. It provides various items, including mats, uniforms, cleaning & restroom supplies, mops, first aid and safety products, safety courses, etc.

Cintas paid a quarterly dividend of US$ 1.15 per share. It has a market cap of US$ 41.03 billion and a P/E ratio of 33.48.

CTAS stock increased by over 6.7 per cent YTD and gained over 2.6 per cent YoY. The stock touched its 52-week high of US$ 86.9 on January 18, 2022, while it fell to its 52-week low of US$ 56.4 on December 3, 2021.

Cintas’ revenue for Q4 2022 grew 13 per cent to US$ 2.07 billion compared to US$ 1.84 billion in Q4 2021.

Its net income for the fourth quarter of fiscal 2022 was US$ 294.5 million, whereas it was US$ 267.7 million in the corresponding quarter of the previous year.

Bottom line

Investing during market volatility is risky and choosing stocks becomes tough. Investors should analyse extensively before building their portfolio during a bearish market phase.

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