Stocks to explore during a bear market: ACI, BAX, JNJ, LMT & UL

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Stocks to explore during a bear market: ACI, BAX, JNJ, LMT & UL

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 Stocks to explore during a bear market: ACI, BAX, JNJ, LMT & UL
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Highlights:

  • Albertsons Companies Inc. (NYSE: ACI) has an annualized dividend of US$ 0.48.
  • Baxter International Inc. (NYSE: BAX) posted net sales of US$ 3,746 million in Q2 2022.
  • Lockheed's shares jumped over 21 per cent year-to-date (YTD). 

The US stock market has remained unsteady since the start of the year. Some of the biggest tech and retail giants saw their steepest fall in 2022.  

Although a spate of positive earnings reports in July and August has somewhat lifted market sentiments, the bearish trend seems to be far from over. 

However, certain sectors may perform well even in a bearish market and ensure steady returns to investors. 

 

Here, we explore five stocks-ACI, BAX, LMT, UL, JNJ- along with Kalkine Media® and see their performances: 

Albertsons Companies Inc. (NYSE: ACI)

The second-largest brick and mortar grocer in the US, Albertsons has over 2,000 stores that run under 24 banners in 34 states. 

The US$ 15.41 billion market cap company, Albertsons, is headquartered in Boise, Idaho. Albertsons has an annualized dividend of US$ 0.48. In Q1 2022, the company recorded a net income of US$ 484 million or US$ 0.84 per share. The adjusted EBITDA for the reported quarter was US$ 1,420 million. 

Albertsons recently deployed a new online service for EBT (Electronic Benefits Transfer) recipients in a few of its stores, including Safeway, Jewel-Osco, Vons, and Pavilions. 

Baxter International Inc. (NYSE: BAX)

Baxter is a US multinational healthcare and offers products related to treating chronic diseases. Baxter paid a quarterly dividend of US$ 0.29; the next payable date falls on October 3, 2022.

The global med-tech company posted net sales of US$ 3,746 million for the second quarter of 2022, compared to US$ 3,098 million in the corresponding quarter of the previous year. It was a 21 per cent growth year-over-year.

According to Refinitiv, BAX stocks held a Relative Strength Index (RSI) value of 40.53 as of August 11, indicating the volatility of the stock.

Stocks to explore during a bear market: ACI, BAX, JNJ, LMT & UL

Johnson & Johnson (NYSE: JNJ)

Of the world's largest and most diverse healthcare companies, Johnson & Johnson has three principal business wings: medical devices, diagnostics, and pharmaceuticals. Its baby care, beauty, oral care, women's health products, and over-the-counter drugs form a considerable portion of the business. 

The JNJ stock saw a fall of nearly two per cent in a year. However, it surged 1.76 per cent in the last six months. JNJ stock had an RSI value of 35.52 per Refinitiv data on August 11, 2022. 

Johnson & Johnson reported a 23.3 decrease in its Q2 2022 net earnings at US$ 4,814 million compared to US$ 6,278 million in the same quarter in 2021.

Lockheed Martin Corporation (NYSE: LMT)

Lockheed Martin is a US aerospace company and is headquartered in North Bethesda, Maryland, with a market valuation of US$ 114.20 billion. The earnings-per-share (EPS) of Lockheed is US$ 17.28. 

Shares of Lockheed Martin soared over 21 per cent year-to-date (YTD). It gained 18.3 per cent on a year-over-year basis. 

LMT's RSI value of 62.30 on Refinitiv as of August 11, 2022, indicates a stable stock trend. Lockheed's net sales amounted to US$ 15.4 billion in the second quarter of 2022. It reported cash of US$ 1.3 billion from operations, and its free cash flow was US$ 1 billion in the reported quarter. 

Lockheed also returned US$ 1.1 billion of cash to its shareholders as share repurchases and dividends. 

Unilever PLC (NYSE: UL)

The London-based Unilever plc is a British multinational company for consumer goods. It has a wide range of products, including food, ice cream, condiments, beauty products, cleaning agents, and personal care items. 

The largest producer of soaps in the world, Unilever has a market cap of US$ 121.66 billion. It pays a dividend of US$ 0.434 on a quarterly basis. 

UL stock fell below 19 per cent year-to-date. On a year-over-year basis, UL plummeted close to 24 per cent. The

UL stocks exchange hands at a much lower valuation. With the RSI value of 53.50 as of August 11, 2022, as per Refinitiv, the stock seems to be in a stable zone for now. 

Bottom line:

A volatile market is characterized by a rally one day and stocks tanking the next day. It is impossible to count on any stocks in the short term when a downturn has descended on the overall market. Investors need to apply a slew of strategies to build a shock-proof and receptive portfolio to a bear market. 

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