Three Reliable Food Stocks to Consider During an Economic Downturn (Recession)
Look, pal, in these days of financial uncertainty, it's no secret why portfolios are taking a beating. With tech stocks dominating the investments of private investors, a dash of traditional stocks can balance your assets and make sailing through turbulent periods a breeze. You bet your bottom dollar that the food sector, those reliable value companies, are the way to go.
These run-of-the-mill suppliers keep on truckin', providing everyday goods to groceries and eateries alike. Their business models? As steady as a rock in a recession or during a gloomy consumer mood. It's these staple goods that make the world go 'round, people can't stop eating and drinking, after all!
Let's take a gander at threeSeq brought to light by yours truly:
Hilton Food
This UK-based food manufacturing juggernaut mainly deals with protein-rich foods for supermarkets, restaurants, and hotels. Their main treats are raw meats, poultry, fish, and plant-based alternatives (for the veg heads out there). Not to mention their ace sauce department that stemmed from their fish division.
With a market cap of €110 billion, this baby's got some serious clout on the stock market. And for the thrifty investors, it boasts a decent P/E ratio of 16, making it one of the cheaper food manufacturers around – though still not exactly a bargain. Speaking of, they also flaunt an appealing 3% dividend.
Mondelez
Number two is the sweet tooth's delight, Mondelez, an American candy maker that churns out mouth-watering brands worldwide. You've probably enjoyed snacking on Milka, Oreo, or 7Days (Germany's favorite), though the stock market has developed a major sweet tooth for Mondelez.
Currently valued at €89 billion, Mondelez has a P/E ratio of 20. This translates to a current market cap and a 2.4% dividend yield for those smart investors looking to sink their teeth into this dreamy investment.
Mowi
Last but certainly not least is the unfamiliar Mowi. This Norwegian company specializes in the breeding and distribution of shrimp and salmon, and you've likely gobbled down a product from their stash without even knowing it.
Mowi, formerly known as Marine Harvest until 2019, is worth €12 billion on the market and is quite cheap, though its P/E ratio of 15 is far from the bottom rung. Hungry investors can also look forward to a generous 4.6% dividend yield.
So there ya have it, three tasty food stocks to help beef up your portfolio. And hey, if you're curious about the performance of Hilton Food Group, there's some neat info on that. They've seen a nice revenue increase in the UK/Ireland, and with plans to venture into Saudi Arabia and deepen their partnership with Walmart Canada, the future looks bright for the supreme protein peddlers! Now go get 'em, tiger!
- Hilton Food Group, a UK-based food manufacturer, primarily focuses on supplying protein-rich foods to supermarkets, restaurants, and hotels, making it a valuable addition to any investment portfolio due to its market cap of €110 billion and a decent P/E ratio of 16, offering a 3% dividend.
- Mondelez, an American candy maker with popular brands like Milka, Oreo, and 7Days, is currently valued at €89 billion, boasting a P/E ratio of 20 and a 2.4% dividend yield, making it a desirable choice for smart investors in the food-and-drink sector.
- Mowi, a Norwegian company specializing in the breeding and distribution of shrimp and salmon, is worth €12 billion on the market, catering to the food-and-drink industry with a P/E ratio of 15 and offering a generous 4.6% dividend yield.
- As the world experiences financial uncertainty, investing in traditional sectors like food-and-drink can provide balance to portfolios, given the reliability of companies like those mentioned.
- With the constant demand for food and drinks, even in challenging economic times, these traditional value companies can offer stability and long-term success to investors, making them essential pieces in diverse portfolios and the broader lifestyle of finance.
