If You Can Only Buy One Blue-Chip Stock in July, It Better Be One of These 3 Names

Core Viewpoint - The Dow Jones Industrial Average reached a record high of 40,720.64 on July 15, 2024, but the 30 blue-chip stocks in the index have only increased by 8% this year, significantly underperforming the S&P 500. This shift indicates a changing landscape in blue-chip investments, with technology and consumer discretionary stocks emerging as more favorable options for long-term growth [1]. Group 1: Company Comparisons - Costco (COST) is highlighted as a superior blue-chip investment compared to Coca-Cola (KO), with Costco's stock returning 427% over the past 7.5 years, compared to Coca-Cola's 54% [2]. - Costco announced an increase in its annual membership fee to $65 for individual Gold Star and business members, and to$130 for premium memberships, marking the first fee increase since 2017 [3]. - TJX Companies (TJX) is recommended as a better alternative to McDonald's (MCD), with Q1 2024 earnings per share of 93 cents, a 22.4% increase year-over-year, and revenue of $12.48 billion, up 5.9% [4][5]. - Pinterest (PINS) is suggested as a better blue-chip stock than Walt Disney (DIS), with a 150% increase in earnings in Q1 2024 and projected revenue growth of 19.5% per quarter [6][7]. Group 2: Market Performance and Trends - The Dow 30 stocks are no longer seen as the best long-term investments, with technology stocks like Nvidia (NVDA) gaining more attention for their growth potential [1]. - Costco's strategy of maintaining low prices while generating profits from membership fees contrasts with beverage companies that have significantly raised prices [3]. - TJX's conservative guidance and favorable buying environment suggest potential for continued stock performance despite slight misses in analyst expectations [5]. - Pinterest's focus on AI and shopability is driving revenue growth, positioning it well for future performance compared to Disney [7].