4 Low-Beta Stocks With Upside to Counter a Volatile September

Economic Overview - Volatility has returned to Wall Street, influenced by weak economic data and traditional seasonal trends, particularly in September, which is historically the worst month for stocks [1][5][6] - Recent economic indicators show an increase in the unemployment rate to 4.3% in July and a nonfarm payroll increase of only 142,000 in August, below the expected 161,000 [3][4] Stock Market Performance - The S&P 500 experienced a decline of 4.3% for the week, marking its worst performance since March 2023, while the Nasdaq fell 5.8%, its worst week since 2022 [4] - The two months leading up to the Presidential election have historically seen an average negative return of 5.8% for the S&P 500, with current volatility reflecting this trend [6] Investment Strategy - In light of current market conditions, a focus on low-beta consumer staples stocks is recommended, such as Carriage Services, Edgewell Personal Care, Ingredion, and Flowers Foods, which are expected to provide solid upside [2][7] Company Profiles Carriage Services, Inc. (CSV) - A leading provider of death care services in the U.S., offering a range of funeral and burial services [8] - Expected earnings growth rate of 6.9% for the current year, with a Zacks Consensus Estimate improvement of 3.5% over the last 60 days; current beta of 0.94 and dividend yield of 1.39% [9] Edgewell Personal Care Company (EPC) - Manufacturer of personal care products, including brands like Schick and Playtex [10] - Expected earnings growth rate of 17.2% for the current year, with a Zacks Consensus Estimate improvement of 2.7% over the last 60 days; current beta of 0.87 and dividend yield of 1.57% [11] Ingredion Incorporated (INGR) - Provider of ingredient solutions specializing in sweeteners and starches for various industries [13] - Expected earnings growth rate of 5.6% for the current year, with a Zacks Consensus Estimate improvement of 2.6% over the last 60 days; current beta of 0.73 and dividend yield of 2.31% [14] Flowers Foods, Inc. (FLO) - Focuses on high-quality baked goods and brand development [16] - Expected earnings growth rate of 4.2% for the current year, with a Zacks Consensus Estimate improvement of 1.6% over the last 60 days; current beta of 0.36 and dividend yield of 4.10% [17]