Recession-Proof Riches: 3 Stocks to Buy and Hold Through Any Crisis

Core Viewpoint - The article highlights stocks that are recommended for purchase during a recession, emphasizing their ability to enhance portfolio stability and safety regardless of overall economic sentiment [1] Group 1: Stocks Recommended for Recession - PepsiCo (PEP) has a strong dividend yield of 3.1% and projects 4% organic revenue growth for 2024, alongside at least 8% core constant currency EPS growth [2] - Altria (MO) offers a high dividend yield of 9.5% and has reaffirmed its 2024 earnings guidance, expecting adjusted diluted EPS between $5 and $5.15, indicating a growth rate of 1% to 4% from the previous year [5][6] - American International Group (AIG) anticipates robust investment income of at least $750 million per quarter in 2024, with a forecasted EPS increase of 50.7% to $7.51 per share [7][8] Group 2: Company Characteristics - PepsiCo's product mix and branding ensure its resilience during economic downturns, making it a reliable choice for investors [2] - Altria's focus on dividends and share repurchase programs positions it as a stable investment, despite a declining stock price [5][6] - AIG's strong liquidity of $3.6 billion and executed share repurchases of $785 million in Q3 2023 enhance its attractiveness as a recession-proof investment [7][8] Group 3: Analyst Predictions - Analysts predict a modest upside for PepsiCo, with a consensus "Buy" rating and an expected share price increase of 17.2% over the next twelve months [3] - AIG is expected to see a slight top-line expansion of 8.5% alongside significant EPS growth, indicating positive investor sentiment [8]