Your performance should have improved over the past year. Despite the surprising nature of the global pandemic But the rapid economic recovery has made it easy to warm up to consumer-facing companies. But where should your money go if things not going well
year (NASDAQ:ROKU), O’Reilly Automotive (NASDAQ: ORLY), and Costco (NASDAQ:Cost) It’s the best recession-proof stock to buy right now. Let’s take a look at why I think they will weather the storm when the economy starts to storm.
TV streaming at home has become comfort food. And it’s a great way to entertain on a tight budget. There are many free or almost free services out there, and Roku is the hub of choice for 53.9 million homes and counting. Roku offers thousands of streaming apps. And it’s easier than ever on a free platform.
Roku dongles are only $20 to $30, and if you’re lucky. The smart TV you own may already have the Roku operating system installed. Roku ships in 38% of the smart TVs sold in this country.
It’s not just access to all popular streaming apps from a single remote control, Roku has added free ad-supported content offerings. This should increase user engagement and loyalty. As advertisers turn to connected TV marketing to reach a growing video streaming audience, Roku can continue to grow without spending a dime.
If shiny new cars are a by-product of a booming economy? What happens when our financial well-being shifts in other ways? We tend to hold on to our cars more when money is limited. And that’s when O’Reilly Automotive started to shine, a network of 5,660 stores selling automotive parts. And that was a good place in the past when we had to maintain old cars.
O’Reilly is a beast of consistency. It brought down positive competitive results for 28 years in a row, and it would have been easy to stretch it to 29 years. Sales were up 25% in the first quarter, resulting in a nearly 24.8% increase in comps compared to the previous quarter. yearly The bottom line is it grows even faster.
O’Reilly Automotive has proven itself to be a worthy winner in all weather conditions. Even in the pandemic when we don’t spend a lot of time in our cars. The company has maintained its positive results and easily beat Wall Street’s earnings targets over the past four quarters.
Roku and O’Reilly Automotive do not pay quarterly dividends. This is what investors tend to expect from recession-resilient investments. Let me try to fix this list by closing things up. Costco, a leading warehouse club operator — and the world’s third largest retailer — won’t get revenue investors excited about its modest 0.8% return, but it knows how. to let the payment come There has been a yearly spread increase since 2004, including a 13% increase last month. Costco also announced a large one-time dividend, including a $10 per share premium paid to shareholders on last month
There are over 105 million Costco members, and they are crazy about the cheap items they can find. Costco is a well-lubricated machine and with so little markup on their products that membership fees are almost comparable. with the bottom result of a chain of 809 units.
Costco didn’t flinch at the start of the pandemic as a major business. And now it’s not slowing down as year-over-year comparisons are taking off. Costco’s net sales rose 21.57% to $44.38 billion for the third quarter. Quarter posted on Thursday Net income grows faster
Investing during a recession isn’t easy. Roku, O’Reilly Automotive and Costco should help all-weather businesses thrive during good and bad times.
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