Buy These 5 Consumer Stocks in 2010

People all over the country, in fact, all over the globe are expecting the financial crises to conclude. Investors are picking up favorite stocks as they are being as optimistic as the news channels. Truly, one cannot a pessimist after hearing few good news like big banks paying back TARP money, stabilization of unemployment rate, and correction in major economies around the world.

If the US economy stabilizes anytime soon, people would start spending more on everyday products, which means the brands producing daily items will see a decent hike in their stock price.

So which are the companies that will benefit from the rise in spending of mass population? Almost every company, I can say. However, the major benefit would be to companies like

• Coca Cola – KO
• McDonald’s – MCD
• Wal-Mart – WMT
• Procter & Gamble – PG
• And Johnson & Johnson – JNJ

Why?

Coca Cola Company (KO) is involved in manufacturing, marketing, and distributing non-alcoholic beverages all over the world. The drink is being liked and consumed by most of the population of every country, where it’s available. Stability cannot be blamed as it’s an established firm since past 47 years.

Target – I would buy KO at any price below $54.65

McDonalds Corporation comprises of the food chain including its franchisees and subsidiaries. This chain of restaurant which sells variety of food products, non alcoholic beverages, and other beverages, has a worldwide presence. This stock is generating enormous dividends since past 33 years. So, this is a good buy.

Target – It would be wise to pick up few stocks under $73 per share.

Wal-Mart Stores, Inc. (WMT) is a huge chain of retail store with presence in many countries. This stock is a safe investment as it’s been providing good dividend since past 35 years.

Target – Buy at any major fall in price.

Proctor & Gamble Company (PG) is a major manufacturer of consumer goods and sells its products in most of the countries around the world. The reliability is ensured due to its diversification of business in three units: Household Products, Health & Well-Being, and Beauty. The dividend keeps increasing every year since past 53 years.

Target: I wouldn’t but it over $58.66. However, my purchase would increase with every fall in price.

Johnson & Johnson (JNJ) is a conglomerate engaged in manufacturing of health care products, which are being used worldwide. It’s also a leader in Research and Development sector. This is also a consistent dividend provider since past 47 years.

Target: Any fall below $63.30 is a good buy.

These brands are quite stable with distributed risk and global diversification. A fall in US stock market would be an excellent opportunity to buy the stock which would definitely be under-priced.

Honest Declaration:

I have bought many shares of every company mentioned above.