5 shares that according to analysts you can buy-proiezionidiborsa.it
The business cycle oscillates between periods of recession and periods of economic expansion. On average, a recession lasts 10.5 months, while an expansion period 57 months. In simple words we can say that in periods of expansion, inflation tends to rise, and central banks increase rates to calm this spiral. As rates “lead to low growth” and demand that abruptly slows, we will enter a recession. Many identify the beginning of this phase when for 2 negative quarters the GDP is negative. What do analysts recommend in these situations, and in which stocks should you invest in these moments?
The markets have been undecided in recent days. Many believe that 2023 could see a recession, which could drive equity prices further down. Our thesis and prediction is different as argued elsewhere.
We went to read some specialized magazines (and among these SimplyWallStreet). From the latter we have drawn a sort of list that indicates what they are the 5 stocks that according to analysts you can buy in view of an economic recession.
How to make money when the economic cycle turns downwards.
The chosen actions they are Costco Wholesale Corporation, NRG Energy, Inc., Service Corporation International, 3M Company, Raytheon Technologies Corporation.
Let’s now analyze these companies through the graphs considering the patterns of the classic technical analysis. Instead, all the information and analysis regarding the financial statements are taken from the SimplyWallStreet site.
The economic cycle oscillates between phases of recession and expansion-proiezionidiborsa.it
Costco Wholesale Corporation
Company that sells basic necessities wholesale and with advantageous prices. A current underestimation of 13.3% is estimated.
Last price at 452.99. The ongoing long-term trend is bearish, and prices could continue to fall even by several percentage points. Likely return to an uptrend only at the end of the month above $498.
NRG Energy, Inc.
It operates as an energy company, and therefore the demand is continuous and persistent. A current underestimation of 69.1% is estimated.
Last price at 31.86. The ongoing long-term trend is bearish, and prices could continue to fall even by several percentage points to the $27.81 area as the first support. Probable aIt returned to an uptrend only at the end of the month above $43.21.
NRG Energy operates in the energy sector-proiezionidiborsa.it
Service Corporation International
It operates as a company in the funeral services sector. The price to earnings ratio of 15.7x is below the industry average of 19.8x.
Last price at 69.35. The ongoing long-term trend is bullish, and prices could continue to rise even by several percentage points. Likely return to a bearish trend only at the end of the month below $59.98.
3M Company among the 5 stocks that according to analysts you can buy in view of an economic recession
It operates as a technology company. A current underestimation of 34.2% is estimated.
Last price at 118.29. The ongoing long-term trend is bearish, and prices could continue to fall even by several percentage points down to the $105 area as the first support. Likely return to an uptrend only at the end of the month above $149.01.
Raytheon Technologies Corporation
It operates as a company in the military and aerospace defense sector. A current underestimation of 27.2% is estimated.
Last price at 99.14. The ongoing long-term trend is bullish, and prices could continue to rise even by several percentage points. Likely return to a bearish trend only at the end of the month below $91.12.
