It’s not the Fourth of July or even the Olympics, but patriotism is still running high for the U.S. as the men’s national soccer team makes its World Cup debut against Ghana on Monday — and that got us thinking about great all-American stocks to buy.
Of course, finding stocks to buy among American companies isn’t as easy as it looks. Most of the biggest, oldest blue-chip stocks represent multinational companies, making it hard to say whether they’re really “all-American” stocks.
Indeed, the S&P 500 might be the benchmark index for U.S. stock performance, but roughly 45% of S&P 500 company revenue comes from overseas. Take Procter & Gamble (PG) for example. Founded in 1837 and a member of the Dow Jones Industrial Average, P&G sports deep American roots and at first glance would be a candidate for all-American stocks to buy. But about 60% of P&G’s revenue comes from overseas. That’s not exactly a pure bet on the U.S. of A.
The easiest way to find all-American stocks to buy is to focus on sectors in which most of the revenue is generated domestically, such as telecommunications and utilities. (That these sectors happen to be big, fat dividend payers only sweetens the deal.)
So with that as our focus — and wishing the best of luck to the U.S. in the World Cup — here are three great all-American stocks that also happen to be great stocks to buy: