First, it was the shocking news that Donald Trump became the 44thperson to become president. Then came the avalanche of controversies: Russia, China, Sessions, the “wall” and currently, Kavanaugh. I’m missing about 50 other scandals, but this is a family-friendly website!
And under this environment, it’s hard to figure out which stocks to buy.
I propose that now is a time to stop overanalyzing the granularity and to consider companies which have indefinite demand. Some of the best stocks to invest in are secular picks that will enjoy consumer dollars no matter the situation. Because let’s face it: we can all use a little stability and predictability in our finances, especially right now.
At the same time, don’t expect every name on this list to be the usual suspects. Next-generation challenges call for next-generation solutions. Therefore, some of my ideas for best stocks to invest in will likely surprise you.
So without any more delay, here are the eight best stocks to buy featuring products (or services) that you’ll always use:
Without hesitation, Facebook (NASDAQ:FB) has suffered one of the worst overall rides in the market this year. At its peak, FB stock gained over 22% against the January opener. But after a “devastating” earnings report, Facebook had to pick itself off the ground. Currently, its staring at double-digit losses.
No matter. I’m stilling putting the social-media giant on my list of stocks to buy. In previous write-ups, I made some detailed arguments, including that Facebook’s earnings report wasn’t nearly as bad as advertised. Moreover, user-growth statistics indicated that grassroots efforts to hurt the company didn’t make much of an impact.
But let’s think in broader strokes. FB stock remains one of the best stocks to invest in because it will likely forever dominate social media. And social media taps into a universal human longing: to connect with other people.
My friends, that’s the very definition of a product that you’ll always use!
Procter & Gamble (PG)
They say the only certainties are death and taxes. But if you look a little below those absolute certainties you find plenty of near-certainties.
People are still going to wash their clothes. Wash their dishes. Brush their teeth. And as long as they’re doing that, Procter & Gamble (NYSE:PG) stands to profit. Disposable razors, toilet paper, shampoo … none of this stuff is going away, and PG stock is the purveyor of many of the most trusted brands in their spaces.
PG stock is an investment in everything you purchase that you completely take for granted. And that demand should keep PG stock solid.
Johnson & Johnson (JNJ)
Johnson & Johnson (NYSE:JNJ) is one of the best stocks to invest in among cradle-to-grave companies. Obviously, when most people consider JNJ stock, they immediately think about their mom. The iconic organization is a permanent fixture in parenthood. And as kids become adults, they too will depend on Johnson & Johnson.
But the other component of life is the inevitability of death. Because sometimes, prior to death comes cancer. According to multiple medical journals, your chance of getting cancer at least once in your lifetime is roughly around 50% (or at least they are in the UK). That’s startling news. Fortunately, Johnson & Johnson has a robust pharmaceutical division, with oncology a prime specialty.
Better yet, the company has several drugs in late-stage clinical trials. With JNJ stock, you’re taking out the speculative nature of many healthcare-related stocks to buy. Finally, JNJ pays out a fairly generous 2.6% dividend yield.
When investors discuss tech stocks to buy with indefinite demand, Apple (NASDAQ:AAPL) is usually the go-to name. The first trillion-dollar company, Apple’s rise to the stratosphere seemingly has no bounds. But the biggest concern I have for AAPL is that it’s vulnerable to commoditization. I can’t say the same about Microsoft (NASDAQ:MSFT).
Yeah, yeah, get the pitchforks out and call me a paid shill for Microsoft (full disclosure: I’m not). Instead, I’m looking at reality. While Apple makes incredibly attractive devices, Microsoft focuses on sheer functionality. I can get infinitely more stuff done on Microsoft computers. Plus, they don’t take away buttons from the mouse for aesthetic reasons. That’s one reason to buy MSFT stock.
The other? This dominance isn’t going to fade anytime soon. Microsoft-based operating systems represent the runaway leader in PC market share. And in the professional world, Microsoft Office programs are the universal standard.
Have you heard of anyone requesting a Pages document? Don’t even get me started with Numbers, which is a dumbed-down version of Excel made worse with Apple’s mouse-button deficiencies.
Bottom line, if you use computers for any legitimate reason, you’re going to use Microsoft. Therefore, buy MSFT stock with confidence.
Amazon (NASDAQ:AMZN) is an easy one. Among the most dominant stocks to buy, the-commerce giant lives up to the title “disruptor.” After a stunning year in 2017, AMZN stock is back at it again. Year-to-date, shares are up over 60%. It will eventually join Apple as the other trillion-dollar company.
But as I discussed this past summer, I like AMZN stock to take the $2 trillion benchmark first. The reason is that Apple doesn’t appear to have too many great ideas in the tank. They risk commoditization as manufacturers produce equivalently advanced but cheaper alternatives.
Amazon, on the other hand, isn’t levered to consumer whims. So long as people want to buy anything, they’ll come to the e-commerce company. What’s more, AMZN isn’t just limited to retail, as its acquisitive nature has demonstrated. With its influence stretching into multiple, disparate industries such as cloud computing and groceries, management has guaranteed itself future relevance.
Home Depot (HD)
Home Depot (NYSE:HD) is another easy one to place on the best stocks to buy list. As a secular investment, HD stock isn’t subject to market or even economic whims. Unless we experience cataclysmic devastation, Home Depot will find ways to generate sales, particularly because sales will come to them.
Consider these points: in a bullish real-estate market like we’re experiencing now, home owners will request renovations to drive up prices. On the other end of the scale, a down market is still bullish for HD stock. So long as you own property in at least a somewhat desirable location, renovations represent money well spent.
Best of all, Home Depot is Amazon-proof. Construction and home improvement are hands-on projects. You have to see, touch, and try your desired tools and components before purchasing them. And if they don’t work out, you need a physical outlet for quick and easy returns or exchanges.
Alphabet (GOOG, GOOGL)
The internet is a wonderful place. And when you use it, chances are extremely high that you utilize Alphabet’s (NASDAQ:GOOG, NASDAQ:GOOGL) Google search engine. According to the latest reading, Google levers an insurmountable market share at 92.3% of all search engines across all platforms. You can take GOOG stock to the bank.
To give you an idea of how utterly dominant Alphabet is, take a look at search-engine rankings in China. Baidu (NASDAQ:BIDU) understandably ranks in first place, but at a comparatively low 66.3%. Baidu can’t convincingly put away its Chinese rivals. Moreover, Google puts up a respectable 2.7% market share in hostile territory.
This is another way of saying that Alphabet, and by logical extension, GOOG stock, owns the internet. Bullish analysts will cite other factors, such as the Waymo self-driving vehicle. That’s wonderful and all, but the most compelling argument for Alphabet is the search engine. It demonstrates perhaps eternal demand.
According to the Pew Research Center, 49% of Americans admitted to trying marijuana. This survey was conducted more than three years ago. A survey from last year suggests that the figure has bumped up to 52%. Whatever. I’m sure the actual percentage is substantially higher.
At any rate, I firmly believe that marijuana companies are the best stocks to buy at this juncture. I’m especially optimistic about Marimed (OTCMKTS:MRMD). Over the next several years, various state legislations will incentivize “weedpreneuers” to set up shop. The problem is, legal marijuana is a complicated endeavor. You need advisors to assist you, which is what Marimed provides.
From permit applications to facilities planning, MRMD stock offers a compelling, diversified exposure to cannabis. Because the company is not tied to any one segment within the industry, this reduces market risk. Indeed, shares have been flying. Just in this month, Marimed is up 25%.
Of course, MRMD stock has its risks. Like other sector players, Marimed’s financials aren’t the most robust. And technically, draconian federal mandates could squash legal cannabis.
But in all likelihood, that’s not going to happen. If you want a potentially explosive opportunity that has somewhat flown under the radar, consider MRMD stock. I know I have!
As of this writing, Josh Enomoto was long MRMD.