Slump Survivors: 3 Stocks That Will Outlast the S&P 500 Downturn


  • These companies exhibit resilience and strategic adaptability under macroeconomic adversities.
  • Procter & Gamble (PG): Derived solid organic revenue growth across regions in North America and Europe.
  • Johnson & Johnson (JNJ): Holds solid growth in its medicine segment, including oncology and other therapeutic areas.
  • ASML (ASML): Secures significant order bookings, indicating strong product demand.
Stocks to Outperform the S&P 500 - Slump Survivors: 3 Stocks That Will Outlast the S&P 500 Downturn

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If you’re searching for stocks to outperform the S&P 500, look no further. Some stocks are more solid than others against market downturns and macro-economic uncertainty and have high chances of beating the S&P 500 index. Three of these stocks are listed here because of their fundamental resilience to market turbulence and their track record of steady performance. These companies have a lead across industries, including technology, healthcare, and consumer staples. They have certain traits that make them appealing investment choices during trying times.

The first demonstrates a substantial increase in organic sales throughout various geographic areas. This indicates consistent customer demand and successful marketing tactics. The second one is impressive due to its cutting-edge pharmaceutical section. This shows significant income streams and encourages development potential in therapeutic areas like cancer. Significant order bookings were made for the third one. This demonstrates the high demand for its cutting-edge lithography technique and offers future revenue predictability.

These businesses stand out for more reasons than just their track record; they also exhibit resilience and strategic flexibility in adversity.

Stocks to Outperform the S&P 500: Procter & Gamble (PG)

Procter & Gamble Union Distribution Center. P&G is an American Multinational Consumer Goods Company
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Procter & Gamble (NYSE:PG) has demonstrated a fundamentally progressive trajectory of organic sales growth in several geographical regions. Notably, over the last four quarters (Q3 fiscal 2024), North America has had a constant volume growth trend. This has supported a 3% increase in organic sales (in Q3), indicating a persistent customer demand. 

Similarly, Procter & Gamble’s growth in market share within its target regions is impressive. Focus markets in Europe, for example, had a vital 7% gain in organic sales over the previous three months, supported by a 1% rise in value share. This increasing market share trend indicates Procter & Gamble’s successful tactics in identifying customer preferences and boosting sales growth in strategic areas.

Despite economic difficulties throughout Latin America, especially in Argentina due to a large currency depreciation, Procter & Gamble achieved a solid 17% increase in organic sales. Effective pricing techniques to counter currency swings were primarily responsible for this growth.

Overall, there are adversities in some markets, such as Greater China and portions of Europe and Asia Pacific. However, Procter & Gamble may sustain positive volume growth in these areas. 

Johnson & Johnson (JNJ)

Negative Press Presents a Buying Opportunity with JNJ Stock
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The progressiveness of Johnson & Johnson’s (NYSE:JNJ) medicine segment is based on its array of products. With $13.6 billion in global sales (Q1 2024), the category has a sizable top-line. Notably, operational sales growth, removing the impact of the COVID-19 vaccine, is at an exceptional 8.3%, even with a 4% fall outside of the U.S.

Additionally, the company’s considerable expansion in this market indicates that its concentration on oncology is paying off. TECVAYLI, CARVYKTI, and DARZALEX all show impressive sales gains over the prior year. For example, revenues at TECVAYLI increased from $63 million to $133 million. This demonstrates a successful introduction in the context of relapsed refractory material. Comparably, CARVYKTI’s revenues increased by more than double, from $72 million to $157 million. This results from increased capacity, sharp manufacturing practices, and strong demand. 

Finally, Johnson & Johnson has progressed beyond cancer to other therapeutic fields, such as immunology and pulmonary hypertension. Hence, the company’s solid lead in this market is reflected in its 22.4% rise in sales of pulmonary hypertension, driven by the favorable patient mix, share gains, and market growth for OPSUMIT and UPTRAVI.


Closeup of mobile phone screen with ASML logo on computer keyboard
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Strong demand for ASML’s (NASDAQ:ASML) products reflects its impressive order bookings, which totaled €3.6 billion in Q1 2024 alone. The backlog provides revenue visibility and stability for the next quarters and at the end of Q1 2024, it was estimated to be over €38 billion. Thus, ASML’s ability to secure orders well in advance is reflected in the significant backlog, which lays a strong foundation for sustainable growth.

Moreover, ASML predicts increased revenue in 2024, especially in its EUV division. This is indicative of the growing use of advanced lithography technology. The NXE 3800E has been released, which offers notable performance gains over earlier versions. Furthermore, ASML is focusing on developing lithography technology to satisfy future semiconductor node requirements, meeting the needs of both logic and memory clients, reflected in the delivery of high-NA systems.

Lastly, EUV customers’ anticipated shift to the NXE:3800E highlights ASML’s capacity to please and hold onto its clientele by providing improved solutions. Overall, ASML’s proactive approach to engaging clients and easing their transition to advanced lithography technologies has resulted in high customer interest in the High NA Systems Lab. 

As of this writing, Yiannis Zourmpanos held long positions in JNJ and ASML. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Yiannis Zourmpanos is the founder of Yiazou Capital Research, a stock-market research platform designed to elevate the due diligence process through in-depth business analysis.

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