If you are tired of waiting for a rate cut, for the economy to improve and for consumer sentiment to soar so your portfolio turns green, it is best to consider rebalancing it. Several blue-chip stocks in the industry are unaffected by the market’s ups and downs and have a steady history of outperforming the market. These are the top strong buy blue-chip stocks today. Yes, there is always some risk attached to any investment you choose to make, but blue-chip stocks are known for providing stability in difficult times.
Whether you want to enjoy passive income, double your money, or build a retirement portfolio, here are seven blue-chip stocks that will keep you in the green throughout the coming months. Besides carrying low risk and high stability, these strong buy blue-chip stocks will help you build wealth over time and ensure you aren’t losing money in a market drop. Let’s take a look at them.
Microsoft (MSFT)
One of the best tech stocks to own amid the rising demand for artificial intelligence, Microsoft (NASDAQ:MSFT) is already enjoying the returns on its investment. The company’s timely investment in OpenAI and the integration of ChatGPT into its products and services helped boost the revenue.
I believe Microsoft is only moving upwards from here. It is already up 19% year to date. Analysts are bullish on the stock and believe the company will beat expectations in the upcoming quarterly results. In the recent quarter, Microsoft saw an impressive 31% year-over-year jump in the cloud segment including Azure.
Microsoft is one of those stocks to buy and hold for the next generation. The company is committing billions to the development of AI infrastructure across countries. It has also unveiled new PCs and laptops recently. All these catalysts will work together and boost MSFT stock. You will never regret owning this blue-chip stock.
Amazon (AMZN)
E-commerce giant Amazon (NASDAQ:AMZN) is making headlines with its strong quarterly performance and impressive fundamentals. One of the largest e-commerce companies, Amazon also holds the largest market share in the cloud and generated a revenue of $143.3 billion, up 13% in the first quarter from a year ago. Its operating income tripled to $15.3 billion.
Its diversified business shields it from the market’s ups and downs, and it has seen impressive growth in the advertising segment. Marketers have understood the importance of investing in Amazon advertising, and as the economy improves, we could see a higher revenue growth rate in this segment.
Its North American and international business segment saw impressive growth throughout the quarter, and the upcoming summer holiday season could lead to a surge in e-commerce sales.
Up 23% in 2024, AMZN stock is heading to $200 very soon. With Amazon Web Services roaring higher in the industry, the company is a global giant with a strong runway.
Walmart (WMT)
The world’s largest retailer, Walmart (NYSE:WMT) has come a long way over the past six decades. It has seen it all: the market ups and downs, a pandemic, war, and inflation. However, the company stood the test of time and in the past five years, WMT stock is up 83% and 28% so for in 2024.
Walmart attracted consumers with its low-cost products, which has helped improve sales and profits. In the first quarter, it saw a 5.8% revenue growth and a 21% jump from a year ago in the e-commerce segment.
One solid reason to invest in Walmart stock is management’s commitment to keeping pace with the massive competition. It is investing in the e-commerce segment and a subscription service that has gained high popularity.
These investments are also paying off. Walmart has a “buy” rating from 25 TipRanks analysts with an average price target of $73.12. The stock also offers a dividend of 1.2% and recently hiked the dividend by 9%.
Novo Nordisk (NVO)
One of the most valuable biotech companies in the world right now, Novo Nordisk (NYSE:NVO) is gaining massive popularity due to its successful weight loss drug. The company’s drug, Ozempic, led to a significant revenue surge and the stock is up 450% in the past five years.
The anti-obesity market will keep growing throughout the decade, and this is where Novo Nordisk is set to benefit. Investors are concerned about the rising competition in the industry but one thing to remember is that Novo is one of the first companies to develop and market the drug.
This gives it an early-mover advantage and it enjoys high trust from the industry. It reported a 28% jump in the net profit in the first quarter, following which the management raised the outlook for the year.
NVO stock is very close to the 52-week high of $144 but it could keep moving upwards. It is up 38% so far this year and there is no stopping its momentum. Yes, competitors are working on oral weight loss drugs but that may take time and until then, Novo Nordisk will keep leading the market.
Chipotle Mexican Grill (CMG)
A long-term buy and hold, Chipotle Mexican Grill (NYSE:CMG) stock is up 42% in 2024. Priced at more than $3,000 per share, the stock isn’t cheap but it is a brilliant blue-chip stock to add to your portfolio. It recently expanded in the Middle East and has signed the first franchise agreement for restaurants that will open in Kuwait.
The company saw a 14.1% year-over-year revenue jump in the first quarter and a 7% rise in comparable sales growth. This led to a 23.2% increase in net income. The company is also working on expansion plans and opened 47 new restaurants in the quarter.
Chipotle is an incredible stock with massive upside potential. One reason to buy the stock is the 50-for-1 stock split. It will start trading post-split basis from June 26.
The company enjoys pricing power and has reported impressive performance despite inflation.
Netflix (NFLX)
Streaming giant Netflix (NASDAQ:NFLX) is ruling the market.
The stock is up 44% so far this year, and as one of the biggest streaming companies, Netflix has a long runway and I believe it will keep moving upwards.
The company is making significant revenue from advertising and has recently announced that it is moving into malls. Netflix has announced its locations for the first two Netflix House venues. It will be an experiential entertainment space set to open next year.
Only time will tell if the locations will be profitable, but they represent another potential line of revenue through them. Netflix enjoys a first-mover advantage in the industry and generates enough cash flow to keep investing in new content.
It puts in a lot of effort to ensure that there is fresh and content available for viewers. Its password crackdown decision has also paid off, and the company saw a 15% jump in revenue and a 54% jump in the operating income in the first quarter.
With Netflix, there is a lot more to come.
Nvidia (NVDA)
The stock market’s favorite tech stock, Nvidia (NASDAQ:NVDA) is a solid buy after the stock split. This is one stock that will keep you in the green for a very long time. The stock is up 171% this year and is steadily moving upwards. Having hit new highs after the quarterly results, the management announced a 10-for-1 stock split, making it easier for investors to accumulate this industry darling.
One solid reason to buy NVDA stock is the unprecedented demand for AI chips. With organizations and governments adopting AI, Nvidia will continue to see steady demand. Its revenue numbers are proof that the company is one of the best in the industry.
Today, it is the most valuable company in the world, passing Microsoft. It is taking the S&P 500 to new highs and made several investors rich. In the first quarter, its data center revenue soared 427% from a year ago to $22.6 billion.
Nvidia’s Blackwell chip has brought about a new era of computing, and I believe this will help the company generate higher revenue. NVDA is a solid long-term buy and hold regardless of the market situation.
On the date of publication, Vandita Jadeja did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
