Defensive Stocks To Buy Right Now? 3 To Watch


Defensive stocks are shares of companies that are considered to be relatively insulated from economic downturns. These companies typically provide essential products or services, and their businesses are less sensitive to changes in consumer spending patterns. As a result, defensive stocks tend to outperform the broader market during periods of economic weakness.

For this reason, many investors view defensive stocks as a safe haven during times of uncertainty. In addition, defensive stocks often pay dividends, which can provide a source of income for investors during periods of stock market volatility. Considering this, let’s take a look at three top defensive stocks for your November 2022 watchlist.

Defensive Stocks To Watch Now

1. Target (TGT Stock)

Starting off we have retail behemoth Target Corporation (TGT). Target is one of the leading retail companies in the United States. The company operates over 1,800 Target stores across the country, as well as an online store. Target offers a wide range of products, including clothing, home goods, electronics, and more.

TGT Recent Stock News

This morning, Wednesday, Target reported a miss for its third-quarter 2022 financial results. In the report, the company posted 3rd quarter 2022 earnings of $1.54 per share and revenue of $26.5 billion. Meanwhile, analysts’ consensus estimates for the quarter were earnings of $2.15 per share and revenue of $26.4 billion.

Additionally, Brian Cornell, chairman, and CEO of Target stated, “In the third quarter, our business delivered comparable sales growth of 2.7 percent, and we saw unit share gains across all of our core merchandise categories. This performance demonstrates the durability of our business model which continues to serve our guests and drive loyalty despite the challenging economic environment.

TGT Stock Price

Following this news, shares of TGT stock are trading lower by 11.80% during Wednesday’s lunchtime trading session at $157.58 a share.

Source: TD Ameritrade TOS

[Read More] What Happens To Stocks During A Recession?

2. Coca-Cola Company (KO Stock)

Following Target, let’s now turn our attention to beverage giant Coca-Cola Company (KO). The Coca-Cola Company is one of the world’s largest beverage companies, offering a wide variety of brands, including Coca-Cola, Diet Coke, Fanta, Sprite, and more.

KO Recent Stock News

Late last month, Cola-Cola Company reported better-than-expected results for its 3rd quarter 2022 financial results. Diving in, the company reported 3rd quarter 2022 earnings of $0.69 per share, along with revenue of $11.1 billion.

In addition, Coca-Cola also reported a 10.2% increase in revenue during the same period, in 2021. What’s more, the company raised its full-year outlook. Specifically, Coca-Cola said it estimates FY 2022 earnings in the range of $2.46 to $2.48 per share. Meanwhile, the company previously announced they expected FY2022 earnings of $2.44 to $2.46 per share.

James Quincey, Chairman, and CEO of KO said, “Our business is resilient amidst a dynamic operating and macroeconomic environment. We are investing in our strong portfolio of brands, which is a cornerstone of our ability to deliver long-term value for our stakeholders.”

KO Stock Price

Over the last month of trading, shares of The Coca-Cola Company have rebounded 8.42%. While on Wednesday afternoon KO stock is trading slightly lower by 0.40% at $60.37 a share.

KO stock
Source: TD Ameritrade TOS

[Read More] What Stocks To Buy Today? 3 Consumer Discretionary Stocks To Know

3. Raytheon Technologies (RTX Stock)

Last but not least, we turn our attention to Raytheon Technologies (RTX). Raytheon is an American aerospace and defense multinational corporation. Raytheon technologies research, develop and produce products for military use including guided missiles, cyber security solutions, and radar equipment. The company also manufactures commercial aircraft engines.

RTX Recent Stock News

Last month, Raytheon reported stronger-than-expected Q3 2022 financial results. Diving right in, the company reported an EPS of $1.21 and revenue of $17 billion for the third quarter of 2022. For context, Wall Street’s estimates for the quarter were an EPS of $1.11 per share, and revenue of $17.3 billion. In addition, Raytheon reported it repurchased approximately $616 million of RTX shares.

Raytheon Technologies Chairman and CEO Greg Hayes commented, “Raytheon Technologies delivered strong organic sales growth while also generating adjusted EPS and free cash flow that exceeded our expectations following the continued recovery in the commercial aerospace market and strong customer demand across our business.” 

RTX Stock Price

Looking at the last month of trading action, RTX stock has bounced 12.51%. On Wednesday, shares of Raytheon Technologies stock is trading lower by 0.79% at $95.06 a share.

RTX stock
Source: TD Ameritrade TOS

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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