
Avengers Assemble...For Recession Proof Stocks!
Alright folks Captain America here your friendly neighborhood Avenger and surprisingly financial analyst! I've been reading up on what's happening in the world of stocks and it seems even the economy needs a little…stabilizing. Jim Cramer over at CNBC is saying that CVS Health and Dollar General are doing surprisingly well despite all the chaos. He's calling them 'sole survivors,' which sounds like something Nick Fury would say about the Avengers after a particularly rough battle with Thanos! 'I can do this all day,' says these stocks apparently.
The Enemy of My Enemy Is…Good for My Portfolio?
Cramer points out that CVS and Dollar General are benefiting from their competitors stumbling. Walgreens is potentially going private and Dollar Tree is selling Family Dollar. It's like when HYDRA started crumbling and suddenly S.H.I.E.L.D. had a little less to worry about…for a hot minute. Cramer's basically saying that with Walgreens and Family Dollar potentially closing stores CVS and Dollar General are like 'I understood that reference!' I mean less competition for CVS and Dollar General is good.
CVS's Aetna Headache and Dollar General's Tariff Troubles!
Now it wasn't all sunshine and rainbows for these companies. CVS had a bit of a rough patch with their health insurance arm Aetna. Sounds like dealing with insurance is a headache even for corporations. As for Dollar General there were concerns about global tariffs. It's like when you're trying to save the world and then someone throws a trade embargo into the mix! Talk about complication.
Earnings Beats and Recession Shields!
But fear not investors! CVS managed to pull off a substantial earnings beat and Dollar General is supposedly improving business. Cramer even calls CVS a 'textbook recession proof stock.' 'Whatever it takes' to survive right? It’s like these companies are wearing little Captain America shields to protect themselves from the economic downturn. Not that I have a commercial interest in my likeness or the like.
The Fall of Competitors: A Villain Origin Story?
Cramer believes a big part of their success is due to the potential downsizing of Walgreens and Family Dollar. I guess it's true what they say sometimes you gotta hurt to heal. Or in this case sometimes others gotta hurt for your portfolio to heal! I still don't fully understand it.
Sign Up Now True Believers!
So there you have it. According to Cramer CVS and Dollar General are 'moving in the right direction.' Let's just hope that direction doesn't involve any Infinity Stones or Ultron level threats. 'We have a Hulk,' after all. As always do your research and remember with great power comes great responsibility…even when it comes to investing! And for goodness sake visit CNBC to follow Cramer.
Comments
- No comments yet. Become a member to post your comments.