Top 11 Safe Stocks for Long-Term Investment
As we traverse through this piece, our central focus will be on the top 11 stocks considered as safe bets for long-term investments. The current market volatility mandates a more in-depth look beyond the basic scrutiny of earnings data and stock price movements in the journey of identifying solid investments. Amidst this tumult, the Federal Reserve continues to maintain the interest rates between 4.25% and 4.5% leading up to 2025. With potential rate reduction on the horizon in September, the investment community is recalibrating its expectations towards monetary policies, resilience against inflation, and the political rhetoric emanating from Washington.
The importance of these elements stems from the profound influence that interest rate decisions exert on discount rates and the significance of dividend yields, as well as inclinations towards secure long-term investments among investors. Long-term, low-risk stocks become an enticing option in such a scenario. The efficacy of such choices is reinforced by numerous equities which have reliably given consistent returns across various market conditions. The main theme of this piece is to elucidate on top 11 viable long-term, low-risk stocks that could add stability to your portfolio.
Our Approach: The compilation of these top 11 low-risk, solid long-term stocks required adherence to specific prerequisites. We have precluded any stocks with a beta greater than 0.5, thus lowering risk within the chosen options. Likewise, with an emphasis on long-term growth, only those stocks with a positive forecast for Earnings Per Share (EPS) spanning the next half-decade are included. Moreover, all stocks in our list enjoy a ‘strong buy’ rating. The sequential order of the companies is based on projected EPS growth over the forthcoming five years.
A-Mark Precious Metals, Inc. (NASDAQ:AMRK) is featured as the 11th on our list, with a 5-year EPS forecast of 3.40% and a beta of 0.15. The fully diversified precious metals trading company, headquartered in the Golden State of California, has been thriving in wholesale trading, secured lending, and customer-direct channels. Since its inception in 1965, it has made a mark in circulating bullion and sovereign as well as private mint coins and extending storage and logistics solutions. Furthermore, it has a reputation for offering finance solutions to dealers, investors, and industrial customers at a global scale.
Our tenth recommendation is Chemed Corporation (NYSE:CHE) that keeps a 5.86% EPS growth projection for the next five years and a beta of 0.47. An Ohio-based entity, Chemed Corporation runs its operations through two key subsidiaries, VITAS Healthcare and Roto-Rooter. The former constitutes hospice and palliative care, whereas the latter caters to plumbing, drain sanitation, and water restoration services. Given the diversified nature of its healthcare and necessary home services, the company successfully serves both residential and commercial segments across the United States.
Positioned ninth in our lineup is The Coca-Cola Company (NYSE:KO) with a 5-year forecasted EPS growth of 6.24% and a beta coefficient of 0.44. The global beverages giant facilitates an extensive variety of over 200 brands encompassing drinks of different nature – sparkling, water, tea, coffee, and juices. Having its headquarters stationed in Georgia, the company effectively delivers its diversified portfolio through an expansive network of bottling associates and distributors catering to the needs of over 200 economies.