3 Safe Stocks As Volatility Looms

Investing can be a nerve-wracking endeavor, especially if you’re putting riskier stocks in your portfolio or you don’t know what the news will bring the next day. And there will always be some risk in investing. Not every company operating today will still be around in 10 years. 

But the risk is not the same for every company. While nothing can be determined with 100% accuracy, our Zen Ratings system analyzes stocks and measures factors such as stock price stability, the predictability of cash flows, and the earnings estimate standard deviation. After doing so, it assigns each stock a Component Grade for Safety (among other Component Grades). 

Here are three A-rated stocks that also have an A Component Grade for Safety:

1. Gorman Rupp Co (NYSE: GRC)

The pump manufacturer might not make too many headlines, but that might be what you’re looking for from a safety stock, standing out as the second-ranked specialty industrial machinery stock we cover overall. 

GRC not only has a strong Component Grade for Safety, but also higher-than-average grades (in the top 20% of stocks we cover) for everything except Momentum. It also pays a dividend and has a forward dividend yield of 1.91%.

2. US Foods Holding Corp (NYSE: USFD)

People need to eat. This simple fact remains relevant, and as long as people get hungry, food companies (and in this case, food distribution companies such as USFD) will have business.

On top of it being considered a safer pick by our Zen Ratings system, USCD has also had an excellent year, with its share price rising by 48.31% over the last 12 months, rebounding from a downturn in April.

Additionally, analysts we follow as a consensus recommend USFD as a strong buy, with some mentioning encouraging meetings with management and minimal tariff risk.

3. Cardinal Health Inc (NYSE: CAH)

Much like people need to eat, many people need health care, and Cardinal Health is a pharmaceutical and medical product distributor to most of the hospitals in the United States, including such things as gloves, surgical apparel and products, and fluid management products. 

In even the most dire economy, people will still be getting necessary surgery. Investor sentiment is strong for the stock given recent increases in guidance and a history of consistent dividend payments, with our system giving CAH a Sentiment Component Grade of A. 

Yet these are only three stocks that we’ve covered. As of this writing, there were 19 that have an A Zen Rating and an A Component Grade for Safety. And if you want to track them or any other stocks, then WallStreetZen Premium will provide you with more information and save you time in the process. You’ll even gain access to stock ideas pages such as the Stable and Safe Stocks page.

Looking for more guidance and experienced opinions when it comes to your portfolio? Then Zen Investor is for you. Our own Steve Reitmeister, with over 40 years of investment experience, offers insights into the market situation, a portfolio of recommendations, and more. It’s something you will want to have if you’re worried about what’s coming next for the market and economy.

What to Do Next?

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