Ray Dalio is a multibillionaire investor and the manager of Bridgewater Associates, the biggest hedge fund in the world. It is “naive and inconsistent” to see interest rate increases as a cost-effective way to control growing costs. To protect themselves against inflation, investors are restructuring their portfolios. In the past, some industries have seemed to “win” during inflationary periods. Energy, consumer staples, equity REIT, utilities, precious metals & mining are some of the sectors that do well when inflation is on the rise.
Insider Monkey highlights the 10 stocks to profit from inflation. Over the last 12 months, Realty Income Corporation has given investors a 3.25 percent return. Insider Monkey put the company among the top ten companies to profit from inflation since its returns and dividends have managed to withstand increases in interest rates and excessive inflation. Marathon Petroleum Corporation, as of June 23, has increased 35.76 percent in the previous year. According to BMO Capital analyst Phillip Jungwirth, the company’s shares “still look affordable.” Roger Read, an analyst with Wells Fargo, increased his price objective in June from $117 to $129. Another trait that makes Barrick Gold Corporation a strong stock during inflationary times is that it pays dividends. The business raised its quarterly cash dividend on May 4 to $0.20 per share. Barrick Gold Corporation’s largest stakeholder is First Eagle Investment Management. The most well-known brands of Colgate-Palmolive Company include Colgate, Palmolive, and Tom’s of Maine. The stock continues to have a $90 price target and a Buy recommendation from Argus analyst Christopher Graja. The business is in a good position to combat inflation by boosting the cost of its consumer essentials. Currently, Chevron Corporation seems to be a good deal. The stock’s trailing 12-month PE ratio is 13.26, and it has given investors a 32.78 percent profit. Historically, the energy sector has held up well even when there has been inflation. For more details, click 10 Stocks To Profit From Inflation.
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