In this article, we take a look at 10 set-it-and-forget-it stocks to buy according to financial media. If you want to see more set-it-and-forget-it stocks to buy according to financial media, go directly to 5 Set-It-and-Forget-It Stocks to Buy According to Financial Media.
Some stocks of leading companies are forever stocks in the eyes of many in the financial media.
Those set-it-and-forget-it stocks have substantial scale and are very well known.
They have been around for a while and they very likely will be around for a long time in the future too.
Some of the leading companies rank among America’s leading banks and thus are very important in terms of the American economy and the future of American growth. If America does well and those leading banks maintain their market share, those leading banks will likely do well in the long term.
Some of the leading companies are what the financial media regards as ‘Big Tech’. Those companies are huge profitable companies with substantial resources.
Many of those big tech companies are also leaders in AI since they are the ones with the computing power, data, and financial resources.
Companies like Microsoft Corporation (NASDAQ:MSFT) and Alphabet Inc. (NASDAQ:GOOG) are currently in an AI war, for instance. Late last year, OpenAI launched its ChatGPT AI chatbot which has offered substantial utility to many users even if it makes mistakes. Microsoft Corporation (NASDAQ:MSFT) previously invested $1 billion into OpenAI in 2019 and the company agreed to invest another $10 billion in 2023.
Furthermore, Microsoft Corporation (NASDAQ:MSFT) is planning to incorporate ChatGPT into Bing to potentially gain market share from Alphabet Inc. (NASDAQ:GOOG)’s Google.
In response, Alphabet Inc. (NASDAQ:GOOG)’s Google is planning on launching multiple AI products this year, including its own AI search tool, Bard. Although Bard also makes mistakes, both will improve over time as the technology advances.
Given its leading market share in cloud computing, Amazon.com, Inc. (NASDAQ:AMZN) likely will help power the computer processing of many AI applications in the future. Companies like Meta Platforms, Inc. (NASDAQ:META) and Apple Inc. (NASDAQ:AAPL) have invested substantial amounts into AI technologies and will likely have new AI incorporated products and services of their own in the future as well.
Some other leading companies that the financial media likes are leading consumer staple conglomerates such as The Procter & Gamble Company (NYSE:PG) and Johnson & Johnson (NYSE:JNJ) that have long histories of increasing their annual dividends through multiple recessions.
While the set-it-and-forget-it leading companies in the market have compelling qualities in the long term, they still have downside if the economy worsens or if their results do not meet expectations. As a result, it could be a good idea for long term investors to own a well diversified portfolio of leading stocks across many different sectors.
Photo by Bryan Angelo on Unsplash
Methodology
For our list of 10 Set-It-and-Forget-It Stocks to Buy According to Financial Media, we selected the stocks that have been highly regarded by the financial media as stocks that could do well in the long term.
For those of you interested, check out 15 Stocks That Have Increased Their Dividends for Over 25 Years.
10 Set-It-and-Forget-It Stocks to Buy According to Financial Media
10. Goldman Sachs Group, Inc. (NYSE:GS)
Market Capitalization as of 2/10: $125.73 billion
Although it isn’t one of the big four biggest American banks, Goldman Sachs Group, Inc. (NYSE:GS) is Wall Street’s most prestigious investment bank. As a result, Goldman Sachs Group, Inc. (NYSE:GS) is viewed by many in the financial media as the leading bank to the world’s rich and powerful. Being a leading bank to the rich and powerful can be a pretty good business to be in the long term even if Goldman Sachs Group, Inc. (NYSE:GS) employees are very well paid. In the last ten years, the stock of the leading investment bank has more than doubled. As of February 10, Goldman Sachs Group, Inc. (NYSE:GS) also has a dividend yield of 2.69%.
Alongside Alphabet Inc. (NASDAQ:GOOG), Microsoft Corporation (NASDAQ:MSFT), and Apple Inc. (NASDAQ:AAPL), Goldman Sachs Group, Inc. (NYSE:GS) is a set-it-and-forget-it stock to buy according to financial media.
9. Bank of America Corporation (NYSE:BAC)
Market Capitalization as of 2/10: $285.44 billion
Bank of America Corporation (NYSE:BAC) is one of the ‘big four’ American banks with a market capitalization of $285.44 billion, ranking #9 on our list of 10 Set-It-and-Forget-It Stocks to Buy According to Financial Media. Given its scale and importance in the financial sector, many in the financial media view big banks like Bank of America Corporation (NYSE:BAC) as systematically important. Although being systemically important doesn’t mean good returns, Bank of America Corporation (NYSE:BAC) nevertheless does also have substantial normalized earnings power and management is returning capital back to shareholders with a dividend yield of 2.47% as of 2/10. On average, analysts expect the bank to earn $3.12 per share for 2022, $3.48 per share in 2023, $3.76 per share in 2024, and $4.23 per share in 2025.
8. The Procter & Gamble Company (NYSE:PG)
Market Capitalization as of 2/10: $326.18 billion
The Procter & Gamble Company (NYSE:PG) is viewed by many in the financial media as a Dividend Aristocrat or a stock that has raised its annual dividend for at least 25 straight years. In terms of its dividend, The Procter & Gamble Company (NYSE:PG) has actually raised its annual dividend for 67 straight years, meaning the leading consumer staple has been financially strong enough to increase payouts through multiple recessions. Although higher inflation has been a headwind for demand for The Procter & Gamble Company (NYSE:PG) recently, the company has long term earnings power if inflation normalizes.
7. JPMorgan Chase & Co. (NYSE:JPM)
Market Capitalization as of 2/10: $413.70 billion
JPMorgan Chase & Co. (NYSE:JPM) is regarded by many in the financial media as one of America’s best big banks given the company’s strong profitability and arguably great CEO in Jamie Dimon. Like Bank of America Corporation (NYSE:BAC), JPMorgan Chase & Co. (NYSE:JPM) is a systemically important institution, giving it more importance in the media. Although an economic slowdown or recession could decrease earnings in the near term, JPMorgan Chase & Co. (NYSE:JPM) has long term EPS growth potential given its earnings power and eventual stock buybacks which could begin as early as this year.
6. Johnson & Johnson (NYSE:JNJ)
Market Capitalization as of 2/10: $423.94 billion
Johnson & Johnson (NYSE:JNJ) is viewed by the financial media as another leading Dividend Aristocrat that has increased its annual dividend for at least 25 consecutive years. In Johnson & Johnson (NYSE:JNJ)’s case, the healthcare conglomerate has actually increased its annual dividend 61 consecutive years. Although shares of the stock are down 5.45% in the last year, Johnson & Johnson (NYSE:JNJ) increased its full year 2022 sales by 1.3% year over year to $94.9 billion and adjusted diluted earnings per share rose 3.6% year over year to $10.15 per share. Shares currently trade for a forward P/E of 14.84, which could be attractive in terms of the long term if the conglomerate maintains its market share.
Like Johnson & Johnson (NYSE:JNJ), Alphabet Inc. (NASDAQ:GOOG), Microsoft Corporation (NASDAQ:MSFT), and Apple Inc. (NASDAQ:AAPL) are set-it-and-forget-it stocks to buy according to financial media.
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Disclosure: None. 10 Set-It-and-Forget-It Stocks to Buy According to Financial Media is originally published on Insider Monkey.
