We recently published a list of 10 Oversold Stocks to Buy in 2025 Amid Inflation Fears. In this article, we are going to take a look at where Newell Brands Inc. (NASDAQ:NWL) stands against other oversold stocks to buy in 2025 amid inflation fears.
The stock market continues to face significant volatility, with major indices continuing their decline from last week. The S&P 500 is down nearly 2%, while the Nasdaq is equally struggling at over 2.5% in the red.
The implementation of new tariffs had already spooked the market. However, it was dealt an additional blow as the core Personal Consumption Expenditures index reading came in hotter than expected. Inflation and recession concerns are dominating the market, but this also presents an opportunity for outperformance.
Stocks that are oversold as a result of the current dip present a great opportunity for outperformance in 2025. We decided to come up with a list of such stocks.
To ensure that these stocks were suitable for a bear market, were it to persist, we also added an additional criterion of a strong dividend yield so that investors can accumulate dividends while they wait for a market turnaround. For this list, we only considered stocks with a market cap of at least $2 billion that are down considerably since the start of the year.
A technician inspecting a commercial kitchen appliance in a factory line.
Newell Brands Inc. (NASDAQ:NWL)
Newell Brands Inc. (NASDAQ:NWL) is the manufacturer, designer, source, and distributor of commercial and consumer products. It operates through the Learning and Development, Outdoor and Recreation, and Home and Commercial Solutions segments. The company’s stock is experiencing a downturn, falling by 35% this year.
After announcing Q4 results last month, the stock tanked due to poor guidance. Net sales are expected to drop by 4% to 2% due to business exits and foreign exchange, while core sales are projected between -2% to +1%. Operating margins are anticipated to grow by 9% to 9.5%.
Peterson outlined:
“We expect sequential improvement, with the first half being down low single digits and the back half turning slightly positive.”
It is this inflection at the halfway stage of the year that investors can bet on. Let’s not forget that Newell Brands (NASDAQ:NWL) is insulated from the impact of tariffs, having a considerable manufacturing base inside the US, as pointed out by the CEO during the earnings call Q&A:
“We have significant U.S. manufacturing capability, including writing, coolers, food storage, and candles.”
Overall, NWL ranks 1st on our list of oversold stocks to buy in 2025 amid inflation fears. While we acknowledge the potential of NWL as a leading investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as NWL but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
