3 Stocks to Make Your Portfolio Recession ReadyDavid Jagielski | October 26, 2019| If you’re worried about a recession coming up, there are ways that you can help strengthen your portfolio. For one, investing in some good, quality companies that have recurring customers and strong business models can provide a lot of stability. And stocks that pay dividends can also help minimize potential losses along the way. Below are three stocks that could be good buys for both of those reasons.
AltaGas (TSX:ALA) has had a great year in 2019, and although it hasn’t made up for the challenging one that it had in 2018, the stock can offer a lot of potential for investors that buy its shares today. At a price-to-earnings multiple of around 18, and the company having a strong utility business with lots of recurring customers, stability is certainly one of its strengths.
The company is a lot different from years past, as it is now focused more on its U.S. business, and it also cut it dividend significantly. However, with a yield of around 5%, it’s still a fairly good dividend for income investors, especially with payments being made on a monthly basis. And if the company can continue producing strong financial results, it’s possible we could see dividend payments get a boost as well.
With the stock still trading close to its book value, AltaGas could be a good deal at its current price.