CNBC’s Jim Cramer on Wednesday told investors to consider adding stocks of well-established consumer packaged goods companies to their portfolios.
“No one is defending what actually works: the old consumer packaged goods names we all know,” he said.
Cramer highlighted the latest quarterly results of three companies as examples of why investors should have such stocks on their shopping lists:
“I bet we get something similar from him Bristol MyersAnd the coca cola And the Eli Lilly [when they report earnings]” He said.
Kramer also reiterated two points he’s made throughout this year: investing in boring companies with strong balance sheets and avoiding money-losing companies likely to struggle in a recessionary environment.
“The stocks that historically have held up best in downturns have lost in cabinet reshuffle—high-quality companies, good capital with good balance sheets, big buybacks, and meaningful dividends.” He said.
Disclaimer: Cramer’s Charitable Trust owns shares in Procter & Gamble, Johnson & Johnson, and Eli Lilly.