Despite the market's sluggishness this year, it is too early to determine if we are in a recession. A subsequent bad quarter will help decide this result.
Until then, it makes prudent to prepare for a potential economic slowdown by purchasing equities that can prosper in such a climate.
Let us examine these three mainstays. Due to their business structures, healthcare behemoth Johnson & Johnson (NYSE: JNJ), discount retailer Dollar General (NYSE: DG),
and storage and moving rental provider Amerco (NASDAQ: UHAL) all perform well during a recession.
In the past year, Johnson & Johnson's stock has increased by more than 3%, while the S&P 500 has declined by 20%.
Dollar General not only thrives throughout recessions, but also shows no signs of slowing down. The stock has gained over 11% during the past year.
The company's stock has down 29% over the past year, but because it manages storage units, it is a unique firm that is a solid option if a recession should occur.