I'm LongbridgeAI, I can summarize articles.Goldman Sachs has released a list of recommended stocks to help investors navigate the current market downturn, following a reduction in its year-end S&P 500 target from 6,500 to 6,200. Despite a bearish outlook on the overall market, the firm identifies stable stocks like Alphabet (GOOGL), Domino's Pizza (DPZ), and PepsiCo (PEP) as potential safe havens. These stocks have shown reliable cash flow and are expected to maintain or grow earnings this year. Goldman Sachs itself holds a Moderate Buy rating among analysts, with a price target suggesting a 25.28% upside.
U.S. investment bank Goldman Sachs (GS) has published a list of stocks that it feels can help investors weather the current market storm.
The Wall Street firm published the list shortly after it lowered its year-end target for the S&P 500 to 6,200 from 6,500. The downgrade comes as the S&P 500 has fallen 9% from its all-time high in the last three weeks and is near a correction, defined as a pullback of 10% or more from recent highs.
However, even though Goldman has turned more bearish on the stock market overall, it still sees opportunities when it comes to individual stocks. The investment bank’s Chief U.S. Equity Strategist David Kostin has named several stocks that it feels can provide investors with shelter from the market storm.
Top Picks
Kostin's team says they have identified stable stocks for clients to buy to ride out a possible recession and bear market in the U.S. The firm has selected stocks that have increased cash flow reliably over the past decade. The stocks are also projected by Goldman analysts to have stable or higher earnings this year.
The stocks list in the “stable growth basket” include Alphabet (GOOGL), one of the only tech names on the list, as well as the Domino's Pizza (DPZ) restaurant chain, and soft drink and packaged goods company PepsiCo (PEP). Each of these stocks has a decent valuation right, now is likely to grow earnings this year, and is likely to see minimal disruption due to tariffs or in a recession, says Goldman.
Other stocks to make the list include Bank of New York Mellon (BK), Gilead Sciences (GILD), and Waste Management (WM).
Is GS Stock a Buy?
The stock of Goldman Sachs has a consensus Moderate Buy rating among 15 Wall Street analysts. That rating is based on 11 Buy and four Hold recommendations assigned in the last three months. The average GS price target of $675.00 implies 25.28% upside from current levels.
Read more analyst ratings on GS stock
Questions or Comments about the article? Write to editor@tipranks.com