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3 Bulletproof Stocks to Keep Your Portfolio Safe in 2023

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Despite cooling inflation, the continued tightness in the labor market is likely to keep the Fed on track with its aggressive monetary policy for the rest of the year. With the market volatility expected to remain, fundamentally strong stocks Caterpillar (CAT), ADT (ADT), and Ingles Markets (IMKTA) might be ideal buys to keep your portfolio safe. These stocks pay a reliable dividend. Keep reading.


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Despite aggressive efforts by the Federal Reserve to cool demand for workers, the number of Americans filing new claims for unemployment benefits fell unexpectedly last week, pointing to another month of solid job growth and continued labor market tightness.

Moreover, while inflation is likely to drop further, considering its gradual decline over the past months, it remains above the Fed’s 2% target, leaving a slim chance of rate cuts anytime soon.

Furthermore, as per the majority of economists in a Reuters poll, the Federal Reserve will end its tightening cycle after a 25-basis-point hike at each of its next two policy meetings and then likely hold interest rates steady for at least the rest of the year.

Given the macro uncertainties, fundamentally strong stocks Caterpillar Inc. (CAT), ADT Inc. (ADT), and Ingles Markets, Incorporated (IMKTA) might be ideal buys to keep your portfolio safe in 2023. These stocks pay a reliable dividend.

Caterpillar Inc. (CAT)

CAT manufactures and sells construction and mining equipment, diesel and natural gas engines, and industrial gas turbines. The company operates through its five segments: Construction Industries; Resource Industries; Energy & Transportation; Financial Products; and All Others.

On January 6, 2022, CAT announced an investment in Lithos Energy, Inc., a battery technology company based in the United States that manufactures lithium-ion battery packs.

CAT’s investment in Lithos further demonstrates the company’s commitment to supporting customers in the energy transition with lower-carbon advanced power technologies for its hybrid and full-electric machines and power generation products.

On December 15, 2022, CAT announced a collaboration with Luck Stone, the nation’s largest family-owned and operated producer of crushed stone, sand, and gravel.

Denise Johnson, President of Resource Industries at CAT, said, “CAT has a long-standing relationship with Luck Stone, and we look forward to working together to bring the demonstrated benefits of increased safety and productivity to the quarry industry.”

CAT’s annual dividend of $4.80 yields 1.95% on prevailing prices, and its four-year average dividend yield is 2.45%. Also, the company has raised its dividend payouts for 29 consecutive years.

The stock’s trailing-12-month P/E multiple of 17.86x is 7.6% lower than the 19.33x industry average.

CAT’s total sales and revenues increased 20.9% year-over-year to $14.99 billion in the third quarter that ended September 30, 2022. Profit attributable to common shareholders grew 43.1% from the year-ago value to $2.04 billion, while its profit per common share increased 48.8% from its year-ago value to $3.87.

The consensus EPS estimate of $4.01 for the fiscal fourth quarter ending December 2022 indicates a 49.2% improvement year-over-year. The consensus revenue estimate of $15.81 billion represents a 14.6% increase from the same quarter last year.

Additionally, CAT has topped consensus EPS estimates in each of the trailing four quarters and consensus revenue in three of the trailing four quarters, which is impressive.

The stock has gained 36.9% over the past six months and 10.9% over the past year to close the last trading session at $245.75.

CAT’s POWR Ratings reflect its promising outlook. The stock has an overall rating of B, which translates to Buy in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, with each factor weighted to an optimal degree.

It has a B grade for Sentiment. Within the B–rated Industrial-Machinery industry, it is ranked #13 out of the 80 stocks.

To see additional POWR Ratings for Value, Momentum, Quality, Growth, and Stability for CAT, click here.

ADT Inc. (ADT)

ADT provides security, interactive, and innovative home solutions to serve residential, small business, and commercial customers in the United States. Its segments include Consumer and Small Business (CSB); Commercial; and ADT Solar business (Solar).

On October 13, 2022, ADT announced it had issued and sold in a private placement to State Farm 133.3 million shares (approximately 15% stake) of ADT common stock for a gross purchase price of $1.2 billion.

This deepens the partnership between the companies, initially announced on September 6, which expect to deliver safe, smart, and sustainable solutions through innovative offerings, unrivaled safety, and premium experiences.

While it has an annual dividend of $0.14 which yields 1.60% on prevailing prices, its four-year average dividend yield is 4.42%.

In terms of forward EV/EBITDA, it is trading at 7.55x, 22.9% lower than the industry average of 9.79x. Its forward Price/Book multiple of 2.27 is 15.6% lower than the 2.69 industry average.

ADT’s total revenue increased 21.8% year-over-year to $1.60 billion in the third quarter of the fiscal year 2022 that ended September 30, while the company’s adjusted EBITDA grew 11.9% year-over-year to $620 million.

The company reported an adjusted net income of $83 million or $0.10 per share, compared to an adjusted net loss of $54 million or $0.07 per share in the previous-year quarter.

Analysts expect ADT’s revenue for the fiscal first quarter ending March 2023 to grow 9.6% year-over-year to $1.69 billion. Also, its EPS is likely to rise 31.1% year-over-year to $1.12 in the same quarter.

ADT’s stock has gained 22.8% over the past six months to close the last trading session at $8.73.

Its strong fundamentals are reflected in its POWR Ratings. ADT has an overall rating of B, translating to a Buy in our POWR Ratings system.

It has an A grade for Growth and a B for Stability and Sentiment. ADT is ranked #4 out of 60 stocks in the Home Improvement & Goods industry.

Click here to see the additional ratings of ADT for Value, Momentum, and Quality.

Ingles Markets, Incorporated (IMKTA)

IMKTA operates a chain of supermarkets in the southeast United States. It offers food products, non-food products, and private-label items. Its market capitalization is $1.86 billion.

Its annual dividend of $0.66 yields 1.70% on the current market prices. It has a four-year average yield of 1.36%.

In terms of its trailing-12-month EV/Sales, the stock is trading at 0.38x, 79% lower than the industry average of 1.81x. The stock’s trailing-12-month EV/EBIT multiple of 5.75 is 68.1% lower than the industry average of 18.00.

During the fiscal 2022 fourth quarter ended September 24, 2022, IMKTA’s net sales increased 8.7% year-over-year to $1.45 billion, while its gross profit grew 6.9% from the year-ago value to $364.78 million. The company reported an EPS of $3.69.

Street expects IMKTA’s revenue to increase 3% year-over-year to $4.70 billion in 2023.

The stock has gained 19.4% over the past year to close the last trading session at $94.67.

It is no surprise that IMKTA has an overall A rating, which equates to a Strong Buy in our proprietary rating system. Also, it has an A grade for Quality and a B for Value and Stability. IMKTA is ranked first among 39 stocks in the A-rated Grocery/Big Box Retailers industry.

Beyond what we’ve stated above, we have also given IMKTA grades for Growth, Momentum, and Sentiment. Get all IMKTA ratings here.


CAT shares rose $0.26 (+0.11%) in premarket trading Friday. Year-to-date, CAT has gained 3.18%, versus a 1.86% rise in the benchmark S&P 500 index during the same period.


About the Author: Kritika Sarmah

Her interest in risky instruments and passion for writing made Kritika an analyst and financial journalist. She earned her bachelor’s degree in commerce and is currently pursuing the CFA program. With her fundamental approach, she aims to help investors identify untapped investment opportunities.

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The post 3 Bulletproof Stocks to Keep Your Portfolio Safe in 2023 appeared first on StockNews.com

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Wall Street’s Most Connected Black Woman Has An Ingenious Idea To Narrow The Wealth Gap

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This story appears in the December/January 2023 issue of Forbes Magazine. Subscribe

To boost more talented minority executives into the corporate stratosphere, Ariel Investments’ Mellody Hobson wants to install them at the top of existing businesses—and connect them with the customers and capital to succeed.

Asa sixth grader in Chicago public schools in 1980, Mellody Hobson was mortified by the snaggletooth that protruded when she smiled. It simply didn’t fit the future she envisioned for herself.

She asked her friends who wore braces for the name of their orthodontist, and without her mother knowing, made an appointment, walking from school to his office. He said she’d have to wear braces for years and that it would cost $2,500—a monumental sum for Hobson’s struggling single mother, who was raising her and her five siblings in a home where money was so tight the electricity was periodically shut off because of unpaid bills. No matter. That tooth was going to be fixed: Hobson and the orthodontist agreed to a payment plan of about $50 per month.

In eighth grade, determined to go to one of Chicago’s best private high schools, she asked friends where they were applying, called the schools and arranged to tour them with her mother in tow. She wound up at St. Ignatius College Prep on a scholarship.

In 2020, in the wake of the nationwide George Floyd protests, JPMorgan Chase CEO Jamie Dimon wanted to aid Black businesses. He called Hobson, by then a JPMorgan board member, hoping to tap into that same sheer force of will. “I said, ‘We really need a sustainable investment effort—totally for-profit—to invest in minority companies,’ ” Dimon recalls. He told her he wanted Ariel Investments, where Hobson is co-CEO and president, involved, then rattled off other minority-owned businesses as potential partners.

Hobson was characteristically blunt but upbeat. “I said to him, ‘Jamie, [some of] these companies are gone,’ which he did not know. ‘But I think I have an idea.’ ” She drafted a four-page memo outlining “Project Black” and emailed it to Dimon on September 8, a week after his initial call.

The idea: Ariel would form a private equity fund to invest in middle-market companies and provide them the capital—and, more crucially, the contacts—needed to sell to large corporations eager to diversify their supply chains. Dimon was sold instantly. “When people talk about Black businesses, they talk about access to capital, access to capital, access to capital,” Hobson says. “Access to customers may be more important.” Currently, a meager 2% of corporate spending goes to minority-owned suppliers.

There’s another conventional wisdom–busting aspect of this strategy. Black entrepreneurs start lots of businesses, but very few grow large enough to become suppliers to the Walmarts of the world; of the 500 or so private companies in the U.S. with more than $1 billion a year in sales, just five are Black-owned.

Project Black aims to leapfrog the size barrier by acquiring companies with $100 million to $1 billion in sales and, if they’re not already minority-run, installing Black and Latino executives to manage them—“minoritizing” the companies, as Hobson puts it. These firms should then be well positioned to acquire smaller minority-owned enterprises and grow into competitive top-tier suppliers—satisfying big companies’ supply chain needs and diversity goals at the same time.

Hobson “is as comfortable with a part-time barista as she is with any high-profile person,” says Starbucks’ Howard Schultz. 


On February 1, Ariel closed its first Project Black fund with $1.45 billion in commitments from AmerisourceBergen, Amgen, Lowe’s, Merck, Next-Era, Nuveen, Salesforce, Synchrony, Truist, Walmart, the Qatar Investment Authority, Hobson’s family foundation and former Microsoft CEO Steve Ballmer, who put $200 million in. That’s all on top of an up to $200 million pledge that JPMorgan made in 2021 to get the ball rolling.

That $1.45 billion is more than five times the size of the average first-time private equity fund and brings assets under management at Ariel, including its mutual funds and separately managed accounts, above $16 billion. Forbes figures Hobson’s nearly 40% stake in what is the nation’s oldest (founded 1983) Black-owned investment shop is worth $100 million. (John W. Rogers Jr., the founder, chairman and co-CEO, owns 34%.)

Like so much else the 53-year-old Hobson has done during her one-of-a-kind career, the Project Black memo was neither off-the-cuff nor a solo production. Instead, it was built on years of relentless hard work, analysis and networking. After the May 2020 murder of Floyd by a Minneapolis policeman, Hobson organized Sunday Zoom calls with a cadre of top Black business executives to brainstorm ways that capitalists could narrow the racial wealth gap—and make a profit. “I said, ‘This hasn’t been done before.’ ”

One Zoom regular was Leslie A. Brun, the 70-year-old Haiti-born founder and former head of Hamilton Lane, which now oversees $824 billion in alternative investments. He’s CEO (and, with Hobson, cofounder) of Ariel Alternatives, which is running Project Black. “We could change the paradigm and the conversation about what it means to be a minority-owned business,” he says, “because if you look at the federal definition, it’s small and disadvantaged. We want to be large and advantaged.”

Among value investing firms, Ariel Investments is known for a patient, contrarian buy-and-hold approach. Turtles and tortoises—metal figurines, wooden replicas, stone sculptures and tortoiseshell imprints—decorate nearly every office and conference room in both its Chicago headquarters and Hobson’s main office in San Francisco’s Presidio.

Yet Hobson’s rise at Ariel was anything but slow. Founder Rogers hired her right out of Princeton and let her know, when she was just 25, that he planned to make her its president by the time she was 30. “Whenever you have a star, you want them to see a career path—that’s basic business 101,” says Rogers, who first spotted Hobson’s promise when she was a high school senior and he was recruiting Chicago students for Princeton.

Even in grade school, Hobson fixated on education as her ticket to a secure future. She was by far the youngest of Dorothy Ashley’s six children—her oldest sibling is more than two decades her senior. Hobson describes her mother as loving, optimistic (sometimes unrealistically so) and hardworking. Ashley tried to make a living renovating condos, but between discrimination and spotty money management skills, she couldn’t always pay the bills. Hobson’s childhood was peppered with multiple evictions and utility shut-offs.

“It felt extremely insecure,” says Hobson, who has become a powerful advocate for financial literacy. “I ended up knowing way more about our life than any child should know. I knew what our rent was. I knew when our phone bill was late.”

Hobson had been accepted to both Harvard and Princeton and was set on Harvard until she attended a Princeton recruitment dinner, organized by Rogers, at the Chicago Yacht Club. Venture capitalist Richard Missner sat down beside her and declared that he intended to change both her choice of college and her life. He began calling her every day, eventually inviting her to a breakfast for one of his Princeton classmates—then-U.S. Senator and former New York Knicks star Bill Bradley—seating her next to the guest of honor.

“Mellody made a very deep impression on me,” Bradley says. “She is where she is today because of the values she held as a high school senior, her incredible discipline and a positive energy level that made people want to be around her.” Hobson chose Princeton, and a lasting friendship was born.

When Bradley ran for the Democratic presidential nomination in 2000, Hobson was a tireless fundraiser, impressing another Bradley backer: Starbucks billionaire Howard Schultz. Hobson joined Starbucks’ board in 2005 and became nonexecutive chair in 2021, making her the only Black woman currently heading an S&P 500 board.

“The currency of the way she carries herself is steeped in emotional intelligence,” Schultz says. “Mellody is always present. She puts on no airs. She’s as comfortable with a part-time barista as she is with any high-profile person you can mention.”

Schultz introduced Hobson to DreamWorks Animation CEO Jeffrey Katzenberg, who in turn recruited her for his board. Hobson became chair of DreamWorks in 2012 and in 2016 negotiated its sale for $3.8 billion (a 50% premium to its stock price before talks became public) across from Comcast CEO Brian Roberts, a famously tough bargainer. “She had never bought or sold a company before, but you would have thought she had been doing this her whole life,” Katzenberg marvels.

The movie connection presumably gave Hobson something to talk about when she met Star Wars creator George Lucas at an Aspen, Colorado, business conference in 2006. On their first dinner date they talked about their shared commitment to promoting educational access. When she married the billionaire in 2013 at his Skywalker Ranch in California, Bradley walked her down the aisle. (Lucas, Hobson and their 9-year-old daughter have their primary homes in California, as well as a penthouse in Chicago.)

It’s a lifelong pattern: One A-list friend or business associate is wowed and introduces Hobson to another, who repeats the process. She met Formula 1 champion Sir Lewis Hamilton in 2007 through Lucas, a racing enthusiast; she now calls the British driver her “little brother” and included him in the new Denver Broncos ownership group (Hobson owns 5.5%) headed by billionaire Walmart heir Rob Walton.

Former Meta COO Sheryl Sandberg and Hobson bonded when both served on Starbucks’ board. Hobson was there for her, Sandberg says, when her husband died suddenly from a heart condition in 2015. Tennis great Serena Williams met Hobson through a mutual friend, Grammy-winning singer Alicia Keys. “We totally hit it off.

I admired what she was talking about,” Williams says. “Now, it’s so funny. I don’t remember anything she said—I just remember being totally enamored by how authoritative she was. For me, it’s always so exciting to see someone like her, in that position, to be so confident to have that aplomb when she walks into a room.”

No relationship has been more important to Hobson than her apprenticeship-turned-partnership with Ariel founder John W. Rogers Jr. The 64-year-old Rogers grew up in a different world: His father was a Tuskegee Airman and a judge. His mother was the first Black woman to graduate from the University of Chicago Law School and the granddaughter of one of the architects of Greenwood, the prosperous Black community in Tulsa destroyed by a white riot in 1921. Rogers captained the Princeton basketball team when Craig Robinson, Michelle Obama’s brother, was a freshman on it. He later became close to the Obamas, chairing the president-elect’s first inauguration committee and giving him Ariel’s offices to work from after his victory.

When Hobson came home from Princeton for Christmas break her sophomore year, Rogers invited her to meet his mother, Jewel Lafontant, at her Water Tower Place apartment. “I was in this beautiful apartment, and it just seemed so normal to them, and they were Black, which I had not ever seen before,” Hobson says. “The bar got reset in that moment.”

While interning at Ariel the following summer, Hobson didn’t hide her ambition. On Saturday mornings, Rogers would go to a McDonald’s downtown—on Wabash Avenue under the train tracks, Hobson remembers—order two biscuits with butter and a large Diet Coke and sit there reading a stack of newspapers. Hobson would show up with the same stack of papers and read them in the same order—just so she’d be prepared in case he commented on what he was reading.

“She was always eager to jump in the car wherever I was going,” Rogers says. He helped her get an internship with T. Rowe Price the next summer, and she interviewed with big Wall Street firms for a job after graduating from Princeton in 1991. But she joined tiny Ariel instead. Rather than being a small cog in a huge machine, she wanted to start her career in the room where decisions were made.

Rogers manages Ariel’s stock picking and investment strategies; Hobson oversees everything else. She became co-CEO in 2019, the same year she bought 14% of Rogers’ ownership stake—making her the largest shareholder in Ariel, with 39.5%. (Read more about Rogers’ current stock picks here.)

In its 40 years, Ariel has gone through some rough patches—the most harrowing during the 2008 global financial crisis, when the Ariel Fund, its largest, fell 48% and investors fled. The firm’s assets collapsed from $21 billion in 2004 to just $3.3 billion in March 2009, and it was forced to lay off 18 of its 100 employees. Hobson and Rogers visited their friend and mentor, billionaire investor Mario Gabelli, for advice. “Keep your seat belt fastened. Don’t sell the business,” Gabelli recalls telling them. “Don’t look for an equity partner. Keep it yourself and go full speed ahead.” They sent Gabelli a thank-you note, and after the Ariel Fund returned 63% in 2009, crushing its competition, he sent that note back to them in a frame with “I told you so” scrawled in big letters on top.

Project Black made its first investment last year, acquiring 52.5% of Utah-based Sorenson Communications from other private equity investors at an enterprise value of $1.3 billion. The two-decade-old company, with $837 million in sales in the year ended in September 2021, is the leader in services for the deaf and hard of hearing—providing everything from phone call captioning to sign-language interpreters. Sorenson’s new CEO is Jorge Rodriguez, a 53-year-old telecom veteran, who previously ran various subsidiaries for Mexican billionaire Carlos Slim’s América Móvil corporation.

In less than 12 months the company has gone from one person of color to 13 across its C-suite and boardroom. Sorenson is adding Spanish-language services and has agreed to acquire 70% of CQ Fluency, a minority-owned business with annual revenue of $45 million, that provides translation services to health insurers including Cigna, Aetna and UnitedHealth Group.

Over the next three years, Project Black plans to similarly buy, minoritize and expand companies in six to 10 other areas where it sees room for growth, based on its conversations with larger firms. It’s looking at financial and professional services, health care, technology, manufacturing and logistics. “We don’t want to be the provider of janitorial services,” emphasizes Ariel Alternatives CEO Leslie Brun. “We want to be in the mainstream of the economy and providing value-added services.”

Hobson and Brun aren’t just working their own C-suite contacts. Some of those original Sunday Zoom partici-pants are now advisors—people such as William M. Lewis, an Apollo partner who was chairman of investment banking at Lazard for 17 years ending in 2021, and James Bell, the former Boeing CFO whose board memberships include Apple. Naturally, Rogers, who sits on the boards of McDonald’s, Nike and the New York Times, is also an advisor.

Hobson, Brun and their backers throw around huge numbers about what Project Black and similar efforts can accomplish. Over the next decade, they forecast, their portfolio companies will generate an additional $8 billion to $10 billion in annual revenue while creating 100,000 jobs for underrepresented people. But that’s just the start. Some big corporations are talking about boosting purchases from minority-run suppliers from the current 2% to 10% or even 15%. That could translate to a trillion-dollar opportunity. The thesis, Steve Ballmer says, is that “there’s an untapped market” that “will not only benefit the community but will generate great returns for us as an investor.” Brun says he’ll consider Project Black a success if it spawns copycat investment funds.

Beyond the numbers, this is partly a networking play designed to match capital and people—which is, in essence, one of Hobson’s superpowers. Already, she says, “we’ve had people come to us and say ‘If you were to buy a business one day, maybe I could run it.’ ” She contrasts that with what she has long heard from big business. “So many times, especially in corporate America, they say they can’t identify the [minority] talent,” Hobson says. “We know them as friends. We know them up and down the food chain in corporate America. We know them as entrepreneurs. We know them as business leaders.”

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5 Ways to Expand Your Pet Sitting and Dog Walking Business

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In Rich Mintzer’s new book, Start Your Own Pet Business, the author expertly outlines everything you need to know to successfully launch a pet-based business. In this excerpt, we’ll look at ways to bring in new revenue streams that go beyond walking or sitting more furry clients.

Offer more services

If you really know your way around a pooch, these are some services that most dog owners are always in need of:

  • Grooming
  • Taxi service to veterinary and grooming appointments
  • Obedience training

Those are just a few of the possibilities. The good news about most of that list, and about a lot of services, is that your business incurs little in the way of additional costs per service. Typically, the cost to you is in time and perhaps a few supplies. Your real costs are in obtaining your own education and then any additional equipment you need to provide the service. It’s not likely all your customers will want to avail themselves of your new services, but some will. And voila! You’ve expanded

Selling products

The other way you can expand is to be a reseller of products that your existing customers might need. Many pet-related service providers find a product they really like and use on their own animals and then become a dealer for that product — certain kinds of leashes or collars, shampoo products, nutritional supplements, etc. This can be a great way to sell because your personal enthusiasm for the product comes across in a sincere way. Or you may find that your customers use some everyday products you could sell. This makes your customers’ lives a little easier and makes you some profit.

Some considerations for selling products:

  • Products have an upfront cost associated with them. Many companies require their dealers to buy a certain quantity each month to keep their dealership status and to
  • get the discount that you’ll need to make a profit on the item.
  • You need to have room to warehouse your supplies. With food, this warehousing can be very specific in terms of rodent-proofing.
  • Rather than trying to offer everything under the sun, find a niche market or a way to personalize the products. Perhaps you can provide customized frames and offer to print some of the million photos of poochie they have on their phone.

Related: Dive deeper with Start Your Own Pet Business on sale now

Night Watch or Off-Hour Feeding

Just because an animal hospital or pet store is closed does not mean the animals don’t need care. If you live in a populated enough area where several veterinary offices or pet stores are located, you may be able to make a whole business of off-hour service. This service could involve being the regular off-hour caretaker on certain days of the week. Or you could provide backup when the regular staff is sick or away. Care probably includes feeding, cleaning cages, and perhaps providing a bit of exercise to the animals. It definitely includes checking on each animal and reporting to the appropriate person if any animal seems unwell.

Doggie Day-Care Service

A new service that is becoming even more popular: doggie daycare. Working dog owners are using doggie daycare facilities like never before. It’s essentially multiple pet-sitting in one place of your choice. These facilities are intended for a working dog owner to drop off their dog in the morning and pick up the dog at the end of the workday. For this to go smoothly, you need to consider a number of things:

  • You will need play areas for the dogs. Actually, depending on the number of dogs you plan to take in at once, you’ll probably need several play areas. Not all dogs get along, and you want to sort them into groups that play well together.
  • The dogs need time to relax and take a break from playing with their buddies. You’ll need nap areas that are comfortable places to snooze, are warm in winter and cool in summer.
  • If you want to offer the best daycare, you should have a covered or indoor play area
  • so dogs can play in any weather.
  • This is not likely to be a business you will set up in your home. The liabilities, zoning laws, and so many other factors make it impractical unless you are only looking after two or three dogs. If you want to watch the herd, you’ll need to rent space. Then the question you’ll need to ask yourself is whether you can get enough regular clients to cover the costs of renting a space. Crunch the numbers carefully before moving forward; start out with three dogs at your house and see if you really want to branch out.

Offer classes

You may be able to expand your business at least a little by offering classes in pet care, pet first aid, basic obedience training, or other kinds of training. You’ll need to find a space that allows classes with pets to be conducted. Teaching can be a fun adjunct to your business, and it can bring in business as well! Plan your presentation in advance, practice, show your enthusiasm for pets as well as the subject you’re teaching. You should probably first try training some dogs for your clients free of charge until you get the hang of it. Once you feel you are proficient, you can start charging modest fees with new clients to also help them train their dogs. You should include some one-on-one work with the owner and the dog together. You can give private lessons or run a class—but you’d better be good at it. If you develop a reputation for successfully training dogs, you can make good money. People will pay $30 to $80 per class for dog training, so it might be worthwhile to hone your skills.

Related: Pet Lovers, Here’s How to Get Your Dream Business or Side Hustle Started

Other Home-Related Services

Extra services over and above feeding, cleaning cat litter boxes, and letting dogs out can bring in extra money from additional fees and create more of an appeal for your services. They can also attract new customers. Pet owners hiring a pet sitter are pleased to know that the same person is also willing to bring in the mail, water the plants, turn a few lights on or off, and generally help give the home the appearance of being occupied.

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5 No-Brainer Medical Stocks to Buy in 2023

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With expanding medical needs and technological advancements, the healthcare industry’s prospects look impressive. Moreover, healthcare stocks tend to perform relatively well, irrespective of economic conditions, thanks to the inelastic demand for their products and services. Therefore, we think Nature’s Sunshine Products (NATR), Abbott Laboratories (ABT), Humana (HUM), Molina Healthcare (MOH), and McKesson (MCK) are no-brainer stocks to buy in 2023. Read on.

The healthcare industry, which thrived during the COVID-19 pandemic, is likely to remain in the limelight amid growing health awareness, an aging population, and advanced technological breakthroughs.

Moreover, the increasing use of data analytics in healthcare and companies focusing on preventive care are boosting the industry. Also, amid the increasing penetration of smartphones, improved internet connectivity and advancement in healthcare IT infrastructure are helping to expand the digital healthcare market.

The global digital healthcare market is anticipated to grow at a CAGR of 23.7% until 2030.

Furthermore, the demand for healthcare companies’ products and services is inelastic, which makes them ideal holdings amid market turmoil. According to CNBC’s Jim Cramer, healthcare stocks have been reasonably stable in 2022 because they are recession-resistant or perform well regardless of broader economic situations.

Given the backdrop, investors could consider buying no-brainer medical stocks Nature’s Sunshine Products, Inc. (NATR), Abbott Laboratories (ABT), Humana Inc. (HUM), Molina Healthcare, Inc. (MOH), and McKesson Corporation (MCK), in 2023.

Nature’s Sunshine Products, Inc. (NATR)

Natural health and wellness company NATR primarily manufactures and sells nutritional and personal care products in Asia, Europe, North America, Latin America, and internationally.

On November 3, 2022, CEO Terrence Moorehead said, “We remain confident that we will navigate this unique period of volatility and uncertainty, bolstered by our strong balance sheet and team of experts on the ground.”

NATR’s forward EV/Sales of 0.38x is 78.4% lower than the industry average of 1.76x. Its forward Price/Sales of 0.46x is 59.4% lower than the industry average of 1.13x.

NATR’s trailing-12-month gross profit margin of 71.59% is 128.2% higher than the industry average of 31.37%. Its trailing-12-month ROTA of 4.96% is 48% higher than the industry average of 3.60%.

NATR’s selling, general, and administrative expenses came in at $36.79 million for its third quarter ended September 30, 2022, down 6.9% year-over-year. Its total current liabilities came in at $63.89 million for the period ended September 30, 2022, compared to $76.67 million for the period ended December 31, 2021.

NATR’s revenue is expected to rise marginally year-over-year to $420.61 million in the current fiscal year 2023. Its EPS is estimated to grow 280% year-over-year to $0.18 in 2023. Over the past month, the stock has gained 26.9% to close the last trading session at $10.56.

NATR’s strong fundamentals are reflected in its POWR Ratings. The stock’s overall A rating indicates a Strong Buy in our proprietary rating system. The POWR Ratings assess stocks by 118 different factors, each with its own weighting.

NATR has an A grade for Value and Quality and a B for Stability and Sentiment. In the B-rated Medical – Consumer Goods industry, it is ranked first among nine stocks. Click here for the additional POWR Ratings for Growth and Momentum for NATR.

Abbott Laboratories (ABT)

ABT discovers, develops, and sells healthcare products focused on cardiovascular, diabetes care, diagnostics, neuromodulation, nutrition, and medicine worldwide. Its products are sold directly to wholesalers, distributors, government agencies, healthcare facilities, pharmacies, and independent retailers.

On January 26, 2023, ABT announced that the FDA approved its ProclaimTM XR spinal cord stimulation (SCS) device for treating painful diabetic peripheral neuropathy (DPN), a devastating consequence of diabetes. The sale of this device is expected to expand ABT’s revenue margin.

ABT’s trailing-12-month gross profit margin of 56.53% is 1.9% higher than the industry average of 55.48%. Its trailing-12-month EBITDA margin of 27.58% is 640.2% higher than the industry average of 3.73%.

ABT’s net sales increased marginally year-over-year to $43.65 billion for its fiscal year that ended December 31, 2022. Its diagnostics sales came in at $16.58 billion, up 6% year-over-year.

Street expects ABT’s revenue to increase 5.2% year-over-year to $42.12 billion in 2024. Its EPS is estimated to grow 9.9% year-over-year to $4.87 in 2024. It surpassed EPS estimates in all four trailing quarters. Over the past three months, the stock has gained 11.7% to close the last trading session at $110.55.

ABT has an overall rating of B, which equates to a Buy in our POWR Ratings system.

It has a B grade for Value, Stability, Sentiment, and Quality. ABT is ranked #9 out of 148 stocks in the Medical – Devices & Equipment industry. Click here to see the additional POWR Ratings for ABT (Growth and Momentum).

Humana Inc. (HUM)

HUM and its subsidiaries operate as a health and well-being company in the United States. It operates through three segments: Retail; Group and Specialty; and Healthcare Services.

HUM’s forward EV/Sales of 0.63x is 84.6% lower than the industry average of 4.11x. Its forward Price/Sales of 0.66x is 86% lower than the industry average of 4.71x.

Its trailing-12-month EBITDA margin of 4.81% is 29.1% higher than the industry average of 3.73%, while its trailing-12-month asset turnover ratio of 1.90% is 458.9% higher than the industry average of 0.34%.

HUM’s total revenues came in at $22.80 billion for the third quarter that ended September 30, 2022, up 10.2% year-over-year. Its premium revenue came in at $21.47 billion, up 8% year-over-year. Moreover, its income from operations increased 86.6% year-over-year to $1.17 billion.

HUM’s revenue is expected to increase 9.7% year-over-year to $102.05 billion in the fiscal year 2023. Its EPS is estimated to grow 11.8% year-over-year to $28.01 in 2023. It surpassed EPS estimates in all four trailing quarters. The stock has gained 30.4% over the past year to close the last trading session at $511.70.

It’s no surprise that HUM has an overall A rating equating to a Strong Buy in our POWR Ratings system.

It has a B grade for Growth, Value, and Quality. It is ranked #3 in the A-rated Medical – Health Insurance industry. Click here for the additional POWR Ratings for Stability, Momentum, and Sentiment for HUM.

Molina Healthcare, Inc. (MOH)

MOH offers managed healthcare services under Medicaid and Medicare programs and through state insurance marketplaces. The company operates through four segments: Medicaid; Medicare; Marketplace; and Other.

In terms of forward EV/Sales, MOH is trading at 0.50x, 87.8% lower than the industry average of 4.11x. The stock’s forward Price/Sales multiple of 0.56 is 88.1% lower than the industry average of 4.71.

Its trailing-12-month EBITDA margin of 4.76% is 27.6% higher than the industry average of 3.73%. Furthermore, the stock’s 2.54% trailing-12-month asset turnover ratio is 643.9% higher than the industry average of 0.34%.

MOH’s total revenues came in at $7.93 billion for the third quarter that ended September 30, 2022, up 12.6% year-over-year. Its net income increased 60.8% year-over-year to $230 million, while its EPS came in at $3.95, representing a 60.6% year-over-year rise.

The consensus revenue estimate of $33.07 million for the fiscal year 2023 indicates a 4.5% increase year-over-year. Its EPS is expected to grow 10% year-over-year to $19.59 in 2023. It surpassed EPS estimates in all four trailing quarters. Over the past year, the stock has gained 7.4% to close the last trading session at $311.83.

MOH’s overall A rating equates to a Strong Buy in our POWR Ratings system.

It has a B for Growth, Value, and Quality. It is ranked #4 in the same industry. Beyond what is stated above, we’ve also rated MOH for Momentum, Stability, and Quality. Get all MOH ratings here.

McKesson Corporation (MCK)

MCK is a diversified healthcare service provider focusing on advancing patients’ health outcomes globally. The company operates through four segments: U.S. Pharmaceutical; Prescription Technology Solutions (RxTS); Medical-Surgical Solutions; and International.

In terms of forward EV/Sales, MCK is currently trading at 0.21x, 94.8% lower than the industry average of 4.11x. The stock’s forward Price/Sales multiple of 0.19 is 95.9% lower than the industry average of 4.71.

MCK’s EBIT margin of 1.20% is higher than the negative 1.76% industry average. Its asset turnover ratio of 4.29% is substantially higher than the 0.34% industry average.

MCK’s total revenues increased 5.4% year-over-year to $70.16 billion for the second quarter that ended September 30, 2022. Moreover, its income from continuing operations came in at $932 million, up 249.1% year-over-year. Also, its EPS came in at $6.46, up 277.8% year-over-year.

Analysts expect MCK revenue to increase 4.6% year-over-year to $276.15 billion in the current fiscal year 2023. Its EPS is expected to grow 4.6% year-over-year to $24.79 in 2023. The stock has gained 47.5% over the past year to close the last trading session at $378.68.

MCK’s POWR Ratings reflect its promising prospects. MCK’s overall A rating translates to a Strong Buy rating in our POWR Ratings system.

It has an A grade for Growth and a B for Value, Stability, and Quality. It is ranked first out of 79 stocks in the Medical – Services industry. To see additional POWR Ratings for Growth, Sentiment, and Momentum for MCK, click here.

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NATR shares were unchanged in premarket trading Wednesday. Year-to-date, NATR has gained 26.92%, versus a 6.29% rise in the benchmark S&P 500 index during the same period.


About the Author: RashmiKumari

Rashmi is passionate about capital markets, wealth management, and financial regulatory issues, which led her to pursue a career as an investment analyst. With a master’s degree in commerce, she aspires to make complex financial matters understandable for individual investors and help them make appropriate investment decisions.

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The post 5 No-Brainer Medical Stocks to Buy in 2023 appeared first on StockNews.com

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