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Quarter-End Insights

Consumer Defensive Stocks Now Heated But Opportunities Remain

Tobacco and alcohol look attractive.

Jun 30, 2020

Mentioned: Anheuser-Busch InBev SA/NV (BUD) , US Foods Holding Corp (USFD) , Pilgrims Pride Corp (PPC)

The consumer defensive sector trailed the broader market’s impressive rebound this quarter, generating an 11.8% return compared with the market’s 23.1% gain through June 23.

Consumer defensive has underperformed the broader market. - source: Morningstar

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Erin Lash does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.

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