This Dividend Stock Is a No-Brainer for Bear Market Growth
After bouncing back from the thankfully short 2020 pandemic-led bear market and recession, the world is again dealing with a significant business pullback that could fall into recession. This slowing economy has investors on edge, resulting in 2022's bear market.
The current bear market pulled Rockwell Automation's (NYSE: ROK) stock down along with it, with the share price down 32% year to date. But when it comes to this industrial giant, investors might want to take a step back and think about the bigger picture. The company's short-term issues likely won't affect its long-term growth potential. Let me explain.
The key for Rockwell Automation is its business focus, which is, as its name implies, providing automation products and services to its customers. Like most industrial stocks its business is somewhat tied to broader economic ups and downs, but it interacts with recessions a bit differently than you might expect. Essentially, many of its customers look to cut costs by getting more done while utilizing fewer employees, i.e. increased automation. For those businesses, it's a cost-saving effort. For Rockwell, a business downturn can provide opportunity.
Source Fool.com
