This Stock Could Soar in a Recession: Here's Why
Shares of most companies fall during a recession because of reduced earnings or wavering consumer sentiment. But not all stocks are set to tumble. In fact, some companies can actually soar in a recession.
American Tower (NYSE: AMT) is a data and infrastructure real estate investment trust (REIT) that is not only well positioned to ride out turbulent times but could actually see its stock rise. While there are no guarantees, here's a closer look at why this company could be a good buy as we inch closer to a recessionary period.
Recessions usually result in economic tightening, with rising unemployment and slowing spending. This affects nearly all aspects of the economy, but some industries will fare better than others. For example, discretionary retail spending, like buying clothing or beauty products, is among the first to feel the impact as people cut spending.
Source Fool.com
