This Warren Buffett Stock Is Recession-Proof and Generates Passive Income for Investors
Stocks have been squashed of late, owing to record-high inflation levels, the Federal Reserve's interest rate hikes, undesirable effects from Russia's war against Ukraine, and fresh concerns of a brewing recession. Year to date, the S&P 500 has declined 20%, and the Nasdaq Composite has dropped 29%, serving as one of the worst starts to a year in stock market history.
Warren Buffett, who is famed for his value investing strategy, typically looks for stable businesses that pay handsome dividends and are more likely to flourish during periods of economic uncertainty. These types of businesses are performing exceptionally well at the moment, especially compared to high-growth technology stocks and other speculative investment classes.
Coca-Cola (NYSE: KO), one of his favorite companies ever, has been firing on all cylinders. In contrast to the market, shares of the multinational beverage company are up 4% since the start of the year, and the company continues to deliver on the operational front. As investors brace themselves for a turbulent stock market moving forward, it wouldn't be unwise to give Coca-Cola a closer look today.
Source Fool.com
