The market has shown amazing strength since the presidential election in November, recently hitting another record-high despite growing concern over President Trump’s ability to move forward with his economic agenda.
Consumer sentiment remains high, and while the recent earnings season showed ongoing weakness in mall-based brick-and-mortar retailers, the overall picture for the retail sector remained solid.
For a better idea of just how strong consumer goods makers have been performing, you only need to look at The Consumer Staples Select Sector SPDR Fund (XLP). XLP contains the biggest consumer staple stocks in the market, and its biggest holdings include Procter & Gamble (PG), Phillip Morris (PM), Coca-Cola (KO), Wal-Mart (WMT) and Costco (COST).
Chart courtesy of www.stockcharts.com
Given the strong performance of XLP in recent months, it is appropriate to take a closer look at companies that maker consumer goods, and question whether now would be a good time to consider purchasing the stock.
Let’s look at five companies that make popular products, some of which you are likely to own, and decide whether or not you ought to consider buying the stock as well.