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Although now is the time to buy quality stocks over the long term as they are trading cheaply, it is also important to have flexible stocks that can help protect your capital.
Flexible stocks are companies with defensive operations and significant cash flow, which is why they are so powerful and so reliable.
Because they are so reliable, these stocks are in high demand in these adverse economic environments, which is one of the reasons they are so resilient and see such minimal volatility.
Many of these stocks will not offer significant discounts due to their reliability. However, if high-quality companies can continue to grow their operations for years, they do not necessarily need to be bought undervalued.
With this in mind, if you are looking for reliable companies that you can invest in today, here are three flexible stocks that are perfect for today’s market.
Two of the largest defensive growth stocks are ideal for today’s environment
If you are looking for flexible stocks to buy in today’s market, two of the best stocks to consider are Brookfield Infrastructure Partners (TSX: BIP.UN) (NYSE: BIP) and Algonquin Energy & Utilities (TSX: AQN) (NYSE: AQN).
Algonquin is considered a very safe company due to its facility operations, which account for nearly three-quarters of its business. In addition, it also has a high potential green energy sector, where the company owns assets to generate renewable energy, such as wind farms.
Brookfield is also a very reliable company, owning tons of critical infrastructure assets around the world, including utility companies.
Therefore, each of these stocks has very reliable and predictable revenue and cash flow, which is why they are some of the most flexible stocks you can buy.
Additionally, though, both stocks also focus on maximizing growth for shareholders. In Brookfield’s case, it is constantly looking for as much organic growth as possible and is also constantly recycling capital.
Algonquin has growth potential due to the huge demand for renewable energy infrastructure, as climate change remains one of the most important threats to the world. Furthermore, Algonquin has also started looking into a capital recycling program to increase its growth potential for investors.
In addition, in addition to the fact that both stocks are resilient, and both provide a lot of long-term growth, these stocks also pay attractive dividends, which increase annually.
If you’re looking for some of the more flexible stocks to buy right now, utilities and infrastructure stocks like these two are some of the best stocks you can buy.
This consumer staple is one of the most flexible stocks on the market
In addition to utilities stocks and other critical infrastructure businesses, another industry with highly flexible stock to buy now is consumer goods. For this loblaw companies (TSX:L) is one of the best stocks you can buy right now.
Loblaw is one of the best stocks to own, as it is the owner and operator of grocery stores and supermarkets across the country. These are the companies that see only slight effects from recessions, because no matter what happens in the economy, people need to eat.
In addition, Loblaw also owns pharmacies such as Shoppers Drug Mart, which are also very defensive assets. Therefore, it is not surprising that Loblaw, like many other flexible stocks, is trading only 10% from its 52-week high.
The stock may not pay as much of a dividend as Brookfield or Algonquin. However, it is one of the best and most flexible stocks to buy which can protect your capital in the short term and its growth in the long term.
So, if you’re looking for high-quality, flexible stocks to buy now, I’d consider consumer staples like Loblaw.