3 Stocks That Could Be Easy Wealth Builders

2 months ago 20

Justin Pope, The Motley Fool

Tue, Apr 15, 2025, 3:05 AM 5 min read

Over the past fewer weeks, the banal market's chaotic volatility reminded everyone that investing isn't ever easy. It's amusive erstwhile stocks spell up and up, but downturns bash happen. They ever have, and ever will, adjacent if the catalyst that causes them changes. Still, gathering wealthiness with stocks doesn't person to beryllium complicated.

The playbook is straightforward: Buy high-quality companies, preferably astatine charismatic prices, and clasp them for arsenic agelong arsenic the underlying businesses perform. That's it.

The caller downturn is simply a fantastic accidental to store for casual wealthiness builders -- stocks you tin confidently bargain and clasp done the market's chaos. Here are 3 premier examples. Whether you similar growth, precocious dividends, oregon a small of both, determination is thing present for you.

Amazon (NASDAQ: AMZN) has been connected the descent owed to tariff tensions betwixt the U.S. and China. A study by Reuters suggests that astir fractional of the sellers connected Amazon's marketplace run retired of China. Therefore, Amazon shoppers are bound to announcement importantly higher prices arsenic the tariffs connected Chinese imports instrumentality hold. Higher prices could easy dilatory user spending habits.

However, this could beryllium a impermanent headwind arsenic Amazon and consumers adjust. Prolonged tariffs could propulsion concern to home suppliers, which tin utilize Amazon's monolithic fulfillment network. Fortunately, Amazon's different cardinal businesses could beryllium little susceptible to tariffs, including its unreality unit, the company's astir important nett driver, and its Prime rank base, which includes further perks similar Prime Video.

Amazon whitethorn stumble, but tariffs won't topple America's de facto e-commerce leader. The banal present trades astir 25% disconnected its high. Analysts estimation that Amazon volition turn its net by an mean of 20% annually implicit the agelong term. I deliberation that's plentifulness to warrant scooping up this "Magnificent Seven" banal astatine its existent price-to-earnings (P/E) ratio of 32.

PepsiCo (NASDAQ: PEP) has stood the trial of time. The planetary nutrient and beverage elephantine down brands similar Pepsi, Mountain Dew, Frito Lay, Doritos, Cheetos, Quaker, and galore others has seen galore recessions, wars, and governmental administrations, yet it continues to perform. PepsiCo is simply a Dividend King, with 52 consecutive yearly dividend increases, a testament to the company's durability.

People whitethorn chopped backmost immoderate during pugnacious times, but groceries are astir apt a apical fund point successful astir households. The company's trailing-12-month income haven't declined much than 10% since the aboriginal 2000s. As for tariffs, PepsiCo whitethorn person to woody with higher costs connected imported ingredients, but the institution faces constricted vulnerability to retaliatory tariffs. China accounted for a tiny information of PepsiCo's concern past year, and it looks similar the Trump medication aims to negociate deals with different countries.