3 industry-leading Dow stocks to buy now

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These 3 Dow Stocks Have Rock-Solid Companies

While investing can get complicated quickly, keeping it simple by adding industry-leading companies to your long-term holdings tends to work over the years. Whether investors are looking for safe stock picks in an uncertain macro environment or are simply interested in owning companies that can deliver consistent gains over the years, focus on strong companies in the Dow Jones Industrial Average is generally a solid strategy. That said, not all components of the DJIA are worth looking at, especially given how inflation and other factors could weigh on their earnings going forward.
That’s why we decided to put together a list of 3 industry-leading Dow stocks to buy now so you can focus on the best of the best. Each of these companies has bright prospects for growth in the future and holds a dominant market position in their respective sectors, making them an excellent choice for long-term investors. Let’s take a closer look at what sets these stocks apart.


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This company is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives and could be an excellent option for investors to consider in this regard. moment. Caterpillar should benefit from a huge increase in infrastructure spending in the United States and abroad, while construction activity should also rebound from the pandemic. This all adds up to strong demand for Caterpillar’s iconic yellow heavy machines, which should significantly boost the company’s sales in the coming quarters.
caterpillar is also a strong choice in the Dow Jones Industrial Average thanks to the company’s impressive balance sheet and an attractive dividend yield of 2.01%. The company posted fourth-quarter adjusted EPS of $2.69, up 27% year-over-year, confirming that sales are rebounding from a difficult period resulting from the pandemic. The bottom line here is that Caterpillar is one of the world’s most valuable brands and a company that plays a key role in the global economy, making it a fantastic option to consider right now.

Then we have Walmart, which is the largest retailer in the world by sales. With over 11,000 stores located in North America and abroad, it is undoubtedly an industry-leading company that investors can rely on for stable earnings growth and steady increases in sales. dividends. In fact, the company is a dividend aristocrat and has increased its payouts for 49 consecutive years. Walmart is a great stock to own right now as inflation weighs on consumers, with many people interested in saving money on basics.
Keep in mind that the company has buying leverage that helps it keep its prices low, which is certainly appealing to many retail consumers. There’s also a lot to like walmart investments in growing its omnichannel retail experience, which should lead to even greater industry dominance in the long run and pave the way for some nice earnings growth. The company posted fourth-quarter adjusted EPS of $1.53, up 10% year-over-year, and CEO Doug McMillon mentioned the company gained market share in the US market groceries and consumables, which is definitely a big plus to consider. There aren’t many stocks that are expected to perform well during economic booms as well as recessions, which certainly makes this industry-leading Dow stock a solid choice.

UnitedHealth Group (NYSE: UNH)

This major US-managed healthcare company is another great example of a high-quality company that investors can bank on for the long term. This is reflected in the fact that it is one of the few Dow stocks trading at all-time highs right now. It is difficult to underestimate the magnitude of United Health business, as the company provides medical services to more than 50 million people. Whether it’s traditional risk-based health insurance plans, pharmacy benefit management, or healthcare delivery and optimization, it’s safe to say that UnitedHealth plays a vital role in our country’s health care system.
The company reported fourth-quarter revenue growth of 12.6% to $73.7 billion and could be on course for a strong 2022 thanks to growth in Medicare Advantage members. There’s also a lot to like about the company’s recent acquisitions, including the deal to buy a home healthcare company called LHC Group for $5.4 billion. The move should help the company expand in a rapidly growing market as aging baby boomers increasingly seek out home health services. UnitedHealth is certainly not a cheap stock, but often in the market it can really pay off to look for quality.

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