We recently published a list of 11 best cyclic stocks to buy according to analysts. In this article, let’s take a look at where Verizon Communications Inc. (NYSE: VZ) is against other better cyclic stocks to buy according to analysts.

Stocks against cyclic stocks emphasize because they tend to work well during economic falls, providing relative stability when the markets become volatile. These resistant companies usually operate in more defensive sectors such as public services, basic products and health, which offer products and services that consumers need, no matter how wallets are. In addition, stocks truly against -Cyclical are those that experience growth accelerations during recessions, because consumers actively seek ways to save money -think of discount stores or cheap clothing retailers. What makes the best cyclic stocks especially convincing their stability during falls: investors seek refuge in these actions because they usually keep (or even increase) their value while other market segments fight.

Financial theory, as a pioneer for Markowitz’s modern portfolio theory (1952), suggests that including stocks against stocks in a portfolio can improve general risk returns significantly volatility and at the same time do not deteriorate the return profile. Modern literature emphasizes that effective diversification can be achieved by combining financial assets whose returns are inversely correlated; Contra-scyclic stocks align well with this principle due to their low or even negative correlation with the wide markets. Empirical studies confirm that portfolios containing stocks against cyclic stocks often have less stable volatility and returns during periods of recession; This is a very sought after trait by investors. The legendary Funds in charge Peter Lynch also emphasized the strength of stable companies in recessions; This is what he said:

“In economic falls, invest in companies that make essential products; people will still buy toothpaste and food regardless of the economy.”

Also read: 10 best low -risk shares to buy 2025.

We believe that the current market conditions are potentially appropriate for investors to begin to add the best cyclic stocks to their portfolios. The biggest problem we see with the current United States Bank is that the Trump 2.0 fare crisis and a large number of other aggressive changes in the political position of the new administration are hurting the consumer confidence in the future. Consumers, although still strong and healthy, have a rapid deterioration of confidence: the consumer trust index dropped abruptly in March in the lowest reading since January 2021. Even Trump administration itself admits that their commercial and demo policies could lead to short -term slowdown, but says that they should lead to “ the golden age of America ” in the long term.

In addition, business surveys show that more and more people are waiting for fewer jobs in the coming months. A strong deterioration in both metrics has historically coincided with the adjustments of various recessions, such as the bubble gusth, the crisis of 2008 and the Bear’s 2022 Bear market. It is not surprising that many good reputation search stores, including Yardeni Research and Goldman Sachs, have recently been highly raised that the North -American economy enters 2025. (Although the estimated probability remains below 50% on average).

The motors of a recession could be a potential unique inflation shock on the part of the rates planned for next week, a widespread slowdown in the expectations of business cape Under these conditions, counter-scyclic stocks could witness a significant acceleration in their business, which in turn can be translated into higher returns compared to the wide market. We believe that the best counter-scyclic stocks are those that have significant potential upside down according to analysts, as well as a proven record of exceptional performance during the previous economic cycles.

We consulted the business literature on the characteristics of the best cyclic stocks and manually selected 20-30 actions with background during economic falls, such as the Bear markets of 2008 and 2022. Then we select the 11 best stocks with the greatest average potential, as they love analysts and classify them in ascending order. For each stock, we also include the number of coverage funds that the actions have from the fourth quarter of 2024.

Why are we interested in the stocks that cover the funds? The reason is simple: our research has shown that we can overcome the market by imitating the best stock options for the best coverage funds. The strategy of our quarterly bulletin selects 14 stocks of small layers and large layers each quarter and has returned 373.4% since May 2014, surpassing its reference point at 218 percentage points (Check out more details here)).

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On the other hand on the reverse: 10.57%

Number of coverage fund holders: 74

Verizon Communications Inc. (NYSE: VZ) is the second largest world -class telecommunications company and the largest wireless carrier in the United States, with approximately 146 million subscribers. The company operates through two segments: the Consumer Group, which offers wireless and wire services to retail clients and the business group, which provides communications solutions to companies and government clients. VZ is considered a stock against cyclic because the world continues to rely on its essential communication services and connectivity solutions even during recessions.

Verizon Communications Inc. (NYSE: VZ) obtained strong financial and operational results by 2024, with the income of the wireless service increasing by 3.1% and adjusted the Ebitda increasing by 2.1%, both exceeding the middle point of the guided intervals. The company added about 2.5 million post -paid mobility and broadband subscribers while expanding the margins, with the post -pagan telephone network adds almost 900,000 for the year. The broadband performance was especially strong, with 1.6 million subscribers additions by 2024, including about 4.6 million fixed wireless access subscribers, generating more than $ 2.1 billion in income.

By 2025, Verizon Communications Inc. (NYSE: VZ) expects a growth in the income of the wireless service between 2% and 2.8%, with the underlying growth almost double when it excludes promotional depreciation impacts. The company launched its Ai Connect strategy to take advantage of existing network assets and edge computer capacities, with a current funnel of more than $ 1 billion in opportunities. Management continues to focus on operational excellence and financial discipline, maintaining its capital allocation priorities to invest in the business, supporting dividend growth, paying debt and, finally, considering stock purchases. We include VZ in our list of best cyclic stocks, as it has a strong history of overcoming the American values ​​market during the Bear markets, including current ones, as US stocks are in correction mode.

Usually vz Rankes 10th In our list of best cyclic stocks to buy according to analysts. Although we recognize the potential of VZ as an investment, our conviction lies in the belief that the AI ​​actions have a greater promise to obtain higher yields and to do it in a shorter period. There is an AI stock that increased since the beginning of 2025, while the popular AI actions lost around 25%. If you are looking for a stock of Ia most promising than VZ but you sell less than five times, see our report on this Ia stock cheap.

Read below: 20 best shares of Ia to buy now and 30 best shares to buy now according to billionaires.

Dissemination: None. This article is originally published in Privileged monkey.