3 Depression Proof Stocks To Buy – Stock #3

We’re already in a recession. This is true in economic terms. But in the coming months I don’t think we’re looking at another bad recession… I think we’re looking at a depression type scenario.

As of this writing there are already more than 30.5 million Americans unemployed and getting state or federal government assistance.

50 million jobs have been lost since March.

Millions of Americans can no longer pay their bills.

Businesses are going bankrupt rapidly.

And banks and hospitals are having major financial issues.

This was from the first set of lockdowns. And we’re dealing with the worst economy since The Great Depression.

Now with new coronavirus cases exploding nationwide cities and states are locking things down again.

And things are poised to get even worse economically for us all because of the horrific things above.

These first coronavirus lockdowns crippled the US economy like nothing we’ve seen in our lifetimes.

I think analysts, politicians, and officials who talk about us going through a recession are delusional.

We’re not heading toward a recession.

We’re headed toward a depression type of economy.

And few in the mainstream media and financial news are talking about this.

A month ago I showed you 3 Stocks That Will Earn You High Returns In The Coming Depression .

Two days ago we added to this list when I showed you Stock #1 in our 3 Stocks To Depression Proof Your Portfolio series.

Yesterday I showed you Stock #2 in this series.

Today, I’m showing you Stock #3 that will help Depression Proof Your Portfolio .

These stocks will help you earn safe and solid investment returns no matter whether we’re in a prolonged depression. Or whether we recover and go back to normal life tomorrow.

Let’s get to it…

Depression Proof Stock #3 – Clorox (CLX)

Cleaning Products, Supplies and Bleach | Clorox®

Clorox is another depression resistant stock you should consider buying today.

Not just because of its long and storied history of helping clean our homes.

But also, because during this pandemic we’re cleaning and disinfecting things more than ever.

This benefits Clorox more than just about any other company on Earth since it’s one of the world’s leading home cleaning product companies.

Some of Clorox’s most recognizable brands are as follows.

  • Clorox Bleach
  • Clorox Disinfecting Wipes
  • Pine Sol

And it also owns brands we use every day outside of cleaning too like Kingsford Charcoal. Brita water filters. And Fresh Steps cat litter.

None of these things will be harmed during any extended economic issues.

And like the 2 others stocked mentioned previously in this series, it’s also a solid company.

Its operating profit margin averaged 17.9% every year over the last 10 years. Like mentioned above, I look for any company to produce above 10% margins on a consistent basis to consider as an investment.

And its FCF/Sales margin averaged 10.9% per year… I look for anything above 5% on a consistent basis to consider an investment.

The company meets my threshold on both important metrics… These are important because they show Clorox produces profits and cash to continue funding operations and growth.

Plus, it also pays you a 2% dividend just to own their shares.

And on top of this its selling at a reasonable price to cash flow (P/CF) ratio of 20 as of this writing.

I want to own companies that are profitable and at least fairly valued. I look to research stocks further that have a P/CF of 25 or lower… If I can buy at cheap prices even better.

Clorox is another stock that will be around for decades to come – no matter what the economic situation becomes.

Because of this, you should look at them if you’re looking for Depression resistant stocks.


As I said above, I think we’re heading not for an average recession… Or even a bad recession like we saw from 2007 to 2009.

I think we’re heading for a Depression type of economy in the coming months. And the best thing to do is prepare yourself and your investments.

The list above should give you great ideas on stocks that will not only survive whatever downturn is still to come. But also thrive in the coming years and decades no matter what our economic situation looks like.

Use the links below to learn other ways to protect yourself in these uncertain times.

We’ll continue updating you on the crazy economic times we’re living in today… But the stocks in the links above are ones to consider buying to Depression Proof Your Portfolio.

Disclosure – Jason Rivera is a 13+ year veteran value investor who now spends much of his time helping other investors earn higher than average investment returns safely. He does not have any holdings in any securities mentioned above and the article expresses his own opinions. He has no business relationship with any company mentioned above.


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