Wouldn’t it be great to assemble portfolios for newborns that will grow alongside them? Wouldn’t it be great if these stocks were also relevant to newborns and toddlers?
Let’s single out a few companies that every parent should consider owning.
1. The Procter & Gamble Company (NYSE:PG)
The two best-known diaper brands are owned by two publicly traded companies. Kimberly Clark Corp (NYSE:KMB) makes Huggies, and The Procter & Gamble Company (NYSE:PG) is the consumer-goods conglomerate behind Pampers, the world’s best-selling diaper brand.
The Procter & Gamble Company (NYSE:PG) also puts out the value-minded Luvs line of diapers, and it even gets in on the newborn laundry game with its Dreft detergent that’s specially formulated to be gentle on a baby’s skin.
2. Abbott Laboratories (NYSE:ABT)
Babies have to eat, and mother’s milk isn’t always an option. There are plenty of big companies in the baby formula market. Mead Johnson Nutrition CO (NYSE:MJN) is a major player with Enfamil, but Abbott Laboratories (NYSE:ABT) is no slouch with Similac. Abbott Laboratories (NYSE:ABT) is also the company behind the electrolyte-restoring Pedialyte and the flavored drinks and shakes of PediaSure.
Abbott Laboratories (NYSE:ABT) pays out a quarterly dividend that adds up to a yield of 1.6%. Sure, that’s a lot lower than The Procter & Gamble Company (NYSE:PG) at 3%, but this is the kind of pocket change that adds up over the years.
3. Bright Horizons Family Solutions Inc (NYSE:BFAM)
Bright Horizons Family Solutions Inc (NYSE:BFAM) doesn’t offer a dividend the way that most of the other companies on this list do, but it does offer healthy double-digit percentage growth. The child-care giant saw revenue climb 10% higher last year, and it’s targeting 10% to 13% in revenue growth this year.
4. The Walt Disney Company (NYSE:DIS)
Children need to be entertained, and that’s where The Walt Disney Company (NYSE:DIS) shines. It all started with a mouse at the family-entertainment giant, and these days it’s hard to find a child who hasn’t come across The Walt Disney Company (NYSE:DIS)’s kid-friendly animation, movies, or consumer products. More than a few of those children have experienced The Walt Disney Company (NYSE:DIS)’s theme parks and cruise ships.
The Walt Disney Company (NYSE:DIS) should top $45 billion in revenue this fiscal year ending in September. That’s a lot of Goofy money.
5. LeapFrog Enterprises, Inc. (NYSE:LF)
There are plenty of toymakers out there, but let’s go with the one high-tech company that makes learning fun. LeapFrog Enterprises, Inc. (NYSE:LF) is the leading player in electronic education with its lines of learning toys that feature plug-in cartridges and digital downloads, with various levels of difficulty that can adapt as a child’s ability progresses.
LeapFrog Enterprises, Inc. (NYSE:LF) also keeps parents in the loop with its online portal that updates Mom and Dad on how their kids are faring with the programs. Growth has slowed at LeapFrog Enterprises, Inc. (NYSE:LF) in recent quarters, but this is a company that’s beaten Wall Street’s profit targets — by double-digit percentage margins — consistently over the past year. That’s smart.
The article 5 Stocks Every Parent Should Own originally appeared on Fool.com and is written by Rick Munarriz.
Longtime Fool contributor Rick Munarriz owns shares of Walt Disney (NYSE:DIS). The Motley Fool recommends Kimberly-Clark, LeapFrog Enterprises (NYSE:LF), Procter & Gamble, and Walt Disney and owns shares of LeapFrog Enterprises and Walt Disney.
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