In this article, we will take a look at the 14 Best FMCG Stocks to Invest In.
Economic uncertainty has left businesses and consumers on edge as the U.S. continues to wage a ferocious tariff war. Nevertheless, U.S. stock markets have shrugged off the concerns depicted by the S&P 500, rallying to record highs after a 14% year-to-date gain. Amid the gains, investors are starting to question valuations that are above historical norms.
Likewise, analysts at Goldman Sachs believe it’s time for investors to look beyond the concentrated group of stocks that drove markets to record highs. According to Peter Oppenheimer, Chief Global Equity Strategist at Goldman Sachs Research, opportunities are increasingly emerging across a more diverse set of regions, sectors, and styles.
“Investors should focus on countries and companies that can specialize and dominate in their export markets, particularly in services, to offset the impact of more high-end Chinese manufacturing competition,” Oppenheimer writes.
According to the strategist, higher tariffs and a weaker dollar, coupled with increased fiscal support, could present investment opportunities in domestically focused companies that hold a dominant position in their respective markets.
Amidst valuation concerns, companies dealing in fast-moving consumer goods (FMCG) remain well-positioned to shrug off the problems. That’s because their goods will always be in demand owing to their relatively low prices and strong demand regardless of the prevailing economic situation.
Likewise, the global FMCG market is projected to grow at a compound annual growth rate (CAGR) of 3.8% between 2025 and 2032, reaching $18.96 trillion. The growth will be driven primarily by dynamic shifts in consumer behavior and technological innovations, as well as a rise in the consumption of consumer goods.
The best FMCG stocks are mostly companies that demonstrate prudent financial management. Additionally, they boast of healthy balance sheets and sustainable profit margins. Financial stability enables them to weather market fluctuations while returning shareholder value through dividends and buybacks.
Our Methodology
To identify the best FMCG stocks to invest in according to analysts, we sifted through ETFs and financial media reports. We focused on consumer goods stocks with upside potential of more than 20% (as of September 22) and are popular among elite hedge funds in Q2 2025. Finally, we ranked the stocks in ascending order based on their upside potential.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
14 Best FMCG Stocks to Invest In
14. Dollar General Corporation (NYSE:DG)
Stock Upside Potential: 21.57%
Number of Hedge Fund Holders: 55
Dollar General Corporation (NYSE:DG) is one of the best FMCG stocks to invest in. On September 18, Wolfe Research analyst Spencer Hanus reiterated an ‘Outperform’ rating on the stock and set a $139 price target.
The bullish stance is based on the stock’s underperformance relative to the overall sector over the past few years. The Wolfe Research analyst believes the tide is slowly shifting in favor of the discount retailer, as operations show signs of improvement.
According to Hanus, the company’s current estimates of its performance are too low. The stock’s valuation is also compelling, given its years of underperformance. The remarks also come as the research firm reiterates that retailers have benefited from a strong back-to-school purchasing spree.
Dollar General Corporation (NYSE:DG) operates a chain of neighborhood retail stores that provide affordable, everyday essentials, including food, cleaning supplies, personal care, and health items, to communities, particularly in rural and smaller towns.
13. Ingredion Incorporated (NYSE:INGR)
Stock Upside Potential: 23.19%
Number of Hedge Fund Holders: 34
Ingredion Incorporated (NYSE:INGR) is one of the best FMCG stocks to invest in. On September 18, UBS reiterated a ‘Neutral’ rating on the stock and a $144 price target, impressed by the company’s focus on innovation driven by healthy trends and reformulation demands.
The company anticipates its sales to increase by between 2% and 4% over the next two years, accompanied by a growth in operating income of between 5% and 7%. It also projects a 7% to 9% compound annual growth rate in adjusted EPS through 2027.
The research firm remains confident in the company’s ability to capitalize on consumer trends. However, it remains cautious about soaring pressure in North America, especially in the sweetener and high-fructose corn syrup segments.
Ingredion Incorporated (NYSE:INGR) is a global ingredient solutions company that processes plant-based materials like grains, fruits, and vegetables into value-added ingredients for the food, beverage, animal nutrition, brewing, and industrial markets. It produces starches, sweeteners, nutritional ingredients, and biomaterials that are used in various everyday products, from foods and drinks to paper and pharmaceuticals.
12. Smithfield Foods Inc. (NASDAQ:SFD)
Stock Upside Potential: 23.91%
Number of Hedge Fund Holders: 27
Smithfield Foods Inc. (NASDAQ:SFD) is one of the best FMCG stocks to invest in. On September 4, the company confirmed the pricing of a secondary public offering of 19.53 million shares of the company’s common stock, sold by SFDS UK Holdings Limited. The offering is priced at $23.35 a share.
The selling shareholder has also granted underwriters a 30-day option to purchase an additional 2.93 million shares at the public offering price, less underwriting discounts and commissions. Smithfield Foods is not selling any shares of common stock and will not receive any proceeds from the sale.
Smithfield Foods Inc. (NASDAQ:SFD) is a food company that processes and sells a wide variety of value-added packaged meats and fresh pork products. It is a market leader with a diverse portfolio of brands, including Smithfield, Eckrich, and Nathan’s Famous.
11. McCormick & Company Inc. (NYSE:MKC)
Stock Upside Potential: 27.91%
Number of Hedge Fund Holders: 47
McCormick & Company Inc. (NYSE:MKC) is one of the best FMCG stocks to invest in. On September 3 at the Barclays 18th Annual Global Consumer Staples Conference 2025, the company reiterated its focus on innovation and digital transformation as it seeks to sustain growth in a highly competitive environment.
The company affirmed it is in the process of acquiring an additional 25% stake in McCormick de Mexico. The acquisition is expected to add over $800 million in net sales and $180 million in operating profit. Sales from operations in Mexico are expected to account for more than 10% of the total sales.
The acquisition comes on the heels of the company delivering a 4% growth in operating profit and substantial volume in the consumer segment. Nevertheless, the company has warned that it could experience slow growth in 2025 due to weakness in the consumer segment amid value-seeking behavior. Amidst the expected slow growth, McCormick & Company has reaffirmed its commitment to continued innovation in R&D and digital transformation.
McCormick & Company Inc. (NYSE:MKC) is a global leader in flavor, manufacturing, marketing, and distributing spices, seasoning mixes, condiments, and other flavoring products for home, industrial, restaurant, and foodservice markets.
10. Constellation Brands, Inc. (NYSE:STZ)
Stock Upside Potential: 30.83%
Number of Hedge Fund Holders: 42
Constellation Brands Inc. (NYSE:STZ) is one of the best FMCG stocks to invest in. On September 2, the company lowered its fiscal 2026 outlook, citing challenging macroeconomic conditions. It now expects its comparable earnings per share to range between $11.30 and $11.60, down from the previous guidance of between $12.60 and $12.90.
Additionally, the retailer expects its enterprise organic net sales to decline by between 6% and 4%. Lower volumes and operating deleveraging could cause net sales to slow significantly as the company continues to feel the impact of tariffs. It has also lowered its free cash flow guidance to between $1.3 billion and $1.4 billion from the previous guidance of between $1.5 billion and $1.6 billion.
Amid lower full-year guidance, Constellation Brands has reiterated its commitment to shareholder value. It has reaffirmed its $4 billion repurchase program, having already executed $604 million in buybacks in the first half of its fiscal 2026.
“Over the last several months, high-end beer buys rates decelerated sequentially, as both trip frequency and spends per trip declined. Notably, high-end beer buy rate declines for Hispanic consumers were more pronounced than general market declines, which has an outsized impact on our Beer Business compared to the broader beer category,” said Constellation Brands President and Chief Executive Officer Bill Newlands.
Constellation Brands Inc. (NYSE:STZ) produces and markets beer, wine, and spirits, with well-known brands like Corona, Modelo, and The Prisoner Wine Company. It is the largest importer and distributor of beer, wine, and spirits in the U.S.
9. Celsius Holdings, Inc. (NASDAQ:CELH)
Stock Upside Potential: 30.83%
Number of Hedge Fund Holders: 52
Celsius Holdings Inc. (NASDAQ:CELH) is one of the best FMCG stocks to invest in. On September 11, Goldman Sachs initiated coverage of the stock with a ‘Buy’ rating and a $72 price target. The investment bank remains confident about the company’s ability to expand its market share and margins in the energy drink category.
Goldman Sachs has also touted the company as one of the best growth stocks in the consumer packaged goods segment. The company has made significant strides and gains in the energy drink market, whereby its market share stands at 17%. The investment bank expects the company’s market share to reach 20% by 2026.
“We see a long runway of volume-led double-digit topline growth and margin expansion,” GS analysts said.
Some of the key drivers expected to strengthen Celsius Holdings’ market share include aggressive international expansion. International operations currently account for just 3% of sales, affirming the significant room for growth.
Celsius Holdings, Inc. (NASDAQ:CELH) is a beverage company that develops, manufactures, markets, and sells functional energy drinks, including the leading CELSIUS brand and its various lines, such as CELSIUS On-the-Go and CELSIUS Hydration. The drinks are formulated with ingredients like green tea, ginger, B vitamins, and caffeine.
8. J&J Snack Foods Corp. (NASDAQ:JJSF)
Stock Upside Potential: 33.31%
Number of Hedge Fund Holders: 15
J&J Snack Foods Corp (NASDAQ:JJSF) is one of the best FMCG stocks to invest in. On September 15, analysts at Benchmark reiterated a ‘Buy’ rating on the stock and a $150 price target. The positive stance follows meetings with the company’s senior management team.
The research firm remains confident about the company’s fiscal year 2026 revenue and margin outlook following the meetings. Likewise, it has raised its fiscal year 2026 estimates, buoyed by performance in recent quarters.
J&J Snack Foods delivered solid third-quarter results, with earnings per share of $2.00, beating consensus estimates of $1.84 per share. Revenue in the quarter totaled $454.3 million compared to $4441.2 million expected. The company has reaffirmed its commitment to shareholder value, increasing its quarterly dividend to $0.80 per share from $0.78, payable on October 7, 2025.
J&J Snack Foods manufactures and distributes a diverse range of branded snack foods and beverages for food service and retail supermarket outlets across the U.S. Its product portfolio includes popular items like soft pretzels, frozen drinks (ICEE, Luigi’s and baked goods (biscuits, cookies).
7. Albertsons Companies, Inc. (NYSE:ACI)
Stock Upside Potential: 35.89%
Number of Hedge Fund Holders: 49
Albertsons Companies, Inc. (NYSE:ACI) is one of the top FMCG stocks to invest in. On September 17, the company announced the retirement of Jim Donald as Chair of the board and as a board member. Consequently, Kim Fennebresque has been appointed as the new chair, having served as an independent director since 2015.
The company has also bolstered its management team with the appointment of David Zinsner, Executive Vice President and Chief Financial Officer of Intel Corporation, to the board as an independent director.
“With technological and digital improvements grounding our Customers for Life strategy, David’s deep expertise in finance, technology and AI will be a tremendous asset as we chart the course for the future,” Fennebresque said in a statement.
Albertsons Companies, Inc. (NYSE:ACI) is a major U.S. food and drug retailer that operates over 2,200 stores under various banners, including Albertsons, Safeway, and Vons, across 35 states and the District of Columbia. It provides groceries, pharmacy services, and fuel through an omnichannel model, supporting its stores with a network of distribution centers and manufacturing plants.
6. JBS N.V. (NYSE:JBS)
Stock Upside Potential: 36.41%
Number of Hedge Fund Holders: 38
JBS N.V. (NYSE:JBS) is one of the best FMCG stocks to invest in. On September 17, the company reiterated that it is preparing for a shift in Brazil’s cattle cycle, which could result in reduced availability of animals for slaughter.
The number one beef exporter is preparing for a significant drop in cattle supply in the country at a time when other nations, such as the U.S., are feeling the pinch. Over the past 24 months, Brazil has experienced an oversupply, resulting in higher processing rates. However, the supply momentum has faded significantly. Cattle slaughter in Brazil is expected to drop by 9% in 2026.
“The imminence of the cattle cycle shift brings challenges. We are preparing through partnerships, contracts, and close relationships with ranchers to preserve our volumes,” Eduardo Pedro, Executive Director of Origination at Friboi JBS. “With crop-livestock integration, tech adoption, earlier slaughter age, and productivity gains, cycle impacts can be softened. That’s what we expect,” he added.
JBS N.V. (NYSE:JBS) is a global protein and food company that produces and sells a variety of products, including beef, poultry, pork, and plant-based foods. The company also offers leather products and operates Swift, a related business providing swift services.
5. Keurig Dr Pepper Inc. (NASDAQ:KDP)
Stock Upside Potential: 41.62%
Number of Hedge Fund Holders: 46
Keurig Dr Pepper Inc. (NASDAQ:KDP) is one of the best FMCG stocks to invest in. On September 17, Piper Sandler reiterated an ‘Overweight’ rating on the stock but lowered the price target to $35 from $40. The price target cut comes amid concerns about the company’s debt level following the JDEP acquisition.
The research firm has raised concerns that the acquisition could push the company’s pro forma leverage to 5.2X by the end of 2026, before falling to 4.3X times by the end of 2027. Amid concerns about leverage, the research firm reduced the company’s earnings per share estimate to between $2.01 and $2.06, down from the initially expected range of $2.17 to $2.14.
Nevertheless, Piper Sandler is bullish about Keurig De Pepper’s momentum in the U.S. retail beverage sector owing to its edge among soda makers. It also expects a $20 million boost in the third quarter from the Ghost brand.
Keurig Dr Pepper Inc. (NASDAQ:KDP) is a beverage company that owns and markets over 125 brands across various categories, including soft drinks, coffee, tea, water, and juice. These brands include popular names such as Dr Pepper, Snapple, Canada Dry, and the Keurig single-serve brewing system.
4. Nomad Foods Ltd (NYSE:NOMD)
Stock Upside Potential: 43.12%
Number of Hedge Fund Holders: 24
Nomad Foods Ltd (NYSE:NOMD) is one of the best FMCG stocks to invest in. On September 17, BTIG reiterated a ‘Buy’ rating on the stock but cut the price target to $18 from $20. The research firm lowered its price target, concerned by the headwinds the company faces, especially in European markets.
BTIG also lowered its sales and earnings estimates for the stock, concerned that market-specific dynamics will weigh on profitability. Additionally, the company is starting to assess the impact of a reset in advertising and promotion investment, expected next year.
Nevertheless, the research firm insists the stock remains cheap at current levels with realistic medium-term cash flow and margin opportunities. Nomad Foods delivered earnings per share of $0.40 for its second quarter, beating consensus estimates of $0.38 a share.
Nomad Foods Ltd (NYSE:NOMD) is Europe’s largest frozen food company, owning and distributing a portfolio of leading brands, including Birds Eye, Findus, and igloo. It manufactures and sells a variety of frozen food products, including fish, vegetables, and ready meals, with iconic brands that have been a part of consumers’ meals for generations.
3. BellRing Brands, Inc. (NYSE:BRBR)
Stock Upside Potential: 44.11%
Number of Hedge Fund Holders: 45
BellRing Brands, Inc. (NYSE:BRBR) is one of the best FMCG stocks to invest in. On September 2, the company’s board affirmed its commitment to shareholder value. The board has approved a $400 million share repurchase set to run over the next two years.
Since March, the company has returned $226 million to shareholders under the previous $300 million repurchase authorization, which was canceled effective August 29, 2025. The new repurchases are to be made in the open market from time to time. Additionally, the repurchase will be subject to liquidity, share price market conditions, and legal requirements.
BellRing Brands, Inc. (NYSE:BRBR) is a company that develops, markets, and sells convenient nutrition products, primarily ready-to-drink (RTD) protein shakes and powders. Its products cater to a broad range of consumers, from lifestyle nutrition to sports nutrition.
2. Sprouts Farmers Market, Inc. (NASDAQ:SFM)
Stock Upside Potential: 50.66%
Number of Hedge Fund Holders: 54
Sprouts Farmers Market Inc. (NASDAQ:SFM) is one of the best FMCG stocks to invest in. On September 19, the company announced plans to open a new store in Venice, Florida, in November. The new store underscores the company’s aggressive expansion plan as it also continues to expand hiring opportunities for local communities.
The new Sprouting at 1120 Jacaranda Blvd is to provide 93 full-time and part-time career opportunities. The expansion in Florida follows the opening of a new store in Providence Village, Texas. The new stores offer an outlet for Sprouts Farmers to continue offering fresh, healthy food options, while also creating local jobs.
With fresh produce at the center of the store and an open layout that encourages exploration, every Sprouts location is designed to evoke a farmers’ market atmosphere. The retailer is known for its large bulk goods section, vitamins and supplements department, and organic fruits and vegetables.
Sprouts Farmers Market Inc. (NASDAQ:SFM) is a U.S. specialty grocery retailer that focuses on offering a wide selection of fresh, natural, and organic foods, including produce, bulk goods, vitamins, and private-label products, at accessible prices. The company operates over 400 stores across 24 states in the U.S.
1. Primo Brands Corporation (NYSE:PRMB)
Stock Upside Potential: 53.64%
Number of Hedge Fund Holders: 72
Primo Brands Corporation (NYSE:PRMB) is one of the best FMCG stocks to invest in. On September 11, Goldman Sachs initiated coverage of the stock with a ‘Neutral’ rating and a $25 price target. The investment bank is confident about the company’s prospects as a leading beverage company, given its presence in the bottled water market.
Consequently, Goldman Sachs expects the company to deliver a 4% organic compound annual growth rate in sales through 2028, driven by brands such as Poland Springs and Pure Life. It also expects the beverage giant to post an 8% EBITDA CAGR growth through 2028, driven by $300 million in cost synergies.
The bank expects Primo Brands to also benefit from its expansion into fast-growing categories, such as sparkling water and functional hydration products. It also expects the company to generate $1 billion in free cash flow by 2027, which should help lower debt levels.
Primo Brands Corporation (NYSE:PRMB) is a North American company that produces and delivers healthy hydration products, including spring, purified, and enhanced waters, under various well-known brands like Poland Spring, Pure Life, and Primo. They are the largest reuse and refill beverage platform in the U.S.
While we acknowledge the potential of PRMB to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PRMB and that has 100x upside potential, check out our report about this cheapest AI stock.
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