5 Best Recession-Proof Stocks to Buy in October

In this piece, we will take a look at the five best recession-proof stocks to buy in October. For a primer on the macroeconomic environment and more stocks, head on over to 10 Best Recession-Proof Stocks to Buy in October.

5. Lowe’s Companies, Inc. (NYSE:LOW)

Number of Hedge Fund Holders: 53

Lowe’s Companies, Inc. (NYSE:LOW) is a home improvement retailer that provides a variety of products such as hardware, plumbing, flooring, décor, and lighting. It is headquartered in Mooresville, North Carolina.

Lowe’s Companies, Inc. (NYSE:LOW) is the second largest home improvement retailer in the U.S. It has close to 2,000 stores and brought in $95 billion in revenues in its latest fiscal year. A key fact that will help the company in a recession is that the firm caters to the needs of the do-it-yourself industry, and is relatively insulated against the professional construction industry. This segment is also slated to account for $315 billion of the $545 billion of the North American home improvement market growth from 2021 to 2027.

Lowe’s Companies, Inc. (NYSE:LOW)’s net income has also grown at a CAGR of 22% over the past nine years. The company pays a $1.05 dividend for a 2.17% yield. Insider Monkey’s Q2 2022 survey of 895 hedge funds outlined that 53 had invested in it.

Out of these, Lowe’s Companies, Inc. (NYSE:LOW)’s largest investor is Bill Ackman’s Pershing Square which owns 10 million shares that are worth $1.7 billion.