5 Best Stagflation Stocks to Buy Now

In this article, we discuss 5 best stagflation stocks to buy now. If you want to see more stocks in this selection, check out 10 Best Stagflation Stocks to Buy Now. 

5. General Mills, Inc. (NYSE:GIS)

Number of Hedge Fund Holders: 35

General Mills, Inc. (NYSE:GIS) is a Minnesota-based company that manufactures and markets branded consumer foods worldwide, offering ready-to-eat cereals, refrigerated yogurt, soup, meal kits, refrigerated and frozen dough products, dessert and baking mixes, and nutrition bars. General Mills, Inc. (NYSE:GIS) is one of the best stagflation stocks to buy now, given its defensive nature. The packaged food sector got a boost from a solid beat-and-raise earnings report from General Mills, Inc. (NYSE:GIS) on September 21. Its profit guidance stood out prominently, which included an EPS growth of 2% to 5% versus an earlier expectation for 0% to 3% growth.

On September 22, UBS analyst Cody Ross raised the price target on General Mills, Inc. (NYSE:GIS) to $82 from $79 and maintained a Neutral rating on the shares after its Q1 earnings beat and the FY23 guidance raise. The analyst believes that the “beat and raise cycle” for the company will potentially last longer.

According to Insider Monkey’s data, 35 hedge funds were bullish on General Mills, Inc. (NYSE:GIS) at the end of Q2 2022, compared to 37 funds in the preceding quarter. Jim Simons’ Renaissance Technologies is the biggest stakeholder of the company, with 4.5 million shares worth $345.2 million. 

Here is what Chartwell Investment Partners has to say about General Mills, Inc. (NYSE:GIS) in its Q2 2022 investor letter:

“In the Dividend Equity accounts, the three best performers in Q2 include General Mills (NYSE:GIS, 3.2%), up 12.2%. General Mills benefitted from the combination of being in a very defensive industry as well as demonstrating solid business momentum; margins have been particularly impressive, following price increases.”