Medtronic (MDT) and its Role in a Recession-Proof Portfolio

Medtronic plc (NYSE:MDT) is included among the 10 Best Recession Proof Dividend Stocks to Buy.

Medtronic (MDT) and its Role in a Recession-Proof Portfolio

In a recession, economic activity slows, unemployment rises, and consumer spending drops. However, defensive sectors like healthcare often hold up better since medical products and services are essential. Companies such as Medtronic plc (NYSE:MDT) benefit from this resilience.

Medtronic plc (NYSE:MDT) ranks among the world’s largest medical device makers, with a portfolio spanning four key areas: diabetes care, cardiovascular health, medical surgical, and neuroscience. Its products include treatments for aneurysms, strokes, and hernias, along with insulin pumps for diabetes patients— essential medical needs that people are unlikely to cut back on.

Medtronic plc (NYSE:MDT) is well-positioned for long-term growth, supported by its strong industry presence and the global trend of an aging population. The company has also invested in areas with significant future potential, such as robotic-assisted surgery. While Intuitive Surgical currently leads this market, Medtronic sees opportunity, noting that fewer than 5% of eligible surgeries are performed robotically today.

Medtronic plc (NYSE:MDT) has been rewarding shareholders with growing dividends for the past 48 years, which makes it one of the best dividend stocks for a recession. It pays a quarterly dividend of $0.71 per share and has a dividend yield of 3.01%, as of September 26.

While we acknowledge the potential of MDT as an investment, 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 MDT and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.