Amidst concerns about potential overexposure to high-risk assets among institutional investors, a shift in focus towards more conservative investments presents an opportunity to reassess the best stocks to buy in April.
As evidenced by recent data showing a record outflow of $4.4 billion from technology-related securities within a single week, it’s apparent that smart money is seeking to diversify their portfolios.
For retail investors, this changing landscape may warrant a reevaluation of their investment allocations. Here are the top three stocks poised to perform well in April:
1. Sempra (SRE)
Sempra (NYSE:SRE) may not elicit excitement as a utility company, but its stable performance and conservative nature make it an attractive option in the current market environment. Despite its perceived dullness, Sempra offers a reliable investment opportunity, especially as institutional investors seek safer havens amidst market volatility.
In fiscal 2023, Sempra demonstrated consistent growth, with an average positive earnings surprise of 5.1% over the past four quarters. Analysts forecast earnings per share of $4.80 on sales of $16.79 billion for the current fiscal year, indicating steady progress.
With a forward dividend yield of 3.45%, Sempra offers a balanced investment option for April.
2. Exxon Mobil (XOM)
Despite concerns about the transition to clean energy, Exxon Mobil (NYSE:XOM) remains a significant player in the oil and gas industry. The company’s strong fundamentals and favorable geopolitical conditions position it as a compelling investment choice for April.
Exxon Mobil benefits from the high energy density of fossil fuels, ensuring continued demand even amidst growing calls for renewable energy sources. Additionally, geopolitical tensions in regions like Europe could artificially limit oil supplies, driving up demand and supporting Exxon Mobil’s performance.
Analysts project earnings per share of $8.35 on revenue of $308.31 billion for fiscal 2024, highlighting the company’s resilience despite fluctuations in the market.
With a forward dividend yield of 3.27%, Exxon Mobil offers stability and income potential for investors in April.
3. AbbVie (ABBV)
Operating within the healthcare sector, AbbVie (NYSE:ABBV) stands out as a promising investment opportunity, particularly with its recent acquisition of Allergan. The acquisition provides AbbVie with control over popular products like Botox, ensuring long-term revenue potential.
AbbVie’s consistent performance and focus on drug manufacturing contribute to its appeal as an investment option. Analysts anticipate earnings per share of $11.19 on revenue of $54.56 billion for fiscal 2024, reflecting modest growth over the previous year.
With a forward dividend yield of 3.44%, AbbVie offers investors a combination of stability and growth potential in April.
While these stocks present compelling investment opportunities, investors should conduct thorough research and consider their individual financial goals before making any investment decisions.
