Archives March 2025

Nvidia (NVDA) shares will remain in focus after falling sharply Wednesday amid concerns that stricter enforcement of new energy rules in China could weigh on the AI chipmaker’s sales.

According to a Financial Times report, authorities are advising Chinese groups to use chips that meet stricter requirements in new data centers and when expanding existing facilities, potentially threating the sales of Nvidia’s less powerful H20 chip, which the company tailors to comply with U.S. export restrictions.

Through Wednesday’s close, Nvidia shares have lost about a quarter of their value since hitting their record high in January, pressured by concerns over AI spending, moderating sales growth and uncertainty over the Trump administration’s trade policies. The stock fell nearly 6% on Wednesday to finish the session at $113.76.

Below, we take a closer look at Nvidia’s chart and use technical analysis to identify key price levels worth watching out for.

Pennant Pattern Breakdown

Since setting their record high in early January, Nvidia shares have trended lower within a descending channel.

The price broke down below a pennant pattern in Wednesday’s trading session on the highest volume in more than a week, indicating a continuation of the stock’s current move lower.

It’s also worth pointing out that the 50-day moving average (MA) recently crossed below the 200-day MA to form an ominous death cross, a chart pattern that forecasts the start of a new downtrend. Moreover, the relative strength index (RSI) has moved back below the 50 threshold to signal weakening price momentum.

Let’s identify crucial support and resistance levels on Nvidia’s chart that investors may be eyeing.

Crucial Support Levels to Eye

Firstly, it’s worth keeping track of the $105 level if the shares continue to move lower. Buyers could look for entry points in this area near the March low, which also closely aligns with a range of similar prices on the chart stretching back to May last year.

Further selling could see the shares revisit lower support around $96. This region on the chart may garner support near last year’s twin March peaks, which roughly sit at the same level as the early-August sell-off low. Interestingly, this area also lies in the same vicinity as a projected bars pattern target that takes the stock’s recent impulsive move lower and repositions it from today’s pennant pattern breakdown.

Key Resistance Levels Worth Monitoring

Amid a recovery effort in the stock, investors should monitor how the price responds to the $130 level. The shares may run into overhead resistance in this area near a trendline situated just above the two moving averages that links multiple peaks and troughs on the chart extending back to the August swing high.

Finally, a decisive close above this level could drive a rally to around $150. Investors who have bought Nvidia shares at lower levels may seek profit-taking opportunities near several peaks that formed on the chart just below the stock’s record high.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

Corporate euphemisms for firing people … Amazon and record profits … Louis Navellier’s stock market binary … tomorrow’s “Technochasm” event

“Corporate Ozempic.”

That’s how marketing professor and public figure Scott Galloway describes AI.

And just as some Ozempic users are shy to reveal they’re taking the drug, many corporate managers are hesitant to admit they’re using AI to trim their workforce.

Instead, we’re getting phrases like “cost-cutting efforts”, “focus on efficiency”, and the latest buzzword, “cost avoidance.”

But make no mistake – what we’re seeing is a swap-out of human workers for AI/robotics.

Here’s The Wall Street Journal:

Businesses are starting to link their artificial intelligence initiatives with paring back hiring plans, or so-called cost avoidance, in an effort to justify investing in the technology…

Cost avoidance is an appropriate term, according to Thomas Bodenski, chief operating officer of financial software company TS Imagine, because “we have this mindset: doing more with the same.”

Rather than hiring more knowledge workers for repetitive tasks such as filtering emails, Bodenski said, implementing a new AI-based sorting process has allowed TS Imagine to hold headcount at existing levels…

TS Imagine receives 100,000 email alerts each year, Bodenski said, and manually sorting them requires 4,000 hours of work—roughly equivalent to 2½ full-time workers.

AI can do the work at 3% of the cost of the employees, he said.

As you’d imagine, when AI enables corporate managers to achieve the same output at just 3% of the human workforce cost, people lose jobs and companies get rich.

Here’s Galloway:

Recent financial news features two stories: layoffs and record profits. These are related.

As one illustration, look at Amazon

Here’s Domusweb (a digital newspaper) to establish context:

Amazon.com Inc. is the second largest employer in the world, with 1.5 million employees.

Compared to its 2021 peak, however, it has seen a reduction of more than 100,000 employees in parallel with the expansion of its robotic fleet, which grew from 200,000 machines in 2019 to 520,000 in 2022, and now stands at 750,000.

Tying in “record profits,” let’s jump to Fortune from last month:

After posting a record-breaking $20 billion in profits during the fourth quarter of 2024 alone, almost double its $10.6 billion from the same quarter the prior year, Amazon is once again looking like the version of itself that many of its rivals should fear…

[Amazon CEO Andy Jassy] told analysts on an earnings call Thursday that Amazon will spend around $100 billion or more on capital expenses in 2025, up at least 20% from 2024.

The “vast majority” of this year’s capex will go toward supporting Amazon’s broad and deep investments into artificial intelligence infrastructure as the tech giant competes for what Jassy called “probably the biggest technology shift and opportunity since the internet.”

Earlier this week, legendary investor Louis Navellier weighed in on this shift, speaking directly about Amazon

For newer Digest readers, Louis is one of the most respected analysts in our industry. His ability to see what’s coming – and get his subscribers there ahead of time – has helped him amass one of the most envied newsletter performance-records in our business.

Here’s Louis:

Amazon is building out fully autonomous warehouses… it’s working to automate the delivery process with self-driving vans and delivery drones… and 30% of its “workforce” are already robots.

So, let me ask you this: How much longer until Amazon decides these robots are ready to take on the full workload of its 1.5 million remaining workers?

And what do you think will happen when 1.5 million hardworking Americans are suddenly out of a job?

I don’t like it when people lose their jobs, folks. But the reality is that this is happening whether we like it or not.

In this new world, there will be two kinds of companies:

1. Those that master AI and employ fewer and fewer people while generating huge amounts of revenue.
2. Those that go out of business.

And let’s be clear, this isn’t limited to struggling companies using AI as a lifeline to right the ship and return to profitability.

Most of the companies incorporating AI today are profitable. But AI can help them become even more profitable.

Here’s Forbes making this point in an article highlighting corporate job cuts:

Michael Ryan, a financial advisor, says that AI is a big driver in the [job cut] announcements…

“It’s not like these companies are struggling to stay afloat. They’re making these cuts while their bottom lines look good.

“I think what we’re seeing isn’t just a normal economic hiccup. It feels more like companies are using this moment to fundamentally reshape how they operate.

“They’re thinking, ‘Well, if we can replace these positions with automation, why wouldn’t we?’”

AI is going to widen today’s wealth gap

Yesterday, I highlighted the “Technochasm.” This is the term our global macro expert Eric Fry coined to describe the stark – and expanding – wealth gap in the United States that, in large part, has been driven by technology.

Louis has come to the same conclusion:

As more and more companies make these changes, a chasm is opening up.

On one side are the companies leveraging AI to unlock efficiency and boost profitability. This will allow some companies to cement their market leadership, while others will use it to supplant the current king of the hill.

On the other side of the divide will be those that fail to adapt. They will stagnate – or even collapse – under the weight of increased competition.

The reality is there is a shift ripping through the economy, and this split is going to create a vast chasm between the haves and have-nots.

Tomorrow morning at 10 a.m. Eastern, Louis, Eric, and our technology expert Luke Lango are holding an important roundtable discussion focused on this chasm.

They’ll discuss how to make sure you’re an investment “have” as AI continues to widen the gap between the “haves” and “have nots.”

Together, they have identified a small group of companies that appear best positioned to leverage AI to increase their bottom lines (and by extension, stock prices) – regardless of whether corporate managers admit that’s what’s happening or keep their “corporate Ozempic” hush hush.

Here’s more from Louis on tomorrow’s event:

During this broadcast, we will:

• Show you three critical steps you must take now to stay on the right side of the Technochasm,
• Share where the big money will be made in AI moving forward,
• Explain how the Trump administration just kicked off a modern-day Manhattan project… and why it could lead to US dominance,
• Detail why the AI Revolution has yet to deliver its biggest stock market winners,
• And so much more…

Essentially, we will give you the blueprint you need to follow if you want to make the most money possible in this next chapter of the Technochasm.

To reserve your seat, click here (the click will immediately register/sign you up).

Wrapping up…

Let’s bring today’s Digest full circle to those corporate buzzwords that are camouflaging what’s happening in the labor force. 

If you’re a regular market-watcher, you know that Palantir has been one of the best-performing stocks over the last two years. While the S&P has climbed 39% over this period, Palantir has exploded more than 1,000%.

With that background, here’s the WSJ:

At Palantir Technologies, which sells data-analytics software to businesses and governments, AI has already reduced future headcount by 10% to 15%, according to Chief Information Officer Jim Siders. 

Speaking at The Wall Street Journal’s CIO Network Summit event in October, Siders said “headcount avoidance” and associated savings enabled Palantir to invest in “the next round of experimentation.”

The Technochasm widens…

Have a good evening,

Jeff Remsburg

Across the globe, the growing adoption of digital payments is fueling an innovation boom. As the industry expands, so does the threat of fraud, costing businesses, financial institutions and individuals hundreds of billions of dollars annually.

Fraudsters are becoming more sophisticated, leveraging AI-generated deepfakes, synthetic identities and real-time payment (RTP) scams to outsmart traditional security measures. Financial institutions must continuously refine fraud detection techniques, strive to detect anomalies and strengthen collaboration with industry peers and regulators to prevent, detect and respond to emerging threats in real time.

The ever-rising threat of financial crime in cross border payments

With the payment solutions market expanding, malicious actors are also adapting. They’re enhancing existing tactics and perusing the latest technological solutions to devise new schemes to defraud businesses, consumers and governments.

“For years, banks have focused on understanding and technological advances of detecting fraud,” Karen Boyer, SVP and Director of Fraud Intelligence at M&T Bank, says on the Converge podcast. “Fraudsters quickly adapted, noticing that often the weakest link is the human.”

What’s fintech fraud?

Fintech fraud refers to any deceptive or illegal activity within the financial technology (fintech) industry. Fintech companies are particularly vulnerable to fraud because their solutions are easy and convenient to use and they handle sensitive data, such as banking details or transaction histories. This makes it harder and more important for fintech companies to protect user data and prevent unauthorized access, breaches or fraud. Leveraging advanced technologies and robust security measures is crucial in safeguarding against these threats.

Fraud by the numbers

Today’s fraud economy is thriving. Financial crime is organized, automated and scalable.

According to the Nasdaq Verafin Global Financial Crime Report, an estimated $3.1 trillion of illicit funds flowed through the global economy in 2023. This accounts for approximately 3% of total economic activity. Scams and other financial fraud schemes are among the leading causes of significant financial losses for both individuals and institutions — they are estimated to amount to $485.6 billion.

In the US alone, financial fraud costs the economy $138.3 billion. Adding those losses back would have boosted economic growth by more than 0.5%, lifting annual GDP growth to over 3%.

In 2024, the volume of fraudulent transactions and dollars lost to fraud grew at a faster rate than in the previous year. The share of fraud stemming from scams rose by 56%, while the losses rose by 121%. Now, banks report scams as the most common form of fraud, accounting for 23% of all fraudulent transactions.

Who’s affected by financial fraud?

The short answer is — everyone. In 2024, 60% of financial institutions and fintechs reported increased fraud. Enterprise banks reported the most fraud growth, at nearly 70%.

The good news is that, according to Alloy’s 2025 State of Fraud Report, many financial institutions are now better equipped to recognize fraudulent transactions. Nearly all decision-makers (99%) are ramping up efforts to detect attacks using some form of machine learning or artificial intelligence (AI) to protect all stakeholders.

Key trends

Just as technical innovation is improving fraud detection and response, it also makes fraud increasingly sophisticated and better at exploiting vulnerabilities.

Malicious AI-powered tools are readily available for purchase on dark web marketplaces, Telegram and even mainstream social media platforms, and bad actors can perpetrate large-scale scams with minimal effort.

Fraud is appealing: “Detection is relatively low, the payout is big, and fraud is perceived to be part of the cost of doing business,” David Maimon, Head of Fraud Insights at SentiLink, explains. “So why not?”

Some of the most pertinent types of fraud in 2025 include:

Synthetic identities

A synthetic identity is a mix of real and fake information. It’s a made-up person with enough credibility to open bank accounts, get loans, send payments and disappear with stolen funds. Synthetic identity theft occurs when fraudsters combine stolen personally identifiable information (PII), such as a Social Security number, with a fabricated name or birthdate to bypass identity verification.

Because synthetic identities contain legitimate data, they often evade traditional fraud detection systems.

To combat synthetic identity fraud, financial institutions leverage advanced machine learning algorithms to help verify identities from various additional sources. They also join anti-fraud networks to access a shared database of fraud reports.

Fraud-as-a-Service (FaaS)

FaaS has become an industry, now thriving on a global scale. With generative AI, fraudsters-for-hire can effortlessly streamline account openings, manipulate screen layouts and automate onboarding, perpetrating fraud across multiple financial institutions.

Seventy-one percent of financial institutions reported that organized crime rings perpetrated the majority of fraud attempts aimed at their organizations.

Social engineering and deepfake scams

Business email compromise (BEC) is a type of phishing or social engineering attack in which a fraudster tricks the victim into sending money or sharing sensitive information by pretending to be a boss, a trusted colleague or a business partner. BEC scams and account takeovers (ATO) often employ a sense of urgency to mislead the victim, obtain their login credentials and gain unauthorized access to financial accounts.

Fears that generative AI images, videos and audio clips would unleash a tsunami of fraud have not yet come to fruition. However, deepfake tools are rapidly evolving and expected to grow substantially.

Since phishing scams and social engineering attacks exploit human behavior rather than technical vulnerabilities, awareness and education remain the most effective defense tactics against this type of fraud.

Payments fraud

Real-time payment fraud and authorized push payment (APP) fraud are two types of scams commonly seen with digital payments. Criminals use stolen credit card information or hijacked online payment accounts to complete unauthorized transactions. While they are distinct in principle, APP fraud often employs RTP systems for the same reason consumers and businesses love them — their convenience and immediacy. The biggest challenge with this type of fraud is that there’s no “undo” button: Once money is sent, it’s gone.

Fraudsters can gain access to an account or exploit RTP infrastructure to steal money, but they most often use social engineering to convince victims to authorize payments they can’t reverse.

Through a multilayered approach of communication, education and technology, financial institutions and fintech companies can help mitigate the impact of payments fraud.



Fighting fraud with innovation and collaboration

Alongside traditional financial institutions, the fintech sector deploys innovative solutions, such as AI-powered fraud detection tools that discover anomalies in real time, enhance biometric authentication and secure open banking frameworks. Blockchain and distributed ledger technology help fintech companies address the challenges of cross-border payments, offering transparency and traceability, reducing fraud risk and enhancing security.

By embracing next-generation fraud prevention strategies, fintechs can stay ahead of financial criminals and build a more secure digital finance ecosystem.

Fraud prevention and detection strategies

To prevent and detect fintech fraud, companies should follow these 10 best practices:

1. Strong authentication processes: Implement strong authentication mechanisms such as multi-factor authentication (MFA), biometric verification and strict password policies to make unauthorized access much more difficult.
2. Advanced encryption: Encrypt data at rest and in transit with strong, up-to-date encryption standards to ensure that data cannot be easily understood or misused.
3. Fraud detection systems: Use AI and machine learning to detect and prevent fraud in real time by analyzing transaction patterns and flagging anomalies.
4. Regular security audits: Conduct regular audits of security infrastructure to identify and address vulnerabilities before attackers can exploit them.
5. Employee training: Hold regular employee training sessions on the latest fraud prevention techniques and security best practices to prevent human error.
6. Secure software development practices: Prioritize security at every stage of software development to prevent vulnerabilities.
7. Transaction limits and alerts: Set limits on transaction sizes or frequencies to mitigate the impact of fraud.
8. API security: Secure APIs with proper authentication and encryption and limit data access based on user or service roles.
9. Monitoring and response: Build a dedicated team to monitor for signs of fraud and respond quickly to minimize damage.
10. Customer education: Educate customers about fraud risks and safe practices to help prevent them from falling prey to phishing or other forms of social engineering.

The role of user education

User education plays a crucial role in preventing fintech fraud.

By educating consumers — and employees — about the risks of fraud and how to protect themselves, fintech companies can reduce the likelihood of successful fraud attempts. They can do this by providing insights into common types of fraud, such as phishing and social engineering, and offering tips on detecting and preventing these types of attacks.

Empowering with knowledge helps create a more secure financial environment and reduces the overall impact of fraud.

Regulatory requirements for fintech fraud prevention

Fintech companies must comply with various regulatory requirements designed to prevent fraud and protect consumer data. These requirements may include:

1. Know Your Customer (KYC): Fintech companies must verify the identity of their customers and maintain records of this information.
2. Anti-Money Laundering (AML): Fintech companies must implement measures to detect and prevent money laundering activities.
3. Payment Card Industry Data Security Standard (PCI DSS): Fintech companies that handle payment card information must comply with PCI DSS requirements to ensure the secure storage and transmission of this data.
4. General Data Protection Regulation (GDPR): Fintech companies that handle personal data of EU citizens must comply with GDPR requirements to ensure the secure storage and transmission of this data.

By following these best practices and complying with regulatory requirements, fintech companies can reduce the risk of fraud and protect their customers’ sensitive information.

Payments fraud detection: Strategies to detect anomalies

Real-time payments call for real-time fraud detection. Using machine learning algorithms and AI, the latest tools can screen cross-border real-time payments before a payment request reaches the bank.

For example, machine learning models can analyze user behavior or device-specific information to verify a user’s identity and create a unique profile for each user. This can help detect an account takeover or APP fraud in real time.

Adding APIs to the payment platform can help keep financial institutions safe from fraud damage. APIs can automate security, regulations and sanctions screenings, identify anomalies and block suspicious payments.

Why collaboration is key to stopping financial crime

Even with the most advanced tools, fighting fraud is no easy task. A culture of transparency is essential — without openly sharing information about fraud incidents, businesses remain vulnerable.

In the US, for example, there’s no unified jurisdiction, so a business can file a fraud complaint in six or seven different places.

This fragmentation makes cross-border payment operations particularly challenging, as fraudsters tend to adapt quickly to new paradigms. For financial institutions, the solution often lies in greater collaboration and the trend towards open data.

In response, fintech organizations have been forming fraud data sharing consortiums, such as Sonar, allowing banks and other financial institutions to verify whether their customer data has been compromised in a breach or used for fraudulent activities.

As the global commerce and cross-border payments ecosystem expands, so does the awareness that its participants and stakeholders must work together to combat financial crime.

Want more insights on the topics shaping the future of cross-border payments? Tune in to Converge, with new episodes every Wednesday.

Plus, register for the Daily Market Update to get the latest currency news and FX analysis from our experts directly to your inbox.

Updated on March 26th, 2025 by Bob Ciura
Spreadsheet data updated daily

The Dividend Aristocrats are a select group of 69 S&P 500 stocks with 25+ years of consecutive dividend increases.

The requirements to be a Dividend Aristocrat are:

• Be in the S&P 500
• Have 25+ consecutive years of dividend increases
• Meet certain minimum size & liquidity requirements

There are currently 69 Dividend Aristocrats.

You can download an Excel spreadsheet of all 69 Dividend Aristocrats (with metrics that matter such as dividend yields and price-to-earnings ratios) by clicking the link below:

 

Disclaimer: Sure Dividend is not affiliated with S&P Global in any way. S&P Global owns and maintains The Dividend Aristocrats Index. The information in this article and downloadable spreadsheet is based on Sure Dividend’s own review, summary, and analysis of the S&P 500 Dividend Aristocrats ETF (NOBL) and other sources, and is meant to help individual investors better understand this ETF and the index upon which it is based. None of the information in this article or spreadsheet is official data from S&P Global. Consult S&P Global for official information.

However, even Dividend Aristocrats can fall from grace. For example, Walgreens Boots Alliance (WBA) was removed from the Dividend Aristocrats list in 2024.

The company slashed its dividend due to a pronounced business downturn in the brick-and-mortar pharmacy retail industry, amid elevated competitive threats from online pharmacies.

This was after Walgreens Boots Alliance had maintained a 40+ year streak of consecutive dividend increases.

While dividend cuts from Dividend Aristocrats are unexpected, they have happened–and could happen again. To be clear, the following 3 Dividend Aristocrats are not currently in jeopardy of cutting their dividends.

Their dividend payouts are supported with sufficient underlying earnings (for now). If their earnings remain stable or continue to grow, they have at least a decent change of continuing their dividend growth.

But, the 3 Dividend Aristocrats below are facing fundamental challenges to varying degrees, which potentially threatens their dividend payouts.

This article will provide a detailed analysis on the three Dividend Aristocrats most in danger of a future dividend cut.

Table of Contents

Red Flag Dividend Aristocrat For 2025: Albemarle Corporation (ALB)

• Dividend Risk Score: B
• Dividend Yield: 2.1%

Albemarle is the largest producer of lithium and second largest producer of bromine in the world. The two products account for nearly two-thirds of annual sales. Albemarle produces lithium from its salt brine deposits in the U.S. and Chile.

The company has two joint ventures in Australia that also produce lithium. Albemarle’s Chile assets offer a very low-cost source of lithium. The company operates in nearly 100 countries.

Albemarle, like any commodity producer, is beholden to the underlying commodity price for growth and profitability. Unfortunately, the steep drop in lithium prices has caused a massive decline in Albemarle’s financial performance in recent quarters.

On February 12th, 2025, Albemarle announced fourth quarter and full year results. For the quarter, revenue fell 48% to $1.23 billion and was $110 million less than expected.

Source: Investor Presentation

Adjusted earnings-per-share of -$1.09 compared very unfavorably to $1.85 in the prior year and was $0.42 below estimates.

For the year, revenue declined 44% to $5.4 billion while adjusted earnings-per-share was -$2.34.

Results were impacted by asset write-offs and weaker average prices for lithium. For the quarter, revenue for Energy Storage was down 63.2% to $616.8 million.

This segment was impact by weaker volumes (-10%) and lower prices (-53%). Revenues for Specialties were lower by 2.0% to $332.9 million as volume (+3%) was offset by a decrease in pricing (-5%).

Results are not expected to meaningfully improve in 2025. Albemarle expects 2025 full-year revenue in a range of $4.9 billion to $5.2 billion. The company is expected to produce earnings-per-share of -$0.80 in 2025.

Continued declines in sales, along with net losses, could threaten Albemarle’s dividend payout. This is especially true if lithium prices continue to drop.

Click here to download our most recent Sure Analysis report on ALB (preview of page 1 of 3 shown below):

Red Flag Dividend Aristocrat For 2025: Amcor plc (AMCR)

• Dividend Risk Score: F
• Dividend Yield: 5.0%

Amcor plc is one of the world’s most prominent designers and manufacturers of packaging for food, pharmaceutical, medical, and other consumer products. The company emphasizes making responsible packaging that is lightweight, recyclable, and reusable.

Today, the Amcor plc, which trades on the NYSE, was formed in June 2019 with the merger between two packaging companies, U.S-based Bemis Co. Inc. and Australia-based Amcor Ltd. Amcor plc’s current headquarters is in Bristol, U.K.

The current dividend yield is attractive compared to the broader market, but the payout ratio is high at nearly 70% expected for 2025.

As a packaging manufacturer, Amcor is particularly exposed to the global economy. It would be difficult for the company to maintain its dividend in a steep recession as a result. AMCR stock receives our lowest Dividend Risk Score of ‘F’.

Click here to download our most recent Sure Analysis report on AMCR (preview of page 1 of 3 shown below):

Red Flag Dividend Aristocrat For 2025: Franklin Resources (BEN)

• Dividend Risk Score: C
• Dividend Yield: 6.1%

Franklin Resources is an investment management company. It was founded in 1947. Today, Franklin Resources manages the Franklin and Templeton families of mutual funds.

On January 31st, 2025, Franklin Resources reported net income of $163.6 million, or $0.29 per diluted share, for the first fiscal quarter ending December 31, 2024.

This marked a significant improvement from the previous quarter’s net loss of $84.7 million, though EPS remained lower than the $251.3 million net income recorded in the same quarter last year.

Source: Investor presentation

The past few years have been difficult for Franklin Resources. Franklin Resources was slow to adapt to the changing environment in the asset management industry.

The explosive growth in exchange-traded funds and indexing investing surprised traditional mutual funds.

ETFs have become very popular with investors due in large part to their lower fees than traditional mutual funds. In response, the asset management industry has had to cut fees and commissions or risk losing client assets.

Earnings-per-share are expected to decline in 2025 as a result. The company still maintains a manageable payout ratio of 51% expected for 2025, but if EPS continues to decline, the dividend payout could be in danger down the road.

Click here to download our most recent Sure Analysis report on BEN (preview of page 1 of 3 shown below):

Final Thoughts

The Dividend Aristocrats are among the best dividend growth stocks in the market.

And while most Dividend Aristocrats will continue to raise their dividends each year, there could be some that end up cutting their payouts.

While it is rare, investors have seen multiple Dividend Aristocrats cut their dividends over the past several years, including Walgreens Boots Alliance, 3M Company (MMM), V.F. Corp. (VFC), and AT&T Inc. (T).

While the three Dividend Aristocrats presented here have been successful raising their dividends each year to this point, they all face varying levels of challenges to their underlying businesses.

For this reason, income investors should view the 3 red flag Dividend Aristocrats in this article cautiously going forward.

Additional Reading

Additionally, the following Sure Dividend databases contain the most reliable dividend growers in our investment universe:

If you’re looking for stocks with unique dividend characteristics, consider the following Sure Dividend databases:

Editor’s Note:  On Monday, my InvestorPlace colleague Eric Fry talked about the emerging gap that’s forming between companies that leverage rapid technological innovation and those that don’t.

He called it the “Technochasm.”

And yesterday, my InvestorPlace colleague Luke Lango explained the unprecedented waves of change heading our way thanks to the Technochasm.

Now, it’s my turn.

Today, I’ll explain how the acceleration of the Technochasm could lead to the biggest wealth shift of our lives.

But before I do that, you’ll need to mark your calendar for tomorrow, March 27, at 10 a.m. Eastern time. That’s when we’re hosting our urgent briefing to give you the blueprint you need to follow if you want to make the most money possible from this next chapter in the Technochasm.

Click here to automatically reserve your seat for the event.

Now, let’s dive into today’s essay…

In the second part of Global Finance’s conversation with former US Secretary of Commerce Wilbur Ross—who served during President Trump’s first term—the discussion shifts to the impact of Trump’s tariffs and trade policy on CEOs, CFOs, and key trading partners like Canada, Mexico, and India.

Global Finance: What would you recommend to CEOs and CFOs navigating this climate of uncertainty due to US tariffs and trade policy as they determine their near- and long-term strategies?

Wilbur Ross: Yes, reshoring and nearshoring were some things that would develop momentum in any event. President Trump is going to accelerate that.

Whatever plan people had for relocating production, it would be wise to accelerate it. Now, whether that means moving operations to Mexico or the US, that’s another question. But the days when a company could make one component in one country, a second in another, and a third in yet another—then bring them all to a fourth country for assembly—are ending.

Therefore, it should be more of a question of to what degree you relocate facilities and whether or not to do so, and to a degree where to relocate them. The rules of origin will be much more important to Canada, but particularly to Mexico, than before. So, as long as one incorporates that into their thinking, I think relocation is the wise move to make.

GF: Is the message different for CEOs and CFOs outside the US?

Ross: Yes, it could be if they adopt policies similar to Trump’s. We are moving toward an era where what has been called “protectionism” becomes much more of a centerpiece of everyone’s trade policy. But what Europe must do to be effective is to deregulate some. The regulatory burden that European governments impose on their companies is a real impediment to reshoring. Europe has become too intrusive in the business community.

Trump has also said he will require his cabinet members to cancel an even higher ratio of existing regulations relative to any new ones they implement—higher than what we had the first time. The first time, you were required to cancel two for each one you put in. He may be pushing for as many as eight, but certainly more than two. That’s one thing.

Tax policy is the other thing. You have to look at Trump’s trade activities in the context of what he is doing overall. Between deregulation and reducing corporate taxes, he’s changing the economic attractiveness of being in the U.S. regardless of tariffs. And then when you load on top of that, a bit sturdier tariff policy, you have a combination of factors that will prove very powerful.

GF: Which means that you also think this will be the outcome of the current situation?

Ross: Okay, well, there will naturally be a lag. You can’t build a new facility of any size in 10 minutes. There may be some near-term dislocation as we face higher tariffs, but we don’t yet have the increased production to offset them.

Now, that’s not a universal problem. Many of our industries operate at only 70–80 percent capacity. Therefore, not only will they be able to meet increased demand, but this will also help them absorb part of the tariff on imported components. When production increases from 70 or 80 percent capacity, the marginal costs are very small. You’ll have that factor and probably another factor—currency readjustment. How that plays out will have an important impact on how well industries do globally in each area.

To that end, if U.S. Federal Reserve Chairman Jerome Powell is slow to reduce interest rates while Europe moves at a faster pace, that will clearly have implications for currencies.

One of my concerns for Europe is that if they lower interest rates too quickly relative to the U.S., it could have real impacts on their currency. That would hurt imports but help exports. If I were a European manager, I would be more eagle-eyed than ever about the outlook for currency fluctuations.

GF: Looking at the various industry sectors, are there sectors that deserve tariffs? Are there also sectors that should not see tariffs in these negotiations?

Ross: Well, I have focused more on those who might need it than those who might not. However, pharmaceuticals are a big import to the U.S. Since U.S. drug prices are already higher than others, I don’t think hefty tariffs on pharmaceuticals would be particularly well-fitting to our economy.

But they’re going in on the really big item—the automobile. Automobile manufacturing has caused a fair degree of factory expansion here and in Mexico. In the automotive industry, you must look at the U.S. and Mexico combined because of the concept of rules of origin. In those areas, it’s inevitable. So, I think you’re right—it will vary somewhat by industry. But for the most part, most manufacturing businesses probably don’t expect there will be more tariff burdens.

GF: Would large U.S. exporters, such as technology manufacturers, be affected negatively by this?

Ross: Well, Europe doesn’t have the technological content we have so far. The giant companies in Europe are not comparable to what we call “The Magnificent Seven” over here. Europe’s response seems to have been antitrust and tax complaints, trying to hold back American companies rather than doing things that would effectively build up a European champion.

GF: What of those U.S. industry sectors geared more toward exports? Are they at risk because of tariff reciprocity in the near term?

Ross: Well, apparel is a significant import from Asian countries, and it wouldn’t surprise me if that were to continue. Some of those brands, such as the European brand Zara, have become very, very powerful players in the US. It’s a Spanish company, but it mainly produces its material in Turkey. Meanwhile, Vietnam and Mexico have become big competitors in what we used to call sneakers. So, some things will remain there that will not be affected by the tariffs.

But remember, the real purpose of the tariffs—and one that I hope will be achieved long term—is to let the rest of the world know exactly what they must do to bring our tariffs down, namely, to bring down their own tariffs. The unexpected result of the new US tariff policy could very well be lower tariffs in the long term.

Take India, for example. India’s tariffs are extremely high on most products. Prime Minister Narendra Modi wants to industrialize India. It’ is a logical place to be competitive with China if they can meet their infrastructure needs, because Indians have very good quality manufacturing skills, technological skills, and engineering skills. They have a large population base, so there’s no reason they can’t compete. What’s been holding them back has been the need for more roads and railroads. You need things like that in the way of transportation infrastructure to be much more highly developed for India to flourish. There’s a good chance that PM Modi will do that.

Vietnam has already benefited greatly from the pressures being put on China, which will probably continue. However, Vietnam has a much smaller economy and population base, so it can’t remotely replace China.

Read Part 1 of Global Finance‘s interview with Wilbur Ross:

Published on March 26th, 2025 by Bob Ciura

The goal of rational investors is to maximize total return under a given set of constraints.

The three components of expected return are:

• Earnings-per-share growth
• Dividend payments
• Expansion/contraction of the valuation multiple

At Sure Dividend, we believe high-quality dividend growth companies represent the best stocks to buy-and-hold for the long run.

This is why we recommend stocks that have established track records of paying dividends, and raising their dividends over time.

Blue-chip stocks are established, financially strong, and consistently profitable publicly traded companies.

Their strength makes them appealing investments for comparatively safe, reliable dividends and capital appreciation versus less established stocks.

This research report has the following resources to help you invest in blue chip stocks:

 

This list contains important metrics, including: dividend yields, payout ratios, dividend growth rates, 52-week highs and lows, betas, and more.

There are currently more than 500 securities in our blue chip stocks list.

Even better, investors can maximize their portfolio return by purchasing quality dividend stocks when they are undervalued.

This article discusses the 10 best dividend stocks in the Sure Analysis Research Database currently trading within 10% of their 52-week lows.

The list excludes REITs, MLPs, and BDCs. The stocks are arranged by annual expected returns, in ascending order.

Table of Contents

The table of contents below allows for easy navigation.

Beaten Down Dividend Stock #10: Nordson Corp. (NDSN)

• Expected Total Return: 14.5%

Nordson was founded in 1954 in Amherst, Ohio by brothers Eric and Evan Nord, but the company can trace its roots back to 1909 with the U.S. Automatic Company.

Today the company has operations in over 35 countries and engineers, manufactures, and markets products used for dispensing adhesives, coatings, sealants, biomaterials, plastics, and other materials, with applications ranging from diapers and straws to cell phones and aerospace.

Source: Investor Presentation

On December 11th, 2024, Nordson reported fourth quarter results for the period ending October 31st, 2024. For the quarter, the company reported sales of $744 million, 4% higher compared to $719 million in Q4 2023, which was driven by a positive acquisition impact, and offset by organic decrease of 3%.

Industrial Precision saw sales decrease by 3%, while the Medical and Fluid Solutions and Advanced Technology Solutions segments had sales increases of 19% and 5%, respectively.

The company generated adjusted earnings per share of $2.78, a 3% increase compared to the same prior year period.

Click here to download our most recent Sure Analysis report on NDSN (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #9: Sysco Corp. (SYY)

• Expected Total Return: 14.7%

Sysco Corporation is the largest wholesale food distributor in the United States. The company serves 600,000 locations with food delivery, including restaurants, hospitals, schools, hotels, and other facilities.

Source: Investor Presentation

On January 28th, 2025, Sysco reported second-quarter results for Fiscal Year (FY)2025. The company reported a 4.5% increase in sales for the second quarter of fiscal year 2025, reaching $20.2 billion.

U.S. Foodservice volume grew by 1.4%, while gross profit rose 3.9% to $3.7 billion. Operating income increased 1.7% to $712 million, with adjusted operating income growing 5.1% to $783 million. Earnings per share (EPS) remained at $0.82, while adjusted EPS grew 4.5% to $0.93.

The company reaffirmed its full-year guidance, projecting sales growth of 4%-5% and adjusted EPS growth of 6%-7%.

Click here to download our most recent Sure Analysis report on SYY (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #8: Archer Daniels Midland (ADM)

• Expected Total Return: 14.9%

Archer-Daniels-Midland is the largest publicly traded farmland product company in the United States. Archer-Daniels-Midland’s businesses include processing cereal grains, oilseeds, and agricultural storage and transportation.

Archer-Daniels-Midland reported its third-quarter results for Fiscal Year (FY) 2024 on November 18th, 2024.

The company reported adjusted net earnings of $530 million and adjusted EPS of $1.09, both down from the prior year due to a $461 million non-cash charge related to its Wilmar equity investment.

Consolidated cash flows year-to-date reached $2.34 billion, reflecting strong operations despite market challenges.

Click here to download our most recent Sure Analysis report on ADM (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #7: Agilent Technologies (A)

• Expected Total Return: 14.9%

Agilent Technologies, Inc. (A) offers instruments, software, and services to life sciences, diagnostics, and applied chemicals markets. It is a global company with operations in the Americas (which accounted for 40% of FY 2024 revenue), Asia Pacific (33%), and Europe (27%).

The company is separated into three segments: Life Sciences & Diagnostics Markets Group (LDG), Agilent CrossLab Group (ACG), and Applied Markets Group (AMG). ACG makes up nearly half of its total revenue (42%), with LDG (38%) and AMG (20%) making up the remainder.

Its end markets are primarily Chemicals and Advanced Materials, and Pharma, with Diagnostics and Clinical, Environmental & Forensics, Food, and Academia & Govt making up the remainder. Agilent has a market capitalization of $35 billion.

On February 26th, 2025, Agilent reported first quarter 2025 results for the period ending January 31st, 2024. For the quarter, the company generated net revenue of $1.68 billion, which was 1.4% higher year-over-year.

Adjusted net income equaled $377 million or $1.31 per share, a 2% increase compared to Q1 2024. The company’s LDG and ACG segments saw revenue increases of 4% and 1% year-over-year, respectively, while AMG declined 4%.

Click here to download our most recent Sure Analysis report on Agilent (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #6: PPG Industries (PPG)

• Expected Total Return: 15.2%

PPG Industries is the world’s largest paints and coatings company. Its only competitors of similar size are Sherwin-Williams and Dutch paint company Akzo Nobel.

PPG Industries was founded in 1883 as a manufacturer and distributor of glass (its name stands for Pittsburgh Plate Glass) and today has approximately 3,500 technical employees located in more than 70 countries at 100 locations.

On January 31st, 2025, PPG Industries announced fourth quarter and full year results for the period ending December 31st, 2024. For the quarter, revenue declined 4.6% to $3.73 billion and missed estimates by $241 million.

Adjusted net income of $375 million, or $1.61 per share, compared favorably to adjusted net income of $372 million, or $1.56 per share, in the prior year. Adjusted earnings-per-share was $0.02 below expectations.

For the year, revenue from continuing operations decreased 2% to $15.8 billion while adjusted earnings-per-share totaled $7.87.

PPG Industries repurchased ~$750 million worth of shares during 2024 and has $2.8 billion, or ~10.3% of its current market capitalization, remaining on its share repurchase authorization. The company expects to repurchase ~$400 million worth of shares in Q1 2025.

For 2025, the company expects adjusted earnings-per-share in a range of $7.75 to $8.05.

Click here to download our most recent Sure Analysis report on PPG (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #5: United Parcel Service (UPS)

• Expected Total Return: 15.3%

United Parcel Service is a logistics and package delivery company that offers services including transportation, distribution, ground freight, ocean freight, insurance, and financing.

Its operations are split into three segments: US Domestic Package, International Package, and Supply Chain & Freight.

On January 30th, 2025, UPS reported fourth quarter 2024 results for the period ending December 31st, 2024. For the quarter, the company generated revenue of $25.3 billion, a 1.5% year-over-year increase.

Source: Investor Presentation

The U.S. Domestic segment (making up 68% of sales) saw a 2.2% revenue increase, with International also posting a 6.9% revenue increase, while Supply Chain Solutions saw a 9.1% decrease. Adjusted net income equaled $2.75 per share, up 11.3% year-over-year.

The company announced it is reducing its largest customer’s volume by over 50% by H2 2026, insourced 100% of its UPS SurePost product, and is redesigning its end-to-end process to deliver $1 billion in savings.

Click here to download our most recent Sure Analysis report on UPS (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #4: Pfizer Inc. (PFE)

• Expected Total Return: 15.9%

Pfizer Inc. is a global pharmaceutical company focusing on prescription drugs and vaccines. Pfizer formed the GSK Consumer Healthcare Joint Venture in 2019 with GlaxoSmithKline plc, which includes its over-the-counter business.

Pfizer owns 32% of the JV, but is exiting the company, now known as Haleon. Pfizer spun off its Upjohn segment and merged it with Mylan forming Viatris for its off patent, branded and generic medicines in 2020.

Pfizer’s top products are Eliquis, Ibrance, Prevnar family, Vyndaqel family, Abrysvo, Xeljanz, and Comirnaty.

Source: Investor Presentation

Pfizer’s current product line is expected to produce top line and bottom-line growth because of significant R&D and acquisitions.

Pfizer reported solid Q4 2024 results on February 4th, 2025. Company-wide revenue grew 21% operationally and adjusted diluted earnings per share climbed to $0.63 versus $0.10 on a year-over-year basis because of stabilizing COVID-19 related sales, growing revenue from the existing portfolio, and lower expenses.

Global Biopharmaceuticals sales gained 22% to $17,413M from $14,186M led by gains in Primary Care (+27%), Specialty Care (+12%), and Oncology (+27%). Pfizer Centerone saw 11% lower sales to $325M, while Ignite revenue was $26M.

Of the top selling drugs, sales increased for Eliquis (+14%), Prevnar (-4%), Plaxlovid (flat), Cominraty (-37%), Vyndaqel/ Vyndamax (+61%), Ibrance (-2%), and Xtandi (+24).

Click here to download our most recent Sure Analysis report on PFE (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #3: PepsiCo Inc. (PEP)

• Expected Total Return: 16.3%

PepsiCo is a global food and beverage company. Its products include Pepsi, Mountain Dew, Frito-Lay chips, Gatorade, Tropicana orange juice and Quaker foods.

Its business is split roughly 60-40 in terms of food and beverage revenue. It is also balanced geographically between the U.S. and the rest of the world.

Source: Investor Presentation

On February 4th, 2025, PepsiCo announced that it would increase its annualized dividend by 5.0% to $5.69 starting with the payment that was made in June 2025, extending the company’s dividend growth streak to 53 consecutive years.

That same day, PepsiCo announced fourth quarter and full year results for the period ending December 31st, 2025. For the quarter, revenue decreased 0.3% to $27.8 billion, which was $110 million below estimates.

Adjusted earnings-per-share of $1.96 compared favorably to $1.78 the prior year and was $0.02 better than excepted.

For the year, revenue grew 0.4% to $91.9 billion while adjusted earnings-per-share of $8.16 compared to $7.62 in 2023. Currency exchange reduced revenue by 2% and earnings-per-share by 4%.

Click here to download our most recent Sure Analysis report on PEP (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #2: Estee Lauder Cos. (EL)

• Expected Total Return: 16.9%

Estee Lauder is one of the world’s largest cosmetics and beauty care companies. It competes primarily in the upscale and prestige portion of the market. Sales break down as follows: Skin care makes up 52% of sales, makeup constitutes 28%, fragrance is another 16%, and hair care is the other 4%.

Leading brands include the namesake Estee Lauder along with Clinique, Aveda, M.A.C., and Origins among others. Estee Lauder is a truly international firm, operating in more than 150 countries.

Generally, revenues are split almost equally in thirds between the Asia-Pacific, Europe Middle East & Africa, and the Americas segments though Asia-Pacific is underperforming at the moment.

Estee Lauder has historically shown strong and consistent growth, with top-line revenues growing from $11.0 billion in 2014 to $17.7 billion in 2022. The firm’s strong branding and distribution network makes Estee Lauder a dominant competitor in most markets.

The company reported its Q2 2025 results on February 4th, 2025. Adjusted earnings-per-share of 62 cents fell from the $0.88 for the same period of last year, but greatly exceeded expectations of just 32 cents. Revenues of $4.0 billion decreased 6% year-over-year but beat expectations.

Click here to download our most recent Sure Analysis report on EL (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #1: Eversource Energy (ES)

• Expected Total Return: 19.7%

Eversource Energy is a diversified holding company with subsidiaries that provide regulated electric, gas, and water distribution service in the Northeast U.S.

FactSet, Erie Indemnity, and Eversource Energy are the three new Dividend Aristocrats for 2025.

The company’s utilities serve more than 4 million customers after acquiring NStar’s Massachusetts utilities in 2012, Aquarion in 2017, and Columbia Gas in 2020.

Eversource has delivered steady growth to shareholders for many years.

Source: Investor Presentation

On February 11th, 2025, Eversource Energy released its fourth-quarter and full-year 2024 results. For the quarter, the company reported net earnings of $72.5 million, a significant improvement from a net loss of $(1,288.5) million in the same quarter of last year, which reflected the impact of the company’s exit from offshore wind investments.

The company reported earnings per share of $0.20, compared with a loss per share of $(3.68) in the prior year. For the full year 2024, Eversource reported GAAP earnings of $811.7 million, or $2.27 per share, compared with a full-year 2023 loss of $(442.2) million, or $(1.26) per share.

On a non-GAAP recurring basis, the company earned $1,634.0 million, or $4.57 per share, representing a 5.3% increase from 2023.

Click here to download our most recent Sure Analysis report on ES (preview of page 1 of 3 shown below):

Other Blue Chip Stock Resources

The resources below will give you a better understanding of dividend growth investing:

Lenders are scaling up efforts to meet sustainable development targets, with capital directed toward healthcare, education, and essential infrastructure.

Major global banks and financial institutions are increasing their participation in the social bond market, strengthening the role of debt capital in addressing social challenges across the world.

Standard Chartered recently announced the issuance of its first $1.1 billion social bond. The proceeds are primarily earmarked to facilitate lending to small and medium-sized enterprises (SMEs), including support for women-owned businesses. Funds will also be allocated to healthcare, education, infrastructure development, and food security initiatives.

The transaction aligns with the bank’s Sustainability Bond Framework, which applies environmental and social standards across sensitive sectors. For instance, financial services are extended only to clients committed to reducing thermal coal dependence to below 5% of revenue by 2030.

In 2024, Deutsche Bank issued its first social bond, raising €500 million to expand its sustainable asset pool. The proceeds will finance affordable housing and essential services for elderly populations.

In January, the International Finance Corporation, part of the World Bank Group, raised $2 billion through its largest-ever social bond. The funds are aimed at supporting low-income communities across emerging markets.

Social bonds are structured similarly to conventional fixed-income instruments in terms of risk and return. The key distinction lies in the requirement for legal documentation specifying how proceeds will be allocated, ensuring transparency and accountability.

“The increase in the issuance of social bonds is aligned with the societal goals of both public and private entities,” says Conor Moore, Global Head of KPMG Private Enterprise. “While there are ebbs and flows in the political environment around sustainability initiatives, it will remain a priority for many institutions. This should result in further issuances across various regions and sectors.”

Mike Hayes, KPMG’s Global Climate Change and Decarbonization Leader, adds: “It should be noted that while the bulk of global investment will be directed toward sustainable energy and infrastructure, many of these projects involve a critical social dimension—referred to as the Just Transition.”

“In other words, unless social issues such as community and employee buy-in are addressed, projects are unlikely to move forward. This is one important role that social bonds can play in supporting infrastructure investment.”

According to the UN’s Financing for Sustainable Development Report 2024, the global financing gap for sustainable development remains vast—estimated at $4 trillion annually. While social bonds can help bridge part of this shortfall, they are unlikely to close it entirely.

Ceramic Liberty (CL8Y), a deflationary meme coin driving decentralized innovation, continues to strengthen its position in the crypto ecosystem with ongoing technical advancements, strategic integrations, and a growing developer community.

Key Milestones of CL8Y

Market Entry & Liquidity Growth

CL8Y officially launched on March 1, 2025, marking its entry into the crypto market. Shortly after, on March 3, 2025, liquidity was introduced on the P2B exchange, providing enhanced trading stability and accessibility for the growing CL8Y community.

Advancements in Open-Source Development

Since 2018, Ceramic has actively contributed to the blockchain space, maintaining over 60 open-source repositories on GitHub that support crypto, DeFi, and peer-to-peer applications.

CL8Y’s integration into major DeFi platforms enables automated buybacks and burns, reinforcing liquidity while promoting sustainable long-term growth.

Expanding Strategic Partnerships

• CZodiac has incorporated CL8Y into its automated liquidity pool mechanisms, increasing its utility within DeFi.

• TidalDex Broker Bot is preparing for launch, offering Telegram-based trading functionality. The bot’s transaction fees will contribute to the ongoing CL8Y burn mechanism.

• GarudaDex (GDEX) is progressing toward its launch, with USTC liquidity planned to enhance platform stability.

Progress Toward Market Listings

Following a successful petition to GoPlus, CL8Y’s liquidity tokens were reclassified, resolving prior concerns and enabling listing processing on CoinCodex, CoinCheckUp, and CoinCarp, among others.

P2B Trading Success

CL8Y’s trading activity on P2B has demonstrated strong engagement from the community, reinforcing liquidity and accessibility for new participants.

Upcoming Releases to Watch

TigerHuntV2

An interactive blockchain-based game where players can stake CL8Y to train, raise, and battle digital tigers. Expected launch: March 2025.

GDEX Integration

The upcoming GarudaDex (GDEX) launch will feature CL8Y integration and USTC liquidity pools, supporting a decentralized exchange ecosystem.

Why CL8Y Matters

• Deflationary Economics – A capped supply of 3,000,000 CL8Y, with automated burns designed to increase scarcity over time.

• Decentralization & Transparency – No presale, no private allocations, and a fully community-driven model.

• Fueling Open-Source Innovation – Supporting Ceramic’s ongoing development of decentralized blockchain solutions.

Join the Movement – Trade CL8Y on P2B

https://p2pb2b.com/trade/CL8Y_USDT

For more information, visit https://ceramicliberty.com

​Disclaimer: The views and opinions presented in this article do not necessarily reflect the views of CoinCheckup. The content of this article should not be considered as investment advice. Always do your own research before deciding to buy, sell or transfer any crypto assets. Past returns do not always guarantee future profits.

Soft-drink and beer makers stand to benefit as Americans consume less booze. 

That’s the take of analysts at Morgan Stanley, who late Tuesday published a report discussing possible outcomes as alcohol seems out of favor at the moment–a trend Investopedia has covered lately. The drivers, in short, include an increasingly health-conscious consumer, but also economic pressures that could be short-term. 

“With alcohol per capita consumption likely to decline, we see the zero-alcohol segment as ripe for strong growth,” Morgan Stanley wrote. “We believe that beer is better positioned than spirits in this regard. We similarly see higher growth for soft drinks, aided by stronger pricing power, and with innovation to better satisfy the ‘good for you’ criteria increasingly demanded by the younger consumer.”

Companies are making decisions informed by the same trends. PepsiCo (PEP) earlier this month agreed to buy prebiotic soda brand Poppi for $1.65 billion. Reed’s, a company known for ginger ales that trades over the counter, on a recent conference call discussed a new “multifunctional” line of sodas made with ingredients like organic ginger and mushroom extracts and comparably low calorie counts. 

“These beverages cater to the rising demand for health conscious, functional refreshment options and position us at the forefront of the evolving beverage market,” Reed’s CEO Norman Snyder said on the call, a transcript of which was made available by AlphaSense. Snyder added that “the early response from retailers has been overwhelmingly positive, reinforced by their expansion of shelf space dedicated to the functional and better-for-you beverage category.”

Among Morgan Stanley’s recommendations: Buy Coca-Cola (KO), avoid Brown-Forman (BF.B). They’re also positive on several European and Asian companies known for their beer offerings. 

“We believe that, in developed markets spirits growth will slow, as consumers shift towards lower/non-alcoholic options,” the analysts wrote. “For the beer market, we see this as an opportunity.”