BEST STOCKS to BUY in 2009: SAFE BEST STOCKS to INVEST in 2009 RECESSION

My goal in this and the next coming posts is to address typical questions which come in the mind of an investor like you and me: What are the best stocks to buy right now? What are the best investment strategies? etc. I hope that these posts will help us to take informed decisions for investing in 2009.

What are Best Indian Companies to invest in 2009?
I will quickly give a list of best indian stocks, perhaps i should say stocks which I think are best and more importantly safe for investing in 2009 and beyond. I will be posting a a more detailed analysis of each of this stock one by one in the coming month. To know more about each stock click on each link below to know more. If a link is not available yet, it will soon be.Best Stocks 2009
  1. GSK Pharma or Glaxo : Best Pharma Stock to invest in 2009
  2. Cipla : Good Stock, Pharma Stock - currently slightly overvalued?
  3. Hindustan Unilever. : Best FMCG Stock to invest in recession (Market leader)
  4. Nestle : Good FMCG Stock
  5. Tata Tea : Best FMCG Stock for investment, currently available at an attractive price.
  6. Britannia : Good FMCG Stock
  7. Marico : One of the best FMCG stocks, with high growth.
  8. Dabur : Good FMCG stock
  9. Titan Industries : Market leader - best Indian watch company - good long term investment option.
  10. Hero Honda : Good Auto Stock- best for long term investment especially since prices of petrol are low and interest rates are falling.
What are the Safe Sectors to invest in 2009 recession?
In a recession sectors like Real Estate, Retail, Metal etc. take the most hit. They are very risky sectors when you know the outlook for the economy is not good. As opposed to this there are two main sectors which do farely well even in ups and downs in economy. These two sectors are
  1. Pharma : Pharmaceutical companies - medicine making companies - are relatively insulated from sharp downturns, simply because of the logic that even if you dont get salary increments or are short of cash, you wouldn't stop buying medicine, would you?
  2. FMCG (Fast Moving Consumer Goods): These are consumer goods which are required on a daily basis - for e.g. toothpaste, soap, oil, etc. These goods being daily necessities, are relatively less affected in a recession when consumer sentiment is at very low.
Here are two FAQ or rather two Frequently Imagined Questions: If you have more questions, please discuss in a comment.
  1. Are the above stocks best in the sense they will guarantee 100% profit on investments? - there is no such thing like guarantee in stock market investments. The above stocks are top stocks or best stocks only in the sense that seem to have a high chance of surviving the market onslaught.
  2. Are there no best stocks from other sectors like real estate? I think other sectors like real estate are horrible investment options for 2009, especially in India because real estate prices are falling and they probably wont reach any bottom until the dawn of 2010. Perhaps 2009 end or later would be the best time to reconsider investing in real estate or auto stocks.



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  • Jan 29, 2009

    2 comments:

    AH February 26, 2009 at 12:53 AM  

    Best Indian IT STOCKS
    Not that I am bullish on IT industry in India. But if I had to choose the best IT stocks to invest in 2009, i would rather stick to Infosys and /or HCL. With Satyam Scam and Wipro also blacklisted from doing business with World Bank, I think Infosys and HCL stand to gain the most from clients shifting away from Satyam.

    Also I do understand the logic why some people are bullish on IT. The proposed logic is that Rupee is now quite weak, so good for the IT industry- also foreign firms will take more and more drastic measures to cut costs, so they will outsource whenever it makes monetary sense. And indeed outsourcing IT jobs to india does make monetary sense. This could be a boon for Indian IT and if you believe in this logic, i would suggest that Infosys shares, are one of the best shares you can bet on in the IT sector. HCL stock is good too.

    Unknown March 8, 2010 at 3:13 PM  

    i think after the takeover of satyam by mahindra . satyam started regaining his position , therefore satyam is lso a good option.

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