Investors Gear Up for an Uncertain 2025: Key Stocks to Consider

After Wednesday’s FOMC meeting, concerns loom for investors about what 2025 may hold. Jerome Powell, the Fed Chair, voiced worries over rising inflation and indicated a more hawkish approach moving forward. Rather than fixate on predictions for next year, investors might find it beneficial to build a diverse portfolio that can weather different economic scenarios.

While 2024 has been marked by robust economic growth, tranquil inflation, exciting AI advancements, and boosted tech stocks, the path for 2025 could differ significantly. Should the Fed maintain a stringent policy and inflation increase, a portfolio focused on commodities may perform better than one dominated by technology. Given the unpredictable nature of the future, diversifying through a balanced stock portfolio enables some investments to mitigate potential losses in others.

Below, three stocks reflect robust fundamentals and stand poised to thrive under varied economic conditions in the coming year. Gulfport Energy (GPOR) is an inflation hedge, McKesson (MCK) offers defensive qualities for downturns, and Marvell Technology (MRVL) is likely to thrive if AI gains more traction. Each of these companies also holds a top Zacks Rank.

Image Source: Zacks Investment Research

Gulfport Energy: A Strong Hedge Against Inflation

Based in Oklahoma City, Gulfport Energy is an independent oil and gas exploration and production company focused on the Utica Shale and Scoop Stack regions. With a strong emphasis on natural gas, it’s well-positioned to benefit from favorable trends in the energy sector.

If we see rising inflation again, commodities stocks often thrive—as demonstrated in 2022. Energy is particularly sensitive to price changes, and when prices rise, energy producers typically witness a swift increase in profits due to stable production costs.

Moreover, Gulfport Energy has compelling business fundamentals, boasting a Zacks Rank #1 (Strong Buy) rating and a reasonable valuation. With GPOR trading at a one-year forward earnings multiple of 11.9x and earnings projected to increase by 46% next year, it appears to be an attractive investment option.

Image Source: Zacks Investment Research

McKesson: Resilient Healthcare Leader

As a leading healthcare services and pharmaceutical distribution company, McKesson plays a vital role in the U.S. healthcare system, delivering medicines and supplies to various providers. The company’s operational efficiency and expansion into oncology and specialty care position it strongly within the industry.

Regardless of economic conditions, demand for healthcare services usually remains steady. This stability has allowed McKesson’s earnings to grow consistently over the past two decades, from $2.40 per share to $28.87 per share.

McKesson maintains a Zacks Rank #1 (Strong Buy) rating. Its current forward earnings multiple is 17.5x, above its 15-year median of 13.3x yet below the broader market average. The company’s valuation might rise if market volatility increases.

Image Source: Zacks Investment Research

Marvell Technology: Leading in AI Innovation

Marvell Technology specializes in semiconductor solutions, focusing on data infrastructure. The company has garnered attention for its innovative chips designed for cloud computing, AI, and networking applications.

The introduction of custom silicon solutions has driven Marvell’s success, leading to strong quarterly earnings earlier this month. While Nvidia dominates the AI infrastructure market, Marvell’s unique offerings position it as a key player in this burgeoning industry.