Weekly Picks: 📈 3 stocks that could thrive during stagflation

Welcome to Weekly Picks, where each week our analysts hand pick their favourite Narratives from the community (  what is a Narrative? ).

There’s been a lot of talk about “stagflation” recently. Our latest Market Insights piece goes into plenty of detail and how to thrive during it, but it's well known that, historically speaking, it can be a rough period for stocks in general. 

For example, during the stagflation of the 1970's, a major index like the Dow Jones went virtually nowhere for 10 years.

However... there were a handful of industries that actually delivered outsized returns during that period. 📈💸 Investors who knew where to look during that period actually faired pretty well!

Some of those industries they did well with, amongst others, were healthcare, commodity producers and gold miners.

So, with that risk possibly on the horizon, this week’s picks cover:

• 📈 Why Thermo Fisher is well positioned to maintain its leadership in life sciences
• 🪨 How Rio Tinto’s diversification strategy could reduce risk but lower margins
• ⛏️ Why Hochschild Mining has huge potential if gold and silver keep climbing.

What's next?

1. 🔔 Know when to act: Set the narrative valuations as your own fair value to know when to buy, hold or sell the stock.

2. 🤔 Get answers: Ask the author any questions in the comments section. Feel free to like as well to support their work.

3. ✨ Discover more Narratives: There are hundreds of other insightful stock narratives on our Community page .

4. ✍️ Build an audience: Have your narrative seen by millions of investors, simply meet our Featuring criteria to go into the running!

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com

Simply Wall St analyst Michael Paige and Simply Wall St have no position in any of the companies mentioned. This article is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.