Worried About a Market Crash? This Dividend Stock Outperformed as the S&P 500 Sank in Both 2008 and 2022
The pharmaceutical giant's track record in past bear markets is fairly impressive.
Overview
Broader equities have been resilient this year despite macroeconomic concerns, including elevated inflation, rising energy and oil prices, and other factors. However, there is always the possibility that these issues will persist and eventually drag equities into bear-market territory. We can't be certain that this will happen, but it's always good to be prepared. And one way to do so is to invest in stocks that can perform relatively well even amid broader economic problems. Let's consider one example: Amgen (NASDAQ: AMGN). This drugmaker has proven that it can navigate market crashes better than most.
Image source: The Motley Fool.
Consider the Great Recession, which lasted from December 2007 to June 2009. It was arguably the worst U.S. recession in the 21st century, and it led to a sustained market crash that bottomed out in March 2009. The S&P 500 lost significant value over this period, but Amgen held up pretty well. The stock was still in the red over the entire recession, but it performed much better than broader equities -- and if we look only at 2008, when most of the damage to the S&P 500 occurred, Amgen gained value that year.
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Source
Originally published at www.fool.com.