The Safest Bets in Turbulent Markets: Low-Leverage Stocks with Momentum

In a world where tariff tensions and economic uncertainty are rattling markets, investors are increasingly turning to companies that blend growth potential with financial resilience. Enter the era of low-leverage stocks—a category of firms with minimal debt, robust earnings momentum, and strategic moves to capitalize on shifting landscapes. Among them, five standouts—Bilibili (BILI), Kingstone Companies (KINS), Engie S.A. (ENGIY), ASML Holding (ASML), and Resmed (RMD)—are not only surviving but thriving, as evidenced by their Zacks #1 and #2 rankings and recent corporate actions. Here's why they should be at the top of your investment radar.

Why Low Leverage Matters Now

The current market is a pressure cooker. Tariff-driven volatility has sent corporate bond spreads widening and investors fleeing to perceived safety. Companies with high debt loads—especially in sectors like industrials—are increasingly vulnerable. Low-leverage firms, by contrast, have the flexibility to weather storms. Consider this: a debt-to-equity ratio below the industry median means these companies aren't shackled by interest payments or refinancing risks. Pair that with Zacks' proprietary ranking system—which factors in earnings momentum, valuation, and growth expectations—and you have a recipe for resilience.

The Five Stocks to Watch

1. Bilibili (BILI): The Streaming Giant with a Growth Engine

Bilibili's Q2 2025 ESG report revealed a staggering 104 million daily active users, each spending over 100 minutes on the platform daily. With Zacks projecting an 11% sales surge in 2025, this Chinese entertainment juggernaut is proving that content-driven platforms can scale without over-leveraging. Its #2 Zacks Rank reflects a stock primed to outperform in a fragmented media landscape.

2. Kingstone Companies (KINS): Insurance's Hidden Gem

Kingstone's April 2025 deal to take over $70 million in New York homeowners' policies from AmGUARD Insurance isn't just a geographical play—it's a signal of management's aggressiveness in a consolidating market. With Zacks forecasting a 37.9% sales jump and a 31% earnings pop in 2025, KINS is a textbook example of a low-debt insurer capitalizing on industry shifts. Its #1 Zacks Rank suggests this is a stock to buy before its premium pricing catches up to fundamentals.

3. Engie S.A. (ENGIY): Nuclear Tailwinds, Zero Liability Headwinds

Engie's March 2025 deal with the Belgian government to extend two nuclear reactors and offload waste liabilities is a masterstroke. By transferring $billions in future cleanup costs to the state, Engie has removed a existential risk while locking in 10 years of predictable revenue. Zacks' 19.6% earnings growth estimate for 2025 underscores why this energy giant—a Zacks #1 pick—is a must-have for portfolios.

4. ASML Holding (ASML): The Semiconductor Powerhouse

ASML's Q1 2025 results were a fireworks display: 46% revenue growth and a 93% EPS surge, fueled by soaring demand for its chipmaking tools. With Zacks predicting a 21.5% sales rise in 2025 and an 18.9% long-term earnings growth rate, ASML isn't just riding the semiconductor cycle—it's defining it. A #2 Zacks Rank and a debt-to-equity ratio well below peers make this a buy for both growth and stability.

5. Resmed (RMD): Sleep Tech's Steady Growth

Resmed's Q3 results—8% revenue growth and 13% net income gains—highlight its dominance in sleep-disorder treatments. With Zacks projecting a 9% sales boost in 2025 and a 14.7% annual earnings growth rate, this med-tech leader is proving that steady, low-leverage innovation can outperform in any market.

The Bottom Line: Act Now, Before the Momentum Shifts

These five stocks aren't just survivors—they're opportunists. With Zacks' #1 and #2 rankings, low leverage, and catalyst-driven growth, they offer a rare trifecta: safety, upside, and diversification. The Federal Reserve's hold on rates through Q2 gives investors a window to position for a potential correction—or a surge in stability-seeking capital.

The question isn't whether to act—it's why you're waiting.

Investors: Time is of the essence. These names aren't just data points—they're your ticket to outperforming the volatility ahead.