2 Stocks to Buy if There Is a Market Crash in 2025

As investors brace for potential market volatility in 2025, it's crucial to consider stocks that can weather economic storms and provide steady returns. Two companies that stand out in this regard are Johnson & Johnson (JNJ) and HCA Healthcare (HCA). Both have demonstrated resilience in the face of market crashes and recessions, making them attractive options for long-term investors.



Johnson & Johnson and HCA Healthcare operate in sectors that remain essential even during economic downturns. JNJ's pharmaceuticals and medical devices are crucial for patients, while HCA's hospitals and healthcare services are vital for communities. This essential nature helps these companies maintain revenue and earnings growth even when the broader market is struggling.



Historical data supports the resilience of these companies. During the 2008 financial crisis, both JNJ and HCA experienced minimal declines in revenue compared to the S&P 500 index, which fell by around 37% (Source: JNJ Revenue (Annual) data by YCharts, HCA Revenue (Annual) data by YCharts). This demonstrates their ability to perform well even in challenging market conditions.



Both companies have diversified business models that help them navigate market crashes and recessions. JNJ operates in multiple therapeutic areas, including infectious diseases, oncology, immunology, and neuroscience. This diversification allows the company to maintain revenue and earnings growth even when one segment faces headwinds. For instance, during the 2008 financial crisis, JNJ's consumer health segment offset declines in its pharmaceuticals division (Source: JNJ Revenue (Annual) data by YCharts).

HCA Healthcare, on the other hand, has gained market share over the years, indicating its ability to perform better than its competitors. The company's market share grew from 26.5% to about 28% between 2019 and 2021, despite inflationary pressures (Source: HCA Revenue (Annual) data by YCharts). This trend is expected to continue, driving the company's long-term growth.



Dividend Payouts and Growth Prospects

Both Johnson & Johnson and HCA Healthcare are strong dividend stocks with attractive growth prospects. JNJ is a Dividend King with 62 years of consecutive payout increases, offering a current yield of around 2.5%. Its dividend growth rate has been around 6% over the past five years, which is higher than the average dividend growth rate of the Healthcare Select Sector SPDR Fund (XLV) (Source: JNJ Revenue (Annual) data by YCharts).

HCA Healthcare has a dividend yield of around 1.5%, similar to the average yield of the SPDR S&P Health Care Services Select Sector ETF (XHS). Its dividend growth rate has been around 10% over the past five years, which is higher than the average dividend growth rate of the XHS (Source: HCA Revenue (Annual) data by YCharts).

These strong dividend track records and growth prospects make JNJ and HCA attractive choices for long-term investors seeking income and capital appreciation. Their stable business models and essential product offerings provide a foundation for dividend growth even in challenging economic conditions.

In conclusion, Johnson & Johnson and HCA Healthcare are two stocks to consider if there is a market crash in 2025. Their resilient business models, essential services, and strong dividend track records make them well-suited for long-term investors seeking to navigate potential market volatility. By including these stocks in their portfolios, investors can generate steady income and participate in the long-term growth of these companies, even in challenging market conditions.