Best Recession Proof Stocks this February 2026

Walmart stands out as a defensive consumer staples stock with a remarkable history of 51 consecutive years of dividend increases, making it an attractive option for investors seeking reliable income. Currently, it boasts a dividend yield of 0.81% and has delivered impressive returns of 20.06% over the past year and 143.88% over the last five years. Analysts maintain a positive outlook, with a median 12-month price target of $125.50, underscoring its resilience and consistent demand for essentials during economic downturns.

Warren Buffett no longer owns Walmart (WMT); he exited his position in 2018 due to Amazon's e-commerce dominance.

Walmart (WMT) is currently trading near its 52-week high, with a recent increase of $0.50, closing at $119.70, which is a 0.42% rise.

Johnson & Johnson remains a highly regarded choice for investors seeking recession-resistant products and reliable dividends. With a solid dividend yield of 2.32% and impressive returns of 46.78% over the past year, this healthcare giant is well-positioned for continued growth. Analysts maintain a positive outlook, with a median 12-month price target of $220, reflecting confidence in its steady earnings potential.

The highest closing price for Johnson & Johnson stock was $219.57 on January 15, 2026, while the 52-week high is $220.11.

Johnson & Johnson's earnings per share (EPS) growth is expected to remain steady, reaching approximately $12 by mid-2026, although sales growth is projected to be in the mid-single digits.

For full-year 2026, Johnson & Johnson expects profits between $11.43 and $11.63 per share, with analysts forecasting an average of $11.45 per share.

NextEra Energy stands out as the largest utility in the U.S., with a strong focus on essential power services and a commitment to clean energy operations. With a solid dividend yield of 2.71% and an impressive one-year return of nearly 18%, it’s an attractive option for investors looking for both income and growth. Analysts have a favorable outlook, assigning a median price target of $90.00, supported by a strong return on equity of 12.42% that outpaces the industry average.

NextEra Energy's trailing 12-month return on equity is 12.42%, outperforming the industry average of 10.47%, indicating strong profitability.

NextEra Energy is regarded as both a stable utility and a growth stock, leveraging its Florida Power & Light revenue to invest in renewable energy projects.

McDonald's has proven its resilience as a value-oriented fast food chain, managing to grow both revenue and earnings even during the Global Financial Crisis. With a dividend yield of 2.36% and a solid 1-year return of 7.18%, it remains an attractive option for investors seeking reliable income and consistent payouts. Analysts are optimistic, setting a median 12-month price target of $335, with ratings ranging from Overweight to Buy, indicating confidence in its stability and future performance.

McDonald's stock (MCD) is currently trading at $309.25, which is in the middle of its 52-week range and near its 200-day moving average, reflecting a recent increase of 1.05%.

MCD is a solid choice for investors seeking value and steady dividends, but its growth potential may be limited compared to smaller companies.

Over the past five years, McDonald's stock has delivered a total return of 62.5% based on its last closing price of $309.25 compared to an adjusted prior close of $190.36.

Verizon stands out as a high-yield telecom investment, offering a dividend yield of 6.86%. Despite a challenging year with a -3.25% return, analysts maintain a consensus rating of Buy, with a median 12-month price target of $45.50, indicating potential upside. Its reputation for resilient performance during economic downturns makes it an attractive choice for income-focused investors.

Verizon (VZ) has a consensus rating of Buy from 11 analysts, with 27% recommending Strong Buy, 9% Buy, and 64% suggesting Hold.

VZ is expected to perform in line with market averages over the next 12 months.

Verizon's focus on subscriber growth, strong revenue, rising dividends, and network dominance make it a solid long-term investment for value investors.

Coca-Cola stands as a global beverage leader, boasting over 62 years of reliable dividend payments, which positions it as an attractive option for income-seeking investors. With a current dividend yield of 2.84% and impressive 1-year and 5-year returns of 15.12% and 51.56% respectively, it remains a solid choice for those looking for consistent payouts from a financially healthy company. Analysts maintain a positive outlook, with a median price target of $81.00, supported by strong ratings from firms like B of A Securities and Wells Fargo.

Coca-Cola's latest twelve-month free cash flow is approximately $5.6 billion, with projections expected to rise to about $11.9 billion by 2026 and $19.4 billion by 2035.

Based on a 10-year P/E ratio of 22x, Coca-Cola's share price could reach around $93 by 2030, along with an estimated total return of about 55% including dividends.

Costco's bulk-buying model and membership structure offer a reliable source of recurring revenue, making it a strong contender in the retail space. With a remarkable 5-year return of 172.25% and a current dividend yield of 0.54%, it has shown resilience, consistently outperforming the S&P 500 during downturns. Analysts maintain a positive outlook, with a median price target of $1,025 and several ratings indicating 'Outperform'.

Costco (COST) is currently trading at $983.25, which is in the middle of its 52-week range and above its 200-day moving average, reflecting a 0.73% increase since the last market close.

Costco has demonstrated consistent growth in same-store sales, with a 5.9% increase in fiscal 2025 and a 5.3% increase in fiscal 2024, even achieving a 7.7% rise during the pandemic in fiscal 2020.

Dominion Energy stands out as a regulated utility with stable cash flows and a strong earnings growth trajectory, even amidst economic uncertainty. With a dividend yield of 4.37%, it offers a reliable income stream for investors seeking consistent payouts. Analysts maintain a positive outlook, setting a median price target of $66.00, suggesting potential upside for those considering an investment in this solid utility company.

Dominion Energy has a consensus rating of Hold, with an average score of 2.08 based on 2 buy ratings, 9 hold ratings, and 1 sell rating.

Dominion Energy's Zacks Consensus EPS estimate has decreased by 0.09% over the last 30 days, and it currently has a Zacks Rank of #3 (Hold) with a Forward P/E ratio of 16.92.

Analysts have a neutral consensus on D stock with a median price target of $64.00, suggesting a potential upside of 6.8% from its current trading price of $59.93.

The average price target for Dominion Energy from 15 analysts is $64.47, indicating a potential increase of 6.84% from the last closing price of $60.34.

Waste Management is recognized for its essential services that yield consistent income, bolstered by a recent dividend increase and share repurchase program. Currently, the stock presents a dividend yield of 1.55% and has delivered impressive long-term returns, including an 8.27% gain over the past year and a remarkable 108.49% over five years. Analysts have set a median 12-month price target of $258, indicating strong confidence despite a recent earnings miss, suggesting that while the stock may seem pricey now, it remains a highly regarded investment for the long haul.

WM is considered a strong investment due to its solid cash flow, rising dividends, and market position, although it is currently seen as somewhat expensive.

WM's stock fell 2.35% after missing Q3 earnings and revenue expectations, reporting adjusted EPS of $1.49 against a forecast of $2.08 and revenue of $6.44 billion versus an estimate of $6.70 billion.

Analysts have an average price target of $250.28 for WM, suggesting a potential increase of 9.18% from its last closing price of $229.23.

WM's implied volatility is currently 24.1, ranking in the 95th percentile, indicating it is trending higher compared to its 20-day moving average of 19.2.