Stocks That Grow in Any Climate

These seven companies flourished in hard times and will thrive as things get better.

Companies that achieve profit growth during a recession are hard to come by. That's why those that do while everyone else is just scraping by look especially attractive right now.

Growth stocks -- that is, stocks known for their earnings power rather than for bargain prices -- have performed well this year. Through August 7, the Russell 3000 Growth index trounced its Value index counterpart, 21% to 9%. Granted, that performance gap came mainly in the first quarter; the second quarter was virtually a tie. But over the long term, owning a great growth stock can be very rewarding. Google, for example, has provided shareholders with a 36% annualized return since its initial stock offering in 2004.

Subscribe to Kiplinger’s Personal Finance

Be a smarter, better informed investor.

Save up to 74%

Sign up for Kiplinger’s Free E-Newsletters

Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.

Profit and prosper with the best of expert advice - straight to your e-mail.

Sign up

To continue reading this article
please register for free

This is different from signing in to your print subscription

Why am I seeing this? Find out more here

Contributing Editor, Kiplinger's Personal Finance