The Zacks Analyst Blog Highlights Fortis, New Jersey Resources, ONE Gas and Diageo

Tue, Aug 19, 2025, 9:21 AM 6 min read

Chicago, IL – August 19, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Fortis, Inc. FTS, New Jersey Resources Corp. NJR, ONE Gas, Inc. OGS and Diageo plc DEO.

Here are highlights from Monday’s Analyst Blog:

4 Low-Beta Defensive Stocks to Bank On as Consumer Sentiment Drops

Volatility has returned to Wall Street, with major indexes giving up gains over the past couple of months, as uncertainty over the next rate cut and the impact of President Donald Trump’s tariffs continue to dent consumer sentiment.

Consumer sentiment fell in July and inflation expectations rose due to these uncertainties. Given the uncertainty, it may be a wise decision to focus on safe-haven stocks such as utilities and consumer staples. In this regard, Fortis, Inc., New Jersey Resources Corp., ONE Gas, Inc. and Diageo plc appear to be attractive options. Each of these stocks carries a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Also, these stocks are from the low-beta category (beta greater than 0 but less than 1). Hence, the recommended approach is to invest in low-beta stocks with a high dividend yield and a favorable Zacks Rank.

Consumer Sentiment Falls Further

The University of Michigan’s preliminary consumer sentiment index fell to 58.6% in July from a final reading of 61.7 in June, missing analysts’ expectations of a rise to 62. The reading for buying conditions fell 14%, the lowest in a year.

The survey mentioned that households are expecting prices of goods to rise due to higher tariffs, which is denting their sentiment. The short-term inflation expectations worsened, with the projected 12-month inflation outlook rising to 4.9% in July from 4.5% in June.

The five-year inflation outlook also rose to 3.9% in July from 3.4% in the prior month.

Multiple Factors Denting Sentiment

Stocks rallied over the past couple of months, with the Dow, the S&P 500 and the Nasdaq hitting multiple new all-time closing highs, after Trump halted tariffs and the White House initiated trade talks with several countries to reach fair trade deals.

This gave investor sentiment a boost on optimism that the impact of tariffs would not be milder than it was initially believed. However, prices of goods rose substantially after the new tariffs were implemented. Also, the tariff deadline ended on Aug. 7, and consumers are anticipating prices to rise further.