Dow Stocks to Watch: Home Depot, Visa, and P&G Ride Out September Volatility

The Dow Jones Industrial Average is often used as a benchmark for identifying solid investments. As the worst month in the S&P 500 index over the past 75 years, September has historically been a weak period for stocks. However, some companies are better positioned than others to withstand this volatility.

Home Depot (HD) is one such company that may benefit from an easing of interest rates and increased housing activity. The stock has fallen about 19% over the past year, making it a contrarian pick. With a return on invested capital exceeding 21%, Home Depot's operating model has not broken down.

Visa (V) is another Dow component that may be well-suited for September. As a toll booth on spending, Visa benefits from inflation, which mechanically increases its revenue. The company's growth story revolves around technologies like Visa Direct and tokenization, expanding its role beyond traditional card swipes.

Procter & Gamble (PG) is a defensive stock that provides stability in uncertain markets. With brands like Tide, Pampers, and Gillette, the company has a history of delivering strong results across various economic conditions.