Dow Stocks to Watch in September: Home Depot, Visa, and Procter & Gamble

September is often considered one of the worst months for the stock market, with an average loss of 0.7% in the S&P 500 index over the past 75 years. Despite this trend, some stocks are expected to perform well during this period. The Dow Jones Industrial Average tracks 30 industry leaders, making it a useful benchmark for identifying solid investments.

Home Depot is one of the standout stocks in September, with its price down about 19% over the past 12 months and sitting near $327. The company's business runs on housing turnover and large renovation projects, which have been frozen by elevated mortgage rates. However, if interest rates fall and housing activity picks up, Home Depot could benefit.

Visa is another stock that can continue to benefit from rising consumer spending and digital payments. Its strongest documented window runs from mid-December through mid-March, beating the S&P 500 by an average of 3.8% in 15 of 17 years. Visa's business takes a small cut of payment volume regardless of what consumers buy or whether the market falls.

Procter & Gamble is a defensive, dividend-paying stock that can provide stability when markets get shaky in September. The company's brands include Tide, Pampers, Gillette, Crest, and Bounty - products people buy in every economic condition. Consumer staples historically hold up better than the market during drawdowns, and P&G is the anchor of that group.