Resilient Stocks to Ride Out the Next Market Pullback

Bank of America (BAC) and JPMorgan Chase have issued warnings that Wall Street is overdue for a pullback, likening the situation to 'tectonic plates shifting below the surface.' Jamie Dimon, CEO of JPMorgan Chase, described the risks as violent collisions between these plates, resulting in earthquakes. To mitigate this risk, investors are advised to focus on companies with resilient business models that can withstand market fluctuations.

Two such companies identified by experts are Realty Income (O) and Visa (V). Realty Income is a real estate investment trust (REIT) with a portfolio of over 15,500 properties, including single-tenant retail assets, industrial properties, and casinos. Its business model, which involves net leases that require tenants to pay for most property-level operating costs, has protected it from inflation and economic downturns in the past.

Realty Income's history of increasing its dividend annually for 31 consecutive years is a testament to its resilience. With a current yield of 5.7%, investors seeking a high-yield income stream may find Realty Income an attractive option, despite rising interest rates causing concerns about growth and stock pullbacks.

Visa, on the other hand, is a payment processing company that charges transaction fees for each card-based payment it processes. With 71.7 billion transactions in its fiscal third quarter of 2026, Visa's business has seen significant growth, with revenues reaching $11.6 billion and a year-over-year increase of 14%. Its dividend has increased at an annualized rate of over 15% over the past decade, making it appealing to dividend growth investors.