Trade Tensions Put US Staples Stocks in the Spotlight

The ongoing trade tensions and tariffs are affecting everyday consumer spending in the US. Three US staples stocks that are worth watching include Church & Dwight, PepsiCo, and Procter & Gamble. These companies fit the Trade-Resilient theme because their products sit firmly in the category of essentials that households prioritize even when prices elsewhere increase.

Church & Dwight produces household and personal care essentials like cleaning products, oral care, and basic health items under well-known value brands. The company generates about $4.8 billion from Consumer Domestic, $1.2 billion from Consumer International, and $300 million from its Specialty Products Division.

PepsiCo runs a global snacks and soft drinks business built around everyday, low-ticket food and beverage staples sold through mass retailers. The company generates about $29.2 billion from PepsiCo Beverages North America, $27.5 billion from PepsiCo Foods North America, and $40.2 billion collectively from its international segments.

Procter & Gamble sells everyday household and personal care essentials worldwide, including detergents and diapers to toothpaste and skin care. The company generates about $30.3 billion from Fabric & Home Care, $20.4 billion from Baby, Feminine & Family Care, and $16.0 billion from Beauty.

The Trade-Resilient theme suggests that these companies' pricing power could be affected by trade policies, but their margin stories may also be reshaped or accelerated by other factors such as changes in consumer habits.