2 No-Brainer Stocks to Buy in April

It’s quickly apparent that all anyone is going to focus on in the immediate future is the sweeping tariffs President Trump just imposed on more than 180 countries. It is one of the largest tariff hikes in history. Many companies that make their goods in foreign countries are seeing their stocks plummet on the news. […] The post 2 No-Brainer Stocks to Buy in April appeared first on 24/7 Wall St..

Apr 3, 2025 - 16:48
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2 No-Brainer Stocks to Buy in April

It’s quickly apparent that all anyone is going to focus on in the immediate future is the sweeping tariffs President Trump just imposed on more than 180 countries. It is one of the largest tariff hikes in history.

Many companies that make their goods in foreign countries are seeing their stocks plummet on the news. Furniture maker RH (NYSE:RH) plummeted 40% on a combination of weak earnings and the trade duties. Nike (NYSE:NKE) is down 12% because it imports half of its footwear from China and Vietnam. Apple (NASDAQ:AAPL) is down 11%.

Right now the stock market is throwing the baby out with the bathwater. Some $2 trillion in market value was wiped out in the immediate aftermath of the tariff announcement. Savvy investors, though, should seek out stocks that will not only survive the new trade order, but can thrive.

Below are two stocks to buy in April that ought to fare well no matter the market conditions.

Netflix (NFLX)

Movie streamer Netflix (NASDAQ:NFLX) shines as a stock worth buying, blending resilience with growth in a volatile market. Unaffected by tariffs, the streamer is enjoying tremendous growth and ended 2024 with 302 million global subscribers, a 16% year-over-year increase.

Netflix dominates streaming, outpacing rivals like Disney (NYSE:DIS), which has 125 million subscribers across all of its services. Its $17 billion content spend in 2024 delivered hits like Squid Game Season 2, driving a 15% revenue jump to $10.2 billion last quarter. Unlike tariff-exposed firms reeling from Trump’s “Liberation Day” policies, Netflix’s digital model thrives globally, with 70% of revenue from outside the U.S., it is cushioned against trade disruptions.

The ad-tier gamble is paying off too, with 55% of new subscribers in Q4 signing up for its ad-supported tiers, boosting operating margins to 27%. On the other hand, price hikes in mature markets like the U.S. fuel cash flow, with free cash flow coming in at $6.9 billion last year. 

Trading at a P/E of 47, NFLX stock is not cheap, but it is below its five-year average of 51, reflecting analyst expectations for 22% long-term earnings growth. Risks like competition or saturation are present, but Netflix’s scale and debt reduction — down 10% since 2022 to $13 billion — offer stability. Trump’s tariffs may squeeze consumer wallets, yet streaming’s low cost versus cable keeps Netflix a staple.

Despite an 83% stock gain in 2024, Netflix still leaves room to run, especially with live sports like NFL games debuting in 2025. For investors, Netflix blends defensive strength with offensive growth, a rare combo today.

Energy Transfer (ET)

Midstream giant Energy Transfer (NYSE:ET) is the second no-brainer stock to buy this month. With a $65 billion market cap, ET operates one of the U.S.’s largest pipeline networks, transporting natural gas, crude oil, and natural gas liquids (NGLs). Its 6.8% dividend yield and robust growth prospects make its stock a standout.

The broad-based tariffs favor domestic energy firms like Energy Transfer. Its Permian Basin presence positions it to meet surging data center energy demand due to artificial intelligence needs. 

 Further, the $2.7 billion Hugh Brinson Pipeline, set for 2026, will boost capacity by 1.5 billion cubic feet daily, lifting EBITDA by $750 million annually. It’s the first 42-inch pipeline its built in years and ET says Permian producers are producing so much that they need its extra capacity. The pipeline will connect the Permian to Energy Transfer’s vast national network.

ET’s valuation is a steal as the stock trades at an EV/EBITDA of 8.7, well below its historical 13.7 average. With $15.4 billion in 2024 adjusted EBITDA, up 12%, its 50% payout ratio ensures its dividend is safe, especially as it targets 3% to 5% annual increases. 

Wall Street has a $22 per share one-year price target on ET stock, but Morgan Stanley just raised its target from $20 to $26 per share, implying 44% upside in the stock.

Risks like a tariff-induced recession or energy price dips exist, but Energy Transfer operates on a take-or-pay long-term contract model, meaning it gets paid regardless of whether its customers accept product or use its capacity. In short, Energy Transfer blends income, growth, and stability, exactly what’s needed for today’s turbulent markets.

 

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