Introduction
The Dow Jones performed poorly in 2023 compared to the other two major indexes. However, it reached a new all-time high in December as well as January. These trends signal a new bull market for the Dow and confirm that it is a good idea to invest in some of the leading stocks in 2024.
What is the Dow Jones?
The Dow Jones Industrial Average (DJIA) was founded in 1896 with 12 stocks. It is one of the oldest stock market indexes and now comprises 30 leading companies listed on the United States (US) stock exchanges. The two other major stock indexes of the country include the S&P 500 index, comprising the 500 largest companies in the US, and the technology-heavy Nasdaq composite.
If you’re considering enhancing your portfolio and incorporating Dow Jones stocks, this list is a must-see.
Open Demat Account and Start Trading!
Top 5 Dow Jones stocks to buy in 2024
1. Apple (NYSE: AAPL)
Apple is an American multinational corporation and technology company. It was founded in 1976 and engages in designing, developing, and selling consumer electronics, online services, and computer software. The company was the world’s largest by market capitalisation as of March 2023. It exists in various geographical segments, including Europe, Japan, Greater China, the Americas, and the Rest of Asia Pacific.
Apple’s most popular products include the iPhone, iPad, Apple TV, Mac, AirPods, Apple Watch, iCloud, streaming, digital content stores, and licensing services. As of March 4, 2024, the company’s market capitalisation was $2.8T, and its Price-to-Earnings (P/E) ratio was 27.16.
2. Microsoft Corporation (NYSE: MSFT)
Microsoft Corporation outperformed Apple in January 2024 to become the world’s largest company by market capitalisation. It develops software, devices, services, and solutions. It has been a prominent name in artificial intelligence, making it one of the best Dow Jones stocks to earn gains through investments in 2024.
The company, founded in 1975 by Paul Gardner Allen and Bill Gates, is headquartered in Redmond, Washington. Its most popular software products include Windows operating systems and the Microsoft 365 suite. As of March 4, 2024, the company's market capitalisation was worth $3.03T, and its P/E ratio was 37.56.
3. Intel Corporation (NYSE: INTC)
Intel Corporation, founded in 1968 by Robert Norton Noyce and Gordon Earle Moore, is an American multinational corporation and technology company. It supplies microprocessors and manufactures chipsets, flash memory, network interface controllers, field-programmable gate arrays (FPGAs), graphic processing units (GPUs), and other communications and computing-related devices.
In 2023, Intel was one of the three top-performing blue chip stocks, recording a rally of 90%. As of March 4, 2024, the company's market capitalisation was $177.53B. Its P/E ratio was 115.89
4. Pfizer Inc. (NYSE: PFE)
Pfizer is one of the world’s largest pharmaceutical and healthcare companies. It was founded in 1849 by two German entrepreneurs, Charles Pfizer and Charles F. Erhart. It develops and produces medicines and vaccines for oncology, neurology, immunology, endocrinology, and cardiology.
As of Q4 2023, D E Shaw was Pfizer’s biggest investor with a $418 million stake. It was a popular stock that hedge funds were piling into. As of March 4, 2024, the company’s market capitalisation was $152.69B, and its P/E ratio was 71.81.
5. Walmart (NYSE: WMT)
Walmart is the largest brick-and-mortar retailer in the world. It operates a chain of grocery stores, hypermarkets, and discount department stores. Walmart owns thousands of stores around the globe and is renowned for its business model of offering a variety of products at affordable prices.
In February 2024, Walmart announced a three-for-one stock split, benefitting investors who held stock in the discount retailer. As of March 4, 2024, the company’s market capitalisation was worth $480.11B, and its P/E ratio was 30.86.
Wrapping up
These five Dow Jones stocks offer lucrative investment opportunities. However, before you make any investment decisions, remember to perform thorough research and consider your investment goals and risk tolerance. Furthermore, market conditions and economic factors may impact a stock's performance. So, make sure you are updated and adaptable to invest successfully in 2024.
Financial Calculators: Compound Interest Calculator | EMI Calculator | SIP Calculator | SWP Calculator | RD Calculator | NPS Calculator | PPF Calculator | Mutual Fund Returns Calculator | Inflation Calculator | Option Value Calculator
Popular Stocks: ICICI Bank Share Price | HDFC Bank Share Price | CDSL Share Price | UPL Share Price | TCS Share Price | BHEL Share Price | Trident Share Price | IRFC Share Price | Adani Power Share Price