September Syndrome in Full Swing: 3 Picks to Safeguard Your Portfolio
September historically underperforms for U.S. equities, with indices like S&P 500, Dow, and Nasdaq showing average declines. This year, factors like high oil prices, rising Treasury yields, and Fed rate hike expectations add to market concerns. Zacks Investment Research recommends Archer-Daniels-Midland (ADM), Amgen (AMGN), and Sunoco LP (SUN) as defensive stocks with strong fundamentals and growth prospects.
How this was made
The 30-second read
Why it matters
Guidance upgrades for ADM, AMGN, and SUN provide fresh, material information that could drive short‑term price appreciation.
Market read
Guidance upgrades for three defensive stocks may attract capital amid a seasonally weak market, offering modest upside opportunities.
What to watch
Rising oil prices and higher Treasury yields could offset earnings benefits for these low‑beta stocks.
Background
The article highlights September’s historically weak performance and recommends three low‑beta, high‑yield stocks with upgraded guidance.
Ticker impact
Archer-Daniels-Midland raised its 2026 adjusted earnings guidance to $5.15‑$5.60 per share, up from $4.15‑$4.70.
Potential upside of 5‑10% over the next few weeks.
Guidance lift is a primary disclosure with material dollar scale for a large cap agribusiness.
Amgen increased its 2026 revenue guidance to $38.2‑$39.4 bn and adjusted earnings guidance to $22.30‑$23.50 per share.
Possible 4‑8% rally if market digests the upgrade.
Guidance upgrade for a mega‑cap biotech is a fresh, material fact.
Sunoco raised its 2026 adjusted EBITDA guidance to $3.5‑$3.7 bn, up $400 m from prior range.
Likely 3‑6% upside in the short term.
EBITDA guidance increase is a primary disclosure for a mid‑cap energy distributor.
Market effects
Defensive, low‑beta consumer staples and health‑care may attract capital as September historically drags equities.
U.S. equity market bias toward defensive stocks could temper broader index declines.
Guidance upgrades may influence global commodity‑linked exposure (e.g., bio‑fuel demand for ADM).
Counterpoint
September historically hurts equities; the guidance upgrades may be priced in quickly, limiting upside.
Key entities
- companyArcher-Daniels-Midland Co.
Agribusiness firm with raised 2026 earnings guidance.
- companyAmgen Inc.
Biotech with increased 2026 revenue and earnings guidance.
- companySunoco LP
Fuel distributor with higher 2026 EBITDA guidance.
