Buy these five stocks that are emerging from the tariff chaos, Bank of America says


Buy These Five Stocks That Are Emerging from the Tariff Chaos, Bank of America Says

By Steven Orlowski, CFP, CNPR

In the wake of ongoing trade tensions and shifting global tariff policies, a surprising silver lining is emerging for a handful of companies. According to a new report from Bank of America Global Research, five standout stocks are not only weathering the chaos—they’re positioned to thrive in it.

The investment bank's analysts say these companies have adapted quickly to supply chain disruptions, rising import costs, and shifting geopolitical landscapes, giving them a competitive edge as global markets recalibrate. For investors searching for clarity amid the noise, these stocks offer a compelling mix of resilience and upside potential.

Here are the five stocks Bank of America says to buy now:

1. Caterpillar Inc. (CAT)

Sector: Industrials
Caterpillar, a global heavyweight in construction and mining equipment, is benefiting from a surge in U.S. infrastructure spending. Despite being exposed to international markets, Caterpillar has effectively diversified its supply chain and raised prices to offset tariff impacts. Bank of America believes the company’s exposure to domestic industrial activity and its strong pricing power make it a top pick.

2. Applied Materials Inc. (AMAT)

Sector: Technology
The semiconductor equipment maker is turning heads with its strategic pivot toward domestic manufacturing. As the U.S. doubles down on chip independence, Applied Materials is seeing robust demand from domestic foundries. Analysts note that recent policy tailwinds, including subsidies under the CHIPS Act, enhance AMAT’s long-term earnings potential.

3. Archer-Daniels-Midland Co. (ADM)

Sector: Consumer Staples
ADM, an agricultural commodities giant, has adapted swiftly to shifting trade routes and global food security concerns. The company has found new buyers for U.S. crops as tariffs reshape traditional markets. Bank of America highlights ADM’s global footprint and diversified portfolio as key advantages in a volatile trade environment.

4. Deere & Co. (DE)

Sector: Industrials
Like Caterpillar, Deere has successfully navigated the tariff turmoil with a mix of innovation and strategic manufacturing moves. Its advanced farming equipment and growing footprint in precision agriculture position it well as global food producers seek efficiency. Bank of America points to Deere’s order backlog and pricing flexibility as strong indicators of continued growth.

5. Walmart Inc. (WMT)

Sector: Consumer Discretionary
Walmart has leveraged its scale and supply chain agility to mitigate the cost of tariffs, often outmaneuvering smaller competitors. The retailer has passed some costs to consumers while pressuring suppliers to absorb others. With its increasing emphasis on domestic sourcing and private-label products, Walmart is emerging stronger in the battle for consumer dollars.

Why These Picks Matter Now

Bank of America’s report underscores a broader message for investors: while tariffs create short-term noise, they also spotlight companies that can adapt under pressure. Each of these five stocks combines strong fundamentals, operational agility, and strategic vision, offering a degree of shelter—and opportunity—in the storm.

“Markets are moving past the initial shock of trade tensions,” the report notes. “Now it’s about who can navigate the new rules and turn them into a strategic advantage.”

For investors seeking long-term winners in a turbulent environment, these five names may be worth serious consideration.

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