Inflation Is Coming: 5 High-Yielding Stocks in Sectors That Will Thrive

"While energy prices are the biggest determining factor, we have seen grocery prices, especially in the meat department, remain elevated for months, and electricity costs could rise as more data centers are built and come online. The bottom line is that energy prices touch everything, and while they likely won't stay above $100 when the Iran conflict is resolved, they will remain higher than previously anticipated for 2026."

"One thing is for sure: history shows that five sectors tend to outperform during inflationary periods, and all offer some outstanding companies to invest in now. We found five stocks, one in each sector, and all are rated Buy at the top Wall Street companies we cover here at 24/7 Wall St. Here are the five sectors that typically do better during inflationary times: Energy; Materials/Commodities; Real Estate; Financials; Consumer Staples."

"Obviously, the energy sector exploded higher at the outset of the conflict with Iran, but there are still outstanding opportunities. We screened all five sectors and found five outstanding companies, one in each sector that pays big, reliable dividends and should do well as 2026 progresses and prices stay elevated. Hopefully, the economy will remain strong enough that inflation doesn't turn into a period of stagflation, a term that describes a stagnant economy with inflation."

"This top midstream giant is an American midstream natural gas and crude oil pipeline company headquartered in Houston, Texas. Enterprise Products Partners ( NYSE: EPD | EPD Price Prediction) is one of the most extensive publicly traded energy partnerships, paying a very reliable 5.89% dividend. The company's debt-to-EBITDA ratio ranges from 3.1x to 3.4x, which is moderate for a midstream energy company, and its interest coverage ratio is 5x."

Energy prices are expected to keep inflation’s path of least resistance higher as 2026 progresses. Energy is described as the biggest determining factor, with grocery prices—especially meat—remaining elevated for months. Electricity costs could rise as additional data centers are built and begin operating. Even if energy prices fall below $100 after the Iran conflict resolves, they are expected to remain higher than previously anticipated for 2026. Five sectors are identified as typically outperforming during inflationary periods: Energy, Materials/Commodities, Real Estate, Financials, and Consumer Staples. Dividend-paying companies are selected, including Enterprise Products Partners in Energy, described as a midstream pipeline operator with a reliable dividend and moderate leverage metrics.

Read at 24/7 Wall St.