Flu activity is rising sharply... these “on sale” names are worth
a look. ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏
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[Morning Watchlist]
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THESE FLU SEASON STOCKS ARE ON SALE
Flu season is one of those unavoidable annual realities: it shows up,
it spreads fast, and it sends a meaningful portion of the country
looking for prevention, relief, and treatment, often all at once.
For consumers, that means flu shots, sanitizer, disinfecting wipes,
cough-and-cold aisles, and pharmacy runs. For investors, it often
means something else: a RECURRING SEASONAL TAILWIND for a handful of
well-positioned, high-visibility names.
And this year, the public-health backdrop is already getting intense.
The CDC’s most recent surveillance update (Week 51, reflecting data
through the week ending DECEMBER 20, 2025) estimates AT LEAST 7.5
MILLION FLU ILLNESSES, 81,000 HOSPITALIZATIONS, AND 3,100 DEATHS SO
FAR THIS SEASON, with EIGHT PEDIATRIC DEATHS reported to date.
That’s not just noise. It’s a real-time reminder that the “flu
season trade” is not theoretical in 2026, it’s happening.
-------------------------
THE SEASONAL REALITY: FLU IS A RECURRING MARKET CATALYST
Flu season isn’t pleasant, but it is predictable. And from a market
standpoint, predictable catalysts can create repeatable opportunities,
especially when investor attention rotates toward safety, consumer
staples, and healthcare access.
Context matters here:
*
For the 2023–2024 season, the CDC estimated 40 MILLION ILLNESSES,
470,000 HOSPITALIZATIONS, AND 28,000 DEATHS.
*
For 2024–2025, CDC summarized it as HIGH SEVERITY, with preliminary
estimates ranging as high as 43–73 MILLION SYMPTOMATIC ILLNESSES and
38,000–99,000 DEATHS, depending on the final modeling range.
And now, for 2026, early-season numbers are already elevated, with the
CDC recommending that everyone 6 MONTHS AND OLDER who hasn’t yet
been vaccinated get an annual flu shot.
When the data turns ugly, consumer behavior changes quickly:
*
More trips to pharmacies for vaccinations and OTC products
*
More spending on disinfecting and household cleaning
*
More attention to basic preventative measures and “sick day”
essentials
That’s why flu season often becomes a quietly powerful catalyst for
select stocks, particularly those that sit at the intersection of
HOUSEHOLD STAPLES + HEALTHCARE ACCESS.
Two names stand out right now because they combine that seasonal
tailwind with something investors love in uncertain tape: INCOME.
-------------------------
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-------------------------
Company: CLOROX (SYM: CLX)
YIELD, DEFENSIVENESS, AND A TIMELY SEASONAL SETUP
One of the simplest flu-season beneficiaries is also one of the most
straightforward to own: CLOROX.
When illness is spreading, demand tends to rise for cleaning and
disinfecting staples, exactly where Clorox has brand equity and shelf
presence. This isn’t a “get rich quick” story. It’s a
DEFENSIVE POSITIONING story with an embedded seasonal boost.
Right now, the setup is especially notable for income-focused
investors:
*
CLX is trading around $101 (roughly where it’s been highlighted as
oversold).
*
Dividend yield is approximately 4.9%, driven by an annualized dividend
around $4.96.
*
The company most recently declared a $1.24 QUARTERLY DIVIDEND, payable
FEBRUARY 13, 2026, to shareholders of record JANUARY 28, 2026.
That yield matters. In a market where investors often “rent”
momentum, a near-5% yield lets you get paid while you wait, especially
if the stock is already washed out and the seasonal narrative is
strengthening.
THE SEASONAL ANGLE
Historically, CLX has often shown strength as flu season approaches
and activity rises (frequently clustering around the fall-to-winter
window). There have been multiple years where CLX moved higher during
the flu-season build.
This year, the additional ingredient is POSITIONING: if shares are
already depressed, it can take less incremental buying to move the
stock. That’s exactly how “on sale” seasonal trades tend to
work. Bad sentiment sets the table, and a recurring catalyst supplies
the spark.
WHAT TO WATCH
CLX isn’t risk-free. If costs rise, volumes soften, or the market
rotates aggressively out of staples, you can still see downside. But
if you’re evaluating a flu-season basket, CLX offers a clear
combination of:
*
Defensive demand characteristics
*
Brand-driven pricing power (over time)
*
Income support via dividend
-------------------------
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-------------------------
Company: CVS HEALTH (SYM: CVS)
FLU SHOTS, PHARMACY TRAFFIC, AND RECURRING SEASONAL DEMAND
If Clorox captures the “home hygiene” spend, CVS captures the
“health access” spend.
Flu season creates more than just demand for OTC remedies, it drives
VACCINATIONS, PRESCRIPTIONS, RAPID TESTS, AND STORE TRAFFIC. CVS is
one of the most direct public-market ways to get that exposure at
scale.
As of JANUARY 2, 2026, CVS is trading around $80.
And CVS brings a meaningful income component as well:
*
Annual dividend is about $2.66 PER SHARE, implying a yield around 3.3%
at current levels.
*
The most recent quarterly dividend was $0.665 PER SHARE, paid on
NOVEMBER 3, 2025, to shareholders of record on OCTOBER 23, 2025.
WHY CVS FITS FLU SEASON
Even without “perfect” seasonality, the business model lines up
with how consumers behave when respiratory illness spikes:
*
Vaccination appointments and walk-ins
*
Rx fulfillment and refills
*
OTC basket-building (fever reducers, cough/cold, electrolytes, masks,
sanitizers)
And notably, the CDC’s surveillance update highlighted widespread
activity and a sharp rise in illness counts as of late December 2025.
That kind of surge tends to keep pharmacy traffic elevated into
January and beyond.
THE TACTICAL VIEW
There's a historical tendency for CVS to show strength heading into
flu season in multiple years. While no pattern is guaranteed,
seasonality matters most when it aligns with fundamentals and
sentiment.
In CVS’s case, the market has also been focused on operational
performance and outlook. Recent coverage has emphasized improved
guidance and expectations for continued momentum into 2026, which can
support the stock alongside any seasonal tailwind.
-------------------------
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-------------------------
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