These 15 stocks protect against inflation

Employees in medical technology

Teleflex, the manufacturer of medical devices, the analysts of UBS in the list of stocks with pricing power, the greatest price potential.

(Photo: E + / Getty Images)

Frankfurt With the catchphrase “inflation” another catchphrase becomes a trend: pricing power. What is meant is the ability of companies to impose higher prices on their customers. This is generally helpful for business development, but is particularly important in times of high inflation rates.

Companies that have this strength are usually only exposed to manageable competitive pressure. This in turn increases the chances of substantial profits. It also strengthens the ability to survive economic crises.

The characteristics of the corporations vary greatly – depending on the industry in which they are specifically active. Sometimes the pricing power is based on a strong brand, sometimes on high entry barriers to the market, sometimes on a good basis for negotiations with customers or dealers. What these companies have in common: a low price elasticity of demand. When they raise their prices, they don’t directly lose their customers to the competition.

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