Ten years ago, the market was still standing tall. It wasn’t until November when stocks began selling off in response to a recession that was looking increasingly likely. Companies that tend to do the best during recessions are those with relatively clean balance sheets. Those that are overly indebted tend to fare the worst. As business sentiment and output falls, this leads to issues servicing their debt, defaults, and even lower output. For companies that have done the best since the market’s most recent nadir in March 2009, there is a post on this. But those who have gained the most over the past decade are more likely to represent quality companies, as they’ve been through both the bad and the good, rather than merely the latter. Below I’ve compiled a list of the top performing name-brand stocks of the past ten years in the consumer goods space (XLP)(XLY). Adidas (ADDYY) – 218.6% Adidas, according to a recent survey by Piper Jaffray, is the fastest growing popular brand among “Generation Z” (those born after the mid-90s). In 2008 it traded below $20 and recently sprung above $100 per share. As some competitors have underperformed – Under Armour, Nike – Adidas has helped take up market share. The company has also shed various non-core businesses, such as golf labels and has doubled in price since appointing a new CEO last January. Altria (MO) – 214.5%Tobacco may be less popular than it was two or more decades ago as public health campaigns have emphasized the dangers. But tobacco is still a big industry that has made headway in providing returns to shareholders. The main reason? Pricing power. Tobacco is continually consolidating and has helped concentrate market share via fewer entities. The products they sell are very addictive and therefore the value per customer remains very high due to the difficulty in quitting. Despite the headwinds facing the industry for the past 2-3 decades, tobacco is in a relatively strong position financially. Amazon (AMZN) – 1,370% Amazon is a true monopoly, largely attributed to the fact that it’s become an extremely convenient one-stop shop for nearly everything. Its cloud computing software, AWS, is also a valuable asset, but retail will remain its core into the future. Next on the list will be Amazon’s penetration into luxury, vehicles, furniture, and other items that can’t be easily sold online. For this, it will need to venture into brick-and-mortar at the same time other franchises are giving up on many of their physical locations or businesses altogether. Coca-Cola Bottling (COKE) – 319.1% Coke bottling, not to be confused with The Coca-Cola Company (KO), is the largest independent coke bottler in the US. Coca-Cola owns 35% of COKE’s common stock. The stock has nearly doubled in a little over a year and 3x over the past three after investors have consistently underestimated the company’s earnings potential and its strong influence in KO’s product distribution. Domino’s Pizza (DPZ) – 1,010% The company is up over 70x since November 2008, as the company went from losing 90% of its value in the eighteen months before that to becoming one of the most popular pizza chains in the world. Domino’s is in 82 countries and the second-largest franchised pizza chain after Yum Brands’ Pizza Hut. Dr Pepper Snapple (DPS) – 264.1% Technically DPS hasn’t been around for ten years as it was spun off from Cadbury Schweppes in May 2008, but went through the worst parts of the financial crisis. It bottomed at $12.21 in March 2009 and has been up over 7x since. The stock has finally run out of gas over the past year, though the company has built up an impressive product portfolio and emerged as something of a third wheel in a longstanding duopolistic beverage industry after stalwarts Coke (KO) and PepsiCo (PEP). Foot Locker (FL) – 162.3% Foot Locker declined nearly 75% during the financial crisis but has since roared back to increase 10x. It is, however, feeling the strain of the brick-and-mortar washout associated with more sales shifting online. It is down 20% since September 2015. Hasbro (HAS) – 230.1% Hasbro has just one notable pure-play competitor in Mattel (MAT), which hasn’t been doing well lately. Hasbro followed the general strategy of manufacturing toys at a discount in east Asia, selling them at a premium in developed markets, and using shows and movies to promote these products. It’s a strategy that’s worked very well, as the stock has returned 13% annualized over the past ten years. Home Depot (HD) – 296.2% Home Depot is the clear leader among home improvement shops, increasing 5x over the past five years. Home Depot’s competitive advantage resides in its market leadership and insulation against the threat from Amazon, given the nature of the products and services that the company sells. Home Depot doesn’t have to worry about Amazon taking over the lumber and lawnmower retail markets. Jack In The Box (JACK) – 181.5% After the financial crisis, JACK wasn’t back in the green until 2013, but was one of the market’s best performing companies from early 2013 to early 2015, increasing by nearly 4x. The restaurant enjoys higher-than-average loyalty in an industry known to predominantly compete on price. The chain remains regional with a presence in 21 states in the western US. The stock has largely stalled the past 2-3 years, though its rebounded from its 36% drawdown between February 2015 and March 2016. Reynolds American (RAI) – 311.2% Similar to Altria above, Reynolds American has benefited from the wave of consolidation in the tobacco industry. After a minor dip from July to October 2016, RAI has been up nearly linearly since March 2009. It has returned nearly 25% annualized since it began trading in June 1999, compared to just over 5% for the S&P 500. Sirius XM Radio (SIRI) – 90.5% Sirius XM has over 60% penetration in the new car market, with just under half becoming subscribers. While SIRI has competition from the internet in terms of online broadcasting, music, etc., the Sirius XM merger in July 2008 has effectively created a company with a monopoly-like presence in car radio. Starbucks (SBUX) – 343.3% Starbucks dropped further than the 50.8% figure for the overall market from peak to trough during the financial crisis, but has been one of the market’s top performers since, rising 16x from November 2008. Starbucks has competition from other brands, such as Dunkin’ Donuts (DNKN), but maintains clear market leadership in its niche. In the US, 5 out of 6 adults drink coffee, so it’s not lacking for a potential customer base. Ulta Beauty (ULTA) – 944.5% On November 2, 2007, ULTA traded at $32.42. On March 6, 2009, it had lost 86% of its value and traded at $4.40. Since then, its increased in value by over 70x, or an annualized return of 68%. The company predominantly deals with women’s beauty products (though offers some men’s fragrances) and has nearly doubled its store base over the past 4-5 years. The company has consistently beaten estimates over the years, though much of the forward growth appears to largely be priced in.