Stock prices have been climbing, with the S&P 500 up approximately 19% over the last twelve months. However, many investors believe a downturn could be approaching soon.
A survey conducted in December 2025 by the financial association MDRT found that 80% of Americans are at least somewhat concerned about the onset of a recession. It remains unclear whether 2026 will bring a recession, crash, or bear market.
Market anxiety is common during periods of economic instability. This anxiety can lead to panic selling, which may harm investment strategies. The temptation to exit the market while prices are high, then buy back after a drop, carries significant risk.
Stock prices could continue rising for months or years before another downturn. Selling now in fear of a recession might cause investors to miss out on potential gains.
For instance, after a bear market in 2022, many investors feared further decline. In June 2023, Deutsche Bank analysts predicted a near 100% chance of a U.S. recession within the following year.
The economy avoided a recession, and the S&P 500 surged more than 25% in the twelve months after that prediction. This shows markets can defy expert expectations.
Investors who sold in June 2023 fearing a recession may have missed substantial gains. Those who later reinvested after market climbs would have bought back at higher prices.
Regardless of whether a downturn occurs in 2026, the recommended action is to ensure investments are in quality stocks from solid companies. Healthy organizations can experience volatility but are more likely to recover.
Weak companies may not survive a downturn. Investing in companies with strong fundamentals, such as a solid financial foundation and experienced management, can help protect a portfolio.
Holding strong stocks long-term makes it easier to avoid letting market anxiety impact financial futures. On rare occasions, an expert analyst team issues a "Double Down" stock recommendation for companies they believe are about to rise significantly.
For example, a $1,000 investment in Nvidia when doubled down in 2009 would now be worth $475,015. A $1,000 investment in Apple when doubled down in 2008 would be $49,455. A $1,000 investment in Netflix when doubled down in 2004 would be $477,544.
Currently, "Double Down" alerts are being issued for three companies available through Stock Advisor. Stock Advisor returns are as of January 12, 2026.