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Defensive Company

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Dictionary Says

Definition of 'Defensive Company'

A company whose sales and earnings remain relatively stable during both economic upturns and downturns.
Investopedia Says

Investopedia explains 'Defensive Company'

Companies within the utilities industry, such as water and electricity companies, are defensive companies since their goods and services have inelastic demand.

The stock of defensive companies is often classified as defensive stock.

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