Morgan Stanley named a raft of European stocks with strong balance sheets, lots of cash or high shareholder returns.
High cash flow and shareholder returns The bank also screened for companies with "resilient high free cash flow."
"Self-financing companies should be better able to weather any prolonged macroeconomic weakness, deploying capital effectively and seizing opportunities that come along the way," Morgan Stanley said.
"Cash-rich companies with high free cash flow yields should also have better downside protection, while providing upside potential if management is able to deploy its cash effectively," the bank said.
Those firms also have "positive free cash flow and net income growth expected over the next 2 years," the bank said.
Persons:
Morgan Stanley, Burberry, — CNBC's Michael Bloom
Organizations:
CNBC, JD Sports, Sanofi, Airbus, MTU Aero Engines, SAP, WPP, Publicis Groupe, InterContinental
Locations:
Europe