As the likelihood of a hard landing this year grows, Barclays said investors should look for quality stocks that aren’t too expensive. Large-cap tech stocks have outperformed the market in 2023, with the S&P 500’s technology sector up more than 16%. However, Venu Krishna, Barclays’ head of US equity strategy, cautioned against going with the trend, citing high valuations, as well as inflation and interest rate risks. “Instead of chasing another crowded trade vulnerable to the next drop, we recommend seeking a safe haven among quality stocks with less demanding valuations, ” Krishna wrote in a report on Monday. Given the growing market uncertainty, Barclays recommended a basket of quality stocks that trade at lower valuations as a way to prepare for growing recession risks this year. . Check out some of the names below: Healthcare giant Johnson & Johnson makes the Barclays list. The stock is down 13% in 2023. The stock is one of eight names in the S&P 500 that have consistently increased their dividends annually over the past 60 years. Barclays also emphasizes Merck as a quality name that is cheap. The pharmaceutical company has been a notable winner in the Dow since the Federal Reserve kicked off its latest rate hike cycle. Shares have fallen more than 3% this year. According to FactSet, about 7 out of 10 Merck analysts rate the stock as buying or overweight. They see an increase of nearly 13%. The industrial names United Postal Service and 3M were also chosen as safe choices for the possibility of a hard landing. UPS stock is up more than 7% in 2023, and it’s a notable dividend increaser among the S&P 500. Meanwhile, 3M is down more than 15% this year. Analysts see a 14% gain from here, according to FactSet. Several tech stocks made the list, including Microsoft and Accenture. Microsoft stock is up 15% in 2023. More than 8 out of 10 analysts rate the stock as a buy, according to FactSet. The tech giant’s stock has been boosted by the recent boom in artificial intelligence. Accenture was the best performer last trading week after it announced it would lay off about 2.5% of its workforce, or 19,000 jobs. The stock is up more than 2% in 2023, and analysts see a gain of more than 13%, according to FactSet. —Michael Bloom of CNBC contributed to this report.