Technology stocks have had a rough time the last few months after being on fire in 2020. Investors have been worried about inflation and the possibility that growth stocks have gotten out ahead of themselves, which could keep the tech industry down for the foreseeable future. 

If you're looking to add some stability to your portfolio, there are still value stocks with a bright future. And if companies don't hit high growth targets, stocks like Verizon (NYSE:VZ), UPS (NYSE:UPS), and Target (NYSE:TGT) might outperform tech stocks over the next few years. 

Glass piggy bank with growth chart inside.

Image source: Getty Images.

I can hear you now

Businesses don't get much more stable than Verizon. The company provides a crucial service in its wireless business and is solidly profitable year after year. It's also increasing dividends to investors steadily, as you can see below. 

VZ Revenue (TTM) Chart
Data by YCharts; TTM = trailing 12 months.

Wireless service has gotten competitive with T-Mobile attracting customers with lower prices, but Verizon spent $54 billion on spectrum earlier this year that will enable its 5G buildout. And as 5G hits the market, it won't just mean faster speeds for smartphones. Verizon will be able to offer wireless internet to homeowners across the country, reaching an estimated 50 million households with 5G by the end of 2025. 

Verizon brings stability, potential growth from 5G, and a dividend yield of 4.4% to investors, which is great compared to crashing tech stocks today. 

Making e-commerce work

E-commerce has been taking retail by storm, and one of the biggest beneficiaries is shipping companies like UPS. The company has seen revenue grow 74% over the last decade, and its dividend has more than doubled over that period. 

UPS Revenue (TTM) Chart
Data by YCharts.

At one time, it appeared that Amazon's dominance in e-commerce and ambition to build a shipping giant would be a threat to UPS. But today we're seeing small online retailers grow with the help of Shopify, and the wide variety of locations they're shipping from makes UPS a key part of the supply chain. 

As long as e-commerce is growing, UPS has a bright future. And that's why this will be a stable stock with a growing dividend. 

The future of retail

The surprise winner from the pandemic was retailer Target. The company stopped trying to go head-to-head with Amazon in e-commerce and instead leveraged its stores to offer same-day services like Pick Up and Shipt's speedy delivery. These two services drove a 235% increase in same-day-service sales in 2020 and were the driver of a 19.8% increase in sales to $92.4 billion and a 33.1% increase in earnings to $4.4 billion.

Target has struggled to find its footing in a world of fast-moving retail and growing online sales, but everything seemed to come together last year. It became clear that brick-and-mortar stores do have value as fulfillment centers because goods are available immediately and same-day services that make these goods easier to buy and deliver will be a growth driver. As the pandemic ends, I think it's likely customers continue using some of these services now that they're part of their shopping routine. 

Not only is Target a growing power in retail again, but its stock is also relatively cheap with a P/E ratio of about 18.6 and a dividend yield of 1.2%. That's a great value for a retail stalwart that has found its way in the new world of retail stocks

Values exist in today's market

Verizon, UPS, and Target might not be growth stocks or hot names on the market, but they're solid businesses that are growing in this turbulent market. That's a foundation even tech investors should like, and they can bring some comfort to your portfolio as tech stocks drop. 

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.