Value stocks have been in high demand throughout the market's drop this year. These companies typically generate a lot of cash and profits, making them more resilient to market and economic fluctuations. 

Many newer investors faced these challenges for the first time in 2022 after years of a strong bull market. Even if the market goes back up in 2023, more investors are seeing why it's worthwhile to have a properly diversified portfolio with a mix of value and growth stocks to make your money work in any kind of market.

It's also an excellent time load up on great value stocks whose prices are down right now. Coca-Cola (KO 0.14%)American Express (AXP -1.23%), and Target (TGT -8.03%) are three such choices.

1. Coca-Cola beats the market

Coca-Cola is not only beating the market, but it's also gaining. With a week left to the year, the S&P 500 remains down 19%, while Coca-Cola stock is up 8%.

The stock doesn't always outdo the market. By price alone, it trails the S&P 500 over time. But including its celebrated dividend, it has beaten the market over the past five years.

^SPX Chart

^SPX data by YCharts.

Coca-Cola's dividend yields 2.8% at the current price, and it's usually around 3%. The dividend is an important part of the appeal, but it's more than just the high yield. The company has been paying and raising its dividend annually for 60 consecutive years, one of the longest streaks in the market.

Not only has the company rebounded from pandemic declines in a huge way, it's also performing better than it did before the coronavirus. Through restructuring, focusing on its core brands, and meeting demand with innovative products, it's capturing greater market share and creating customer loyalty.

Going into the new year, Coca-Cola is in position to maintain its dividend and generate greater shareholder wealth.

2. Not your grandfather's American Express

American Express has demonstrated incredible resilience as it recovers from early pandemic declines and navigates through inflation and macroeconomic volatility. As a financial services company with its own funding sources, it has greater exposure to risk from rising interest rates and spending dips, which makes its robust performance all the more impressive.

Revenue increased 19% in the third quarter over last year, and net income rose 3%. This was powered by record cardholder acquisitions in certain categories, specifically for millennials and Gen Zers. These were the fastest-growing categories by age, making up 60% of new cardholder acquisitions.

There was growth in spending in both the goods and services and the travel and entertainment categories, which has finally overtaken 2019 levels in international markets.

By changing its focus to a younger clientele, Amex has increased its potential for high revenue, not to mention giving itself a long life span.

The stock trades at less than 15 times trailing-12-month earnings, which looks very cheap right now considering it's posting double-digit sales growth as well as increasing earnings at a time when many companies aren't. It also pays a dividend that yields 1.4% at the current price. American Express stock is down 11% this year, and this Warren Buffett favorite just edges out the broader market's gains over the past five years when you include dividends. It's an excellent value addition to any portfolio.

3. Target's low price is a great opportunity

Target is the only stock on this list that's not beating the market in 2022. It is down nearly 40% this year as it deals with the challenges that are derailing many retailers. It's been righting its inventory as customers slow down high spending, and it's getting ready to drive higher sales as inflation eases and in preparation for an economic revival.

Target saw some of the highest sales of any of its peers at the beginning of the pandemic. It was prepared for solid performance with its robust omnichannel strategy and efficient same-day services, which led with triple-digit sales growth for several quarters.

Its current situation doesn't look so great, and it's not expected to improve in the foreseeable future. But Target's digital growth strategy remains a great story, and it looks like the problems the company is dealing with are indeed temporary, giving investors an excellent opportunity to buy shares now.

In the 2022 fiscal third quarter (ended Oct. 29), comparable-store sales increased only 2.7% over last year, and earning per share fell from $3.04 a year ago to $1.54. But it gained market share across all of its core merchandising categories.

Target stock trades at only 19 times trailing-12-month earnings, and its dividend yields a very attractive 3% at the current price.

Even at the reduced share price, the company has beaten the market, by far, over the past five years.

TGT Total Return Level Chart

TGT total return; data by YCharts.

Investors can expect more from Target, and in the meantime, enjoy its juicy dividend.