According to Wolfe Research, it’s time for investors to switch off defensive dividend stocks as a recession could hit later this year. Wolff analysts said in a note on Monday that they believe a recession could begin in the fourth quarter, though they said their base case is for a recession in 2023. The S&P 500 made a new intraday low as reported. 2022 and fell back into bear market territory – down more than 20% from a record set in January – ahead of a major Federal Reserve meeting this week. “Fed Chair Powell should strike a more aggressive tone on Wednesday. However, given how wrong the FOMC is, it is very difficult to predict future actions,” Wolff said. “Our general understanding is that they will increase enough to cause a moderate recession in 2023, but they will not be aggressive enough to push inflation back toward 2%-3%.” Still, there are some defensive dividend stocks for investors to hide, Wolfe Research said. The firm scrutinized stocks with dividend yield above 3%, payout ratio of less than 90% and low leverage (debt level which is less than 3 times their 2022 expected EBITDAR). Here are 10 names on Wolfe’s list: Campbell Soup made the list with a 3.1% dividend yield, a payout ratio of 52%, and a debt multiplier of 2.4. Consumer Staples stock jumped last week after earnings and after the company raised its full-year sales outlook. Over the weekend, analysts at Piper Sandler said Campbell Soup’s fiscal year 2023 forecast is “achievable, potentially beatable,” though they worry inflation will continue to challenge the company. Piper Sandler has a neutral rating on the company. Edison International, which has a dividend yield of 4.1%, also made the list. The utilities stock gets a boost from a positive regulatory environment, a strong customer base in Southern California, and a strong balance sheet, Argus analysts wrote on Friday. Analysts, who have a buy rating on the company, said that Edison was “favorably priced” compared to its peers. Health care stock Gilead Sciences also met Wolfe’s criteria, with a dividend yield of 4.7%, a payout ratio of 45%, and a leverage multiplier of 1.5. According to analysts at SVB Securities last week, the stock could generate “slight upside” given the company’s low valuation. Other stocks on this list include Omnicom, Kohl’s, Ford, Diamondback Energy, 3M, Western Union and NetApp.