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Semiconductor stocks and more: Barclays names the companies set to benefit from rising prices

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Semiconductor stocks are among Barclays inflation hedge picks.
Sefa Ozel | E+ | Getty Images

Analysts at investment firm Barclays have picked global stocks to buy as the risk of rising inflation heats up.

The bank picked more than two dozen stocks from sectors including semiconductors, oil, banks and health care for its new inflation hedge basket.

Its analysts said that pent-up demand, as well as higher taxes and wages, could cause inflation to rise in the medium term. U.S. consumer prices rose 0.6% month-over-month in March, a sign of mounting inflation.

"Enjoy Goldilocks, but beware of overheating risks," Barclays' analysts wrote — a Goldilocks economy means one that is just the right "temperature," and refers to fairytale "Goldilocks and the three bears."

"Contrary to bonds, equities offer a natural hedge against inflation, as they positively correlate with earnings," the analysts wrote.

The firm's basket includes stocks that are most sensitive to inflation in each sector. "We seek to track the market-based estimate of inflation, rather than inflation itself, as we wanted the basket to be more anticipatory of, rather than reactionary to, inflation," the bank's analysts stated.

Barclays' research comes as investment firm Berenberg chose its favorite stocks to play rising inflation across the U.S., Japan and Europe.

Here are some of Barclays' European picks to hedge against any "overheating":

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