Following a much-anticipated day at the voting booth, control of Congress still hangs in the balance, thereby drawing attention to post-midterm elections stocks for a divided government. Even if the data confirms winners and losers by the time you read this, the main point stands: this election was much tighter than many analysts expected.

As such, investors should start directing their portfolio toward post-midterm elections stocks for a divided government. Believe it or not, some companies simply enjoy business structures that cynically benefit from ideological loggerheads in Washington.

Yes, it sounds strange at first, I agree. But the narrative for these stocks centers on the following tried-and-true concept: there’s no such thing as bad publicity. In other words, engagement from political vitriol is better than no engagement at all.

Lockheed Martin (LMT)

Heading into the November vote, one of the most important post-midterm elections stocks for dividend government was Lockheed Martin (NYSE:LMT). Cynically, Lockheed benefitted from the Ukraine conflict because it proved the effectiveness of its weapons systems. Of course, I’m mostly referring to the company’s HIMARS mobile artillery system, which changed the war’s dynamics. However, under Republican control, U.S. support for Ukraine looked dicey.

Broadly speaking, Republicans over the past decades pivoted their geopolitical rivalry from the Soviet Union to China. Further, many (but not all) politicians on the right relied on whataboutism and the existence of other problems as justification to reduce support for Ukraine.

However, with Democrats pulling off a much stronger performance than political observers anticipated, it’s never been more important for each party to toe the line. Also, since American voters did seem sympathetic to Ukrainians’ fight for freedom, being anti-Ukraine probably isn’t a go. Therefore, that’s cynically good news for LMT stock.

Smith & Wesson (SWBI)

When it comes to post-midterm elections stocks for dividend government, stakeholders of Smith & Wesson (NASDAQ:SWBI) are probably breathing a sigh of relief. Certainly, Wall Street appears satisfied with the vote. In the last week, SWBI gained almost 3% of equity value. In the trailing month, shares moved up nearly 15%.

Politically, the underlying issue impacting SWBI focuses on protecting individual liberties versus government’s responsibility for the greater good. When dissecting this controversial issue, it’s important to remember the Constitution protects we the people, not I the person. Yes, many individuals will declare they’re law-abiding people that have never done harm to anyone. However, at scale, access to weapons creates obvious challenges.

Now, one of the positive catalysts for SWBI has been the threat that Democrats will impose onerous gun control measures. Under Republican-dominated governance, these laws would be unlikely to come to fruition. However, with Washington divided, fears of gun control linger. Therefore, I view the current political dynamic as quite bullish for SWBI.

Exxon Mobil (XOM)

Heading into the November elections, Republicans commanded serious confidence that most voters would care about the economy. Certainly, the inflation narrative helped the right, if only because the Biden administration represented an easy target on the issue. However, the Republicans faltered in part because their contentious takes on non-economic issues weakened their messaging. This rhetorical environment in the wake of the midterm elections benefits stocks like Exxon Mobil (NYSE:XOM).

Historically, the talking points that Democrats favor – such as the environment – imposed a dark cloud on companies like Exxon Mobil. However, the results showed XOM represents one of the best post-midterm elections stocks for a divided government. Essentially, neither Democrats nor Republicans can afford to be too fanatical about the energy-versus-environment debate.

For the right, politicians must appreciate that voters care about more than just what impacts their wallet. However, Democrats can’t aggressively promote policies — like renewable energy initiatives — that are less popular with their opponents without consequences. Since XOM symbolizes practical solutions, I’d say it’s a post-election winner.

Royal Gold (RGLD)

Ordinarily, deflationary circumstances don’t help precious metals-related companies like Royal Gold (NASDAQ:RGLD). With the Federal Reserve committed to tightening the money supply, its actions will facilitate fewer dollars chasing after more goods. This dynamic should help control inflation, but it also means commodities may face pricing pressures. However, RGLD might also benefit from the fear trade, making it one of the post-midterm elections stocks for a divided government.

Though inflation may eventually become manageable thanks to the Fed’s hawkish policy, gold retains its appeal in any political environment. If the midterms taught us anything, it’s that no one party or ideology dominates the wider discourse. In addition, conflicts within conflicts arose recently. For instance, many Republicans have grown tired of former President Donald Trump’s bizarre and incoherent rants.

Fundamentally, this ecosystem bolsters RGLD stock. Investors may look toward gold’s universally recognized intrinsic value as protection against potential financial impacts associated with a divided government.

Alphabet (GOOG, GOOGL)

Leading up to the 2020 presidential election, critics across the board blasted big tech’s influence over the public discourse. Fundamentally, this circumstance posed concerns for tech stalwarts like Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL). With its YouTube platform and ownership of the search engine market, Alphabet has the capacity to impact narratives.

However, the latest rumblings at the ballot box make GOOG one of the post-midterm elections stocks for a divided government. To counter Alphabet’s dominance, Elon Musk had hoped acquiring Twitter could bring back equity to the political discourse. However, Musk’s free-speech absolutism appears to have run into a problem: Twitter has become a free-for-all for spam and fake accounts, causing severe challenges for the company.

In turn, Alphabet can help scoop up users (and advertising revenue) that left the Twitterverse in disgust. As well, the bitter divide in Washington provides fuel for Alphabet. Basically, massive engagement — even of the acrimonious variety — is far better than no engagement at all.

Meta Platforms (META)

One of the clear beneficiaries among post-midterm elections stocks for a divided government, Meta Platforms (NASDAQ:META) needed something to cheer about. A contentious environment in Washington provided the upside catalyst that META desperately needed. Prior to the election, the stock was down about 70% since the start of the year. However, last week, META netted 19% of equity value.

To be fair, its loss for the year is now around 66%, which isn’t that dramatic of an improvement. It has many obstacles to climb before it generates confidence among market observers. Nevertheless, with Twitter imploding due to the tumultuous Musk takeover, Meta’s Facebook platform may see some gains. As well, advertisers may return to Facebook’s fold given its relatively more trustworthy protocol.

Also, META makes for one of the post-midterm elections stocks for a divided government because of the underlying political rancor. Let’s be real: if everybody agreed on the issues, social media would be a rather boring place. Seemingly, nobody agrees on anything these days, which helps drive engagement for Facebook.

Allstate (ALL)

To be completely transparent, insurance provider Allstate (NYSE:ALL) lacks the directional implications associated with the other post-midterm elections stocks for a divided government on this list. What I mean is, the nation being split on key issues doesn’t necessarily make ALL a good buy. Instead, I selected Allstate because it’s an obvious hedge.

Whether Democrats or Republicans dominate future elections, the relevance of financial protection will never go away. For example, most states require car insurance. In other words, you can be politically and ideologically “woke” or asleep at the wheel: you’re going to need auto insurance either way.

As a bonus factor to consider, Investopedia notes insurance stocks share a direct relationship with interest rates: as rates rise, so too do insurance stocks. With the Fed committed to attacking inflation through hiking rates, Allstate seems like a solid bet.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.