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Morningstar on Friday upgraded Wal-Mart Stores Inc. stock from four to five stars.

"Assuming that the United States isn't headed for a replay of the Great Depression, the recent market downturn could be a good opportunity for long-term investors to buy some of the highest-quality stocks in the consumer goods and services sector," said Joe Beaulieu, analyst with Chicago-based Morningstar, said in a note.

Beaulieu said there are a lot of cheap low- to middle-quality firms in the bargain bin of stocks, but advised investors to look for quality first, then look for good values among them. He advised looking for firms with low or medium uncertainty ratings and either wide or narrow economic moat.

Beaulieu also gave high ratings to several consumer goods and service sector stocks. Proctor & Gamble, Colgate-Palmolive, Coca-Cola, Pepsi, Kraft and Diageo have either hit five stars or are very close, Beaulieu said.

"Sticking to safer stocks may result in lower returns relative to riskier names once the economic pressures begin to ease. When the economy starts to recover and consumers start to spend more freely, surviving firms with lots of operating leverage and lots of financial leverage are likely to see their stocks surge because of that leverage," he said.