2 quality stocks I am considering buying for my Stocks and Shares ISA in August

History shows that times of market volatility can be good times to invest. Yes, we got to a bad place recently! With this in mind, I looked at this duo for my Stocks and Shares ISA in August.

1. Diageo

First of all Diageo (LSE: DGE). To be fair, the spirits giant had been struggling for a while before this market was sold. I FTSE 100 the stock is down almost 40% in two years!

As a shareholder, this has not been pleasant to watch.

The problem is weak demand from borrowers, some of whom have previously traded from Diageo's flagship companies. In its latest annual results, it said sales in its Latin America and Caribbean region fell 21% year-on-year, worse than expected. Organic operating profit fell by 4.8%.

Meanwhile, management said that this year is likely to be a challenge, which means there is a risk that sales and profits may drop significantly.

So why am I interested in the world? Well, I suspect that all this pessimism may now be reflected in the share price. The stock is trading at around 16.6 times the forecast, which looks cheap to me. The 20s are over the years.

In addition, the dividend yield is now 3.4%. That's higher than usual, while the company still generates a lot of cash.

Finally, there is weakness in every spiritual field. A rival Pernod RicardThe share price has fallen by 38% over the past year Rémy CointreauWe are down 52%. So this is not a problem specific to Diageo.

Long term, I expect stability and growth from its amazing stable of products. And with falling interest rates supporting consumer spending, I think the stock looks attractive at 2,369p.

2. Visa

The following is Visa (NYSE: V ), which is another stock I already own. It performed much better than Diageo, up 6% on last year. However, we are now down about 12% from the record high reached in March.

There are a few things I like here. First, Visa offers electronic payment solutions worldwide through its branded credit and debit cards. But it doesn't take credit risk, it just processes payments.

In its last financial year that ended in September, the company did 757m jobs a day on average! That generated net income of $17.3bn on revenue of $32.7bn, an increase of 11%.

That translates to a net profit margin of 53%. So the company has an amazing profit.

Also, the stock trades at a forward earnings multiple (P/E ratio) of 24 compared to a five-year historical average of 33.

A possible recession in the US would be a problem, as that would hurt consumer spending and the number of jobs. Increased regulation of the payment space is another risk to consider.

And of course, recessions in the US typically last less than a year, meaning Visa spends more time benefiting from economic growth than suffering from a contraction.

In October, CEO Ryan McInerney said: “There is huge opportunity ahead and I am as optimistic as ever about Visa's role in the future of payments.”

I have to agree considering the world is moving away from cash and towards digital payments. Since Visa is near a five-year low on a P/E basis, I'm thinking of buying more shares.