|

Top 5 Coronavirus Stock To Buy: Winners that more than weather the storm

  • Tesla is known for its cars, but batteries have strong potential.
  • ACB provides recreational relief that may see increased consumption.
  • AMZN's deliveries are on the rise as social distancing measures are enacted.
  • GLID's Remdesivir may emerge as a potential treatment for coronavirus.
  • AMD's chips are coming into higher demand and use.

COVID-19 has already infected over two million people, killed well over 100,000, and inflicted severe economic damage all over the world. Millions are unemployed, and stocks have suffered. However, some firms are having a "good crisis" – standing out from the crowd. 

Stocks to buy right now

Some are directly related to the disease and its implications, and some are indirectly correlated. Even if politicians order an immediate reopening of the economy, it may take time for the impact of social distancing measures to trigger a return to normal. The following stocks may be short and long-term beneficiaries.

Tesla stock news

TSLA shares are trading around $700 – off the pre-coronavirus peak but still far above the crisis lows. How are a car company's shares driving higher when nobody is driving? There are several reasons for the rise. Founder and CEO Eon Musk is hailed for his brains, and investors flock into his companies.

Another reason is that the firm also produces batteries, which are more useful as the demand for energy at home rises. Moreover, the coronavirus crisis and stay-at-home measures are causing the air to clean up as human activity grinds to a halt. Seeing the environmental benefits means that consumers may opt for cleaner cars when they return to the roads. 

The San Carlos based company may also see longer-term benefits due to the rout in the oil market. Current oversupply may cause petrol firms to close production sites, eventually creating a shortfall in petrol. That may make electric cars more attractive, but it may time to materialize. 

ACB stock price

Aurora Cannabis Inc., trading on NYSE, has suffered its fair share of issues after the weed bubble burst. However, demand for the recreational drugs that the Edmonton-based firm company produces may be on the rise as people have more time at home. 

Moreover, stress is also soaring with unemployment, and many would like to avoid opioids or alcohol. Health officials have advised against the consumption of alcoholic beverages. 

Amazon stock price prediction

Amazon is the world's No. 1 online retailer – well before the public heard of Wuhan – and is now shining in this crisis. Jeff Bezos' company announced it would hire around 100,000 workers to fulfill the rising demand for deliveries brought to the doorstep. The company also collaborated with Lyft to speed up shipments.

Firms that have strong logistics capacity and easy-to-use websites are the big winners in virus times, while bricks and mortar shops are struggling. AMZN's 

GLID –  Remdesivir as potential corona cure

Gilead Sciences makes Remdesivir – a drug created for other uses, but that has seen some positive results in treating COVID-19 patients. The drug is far from being proven as a cure, and the second clinical test in China was canceled due to a lack of eligible patients.

Nevertheless, out of all pharma companies racing for making a vaccine or a cure, the Foster City-based company may have the highest chances of being the lead. Creating a vaccine is a long and drawn-out process, and so is developing a new medication. However, using an existing one has more potential.

Until a vaccine is deployed, Gilead may stay in the news and on investors' radars.

AMD stock – Advanced Micro Devices Inc.

Advanced Micro Devices – one of Silicon Valley's oldest companies, has been in the shadows of Intel and other chipmakers. However, it has seen growing demand due to various consoles, and its stock may not be priced as high as its competitors. 

With more people working from home and more businesses going online, demand for its chips is rising. Consumers that are stuck at home are unlikely to switch mobile phones – but may opt for a new computer and s brand new game console – potentially with AMD inside. 

Overall, coronavirus has inflicted severe economic calamity on many firms, but there certainly are winners. 

Author

Yohay Elam

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

More from Yohay Elam
Share:

Editor's Picks

GBP/USD flirts with two-day lows near 1.3180

GBP/USD remains on the back foot in the latter part of Tuesday’s session, sliding to the sub-1.3200 area and challenging weekly lows. Cable’s decline comes as investors assess the political uncertainty in the UK, coupled with softer-than-expected UK PMI data and the better tone in the Greenback.

EUR/USD weakens below 1.1400 on stronger Dollar

EUR/USD adds to Monday’s losses and recedes below the 1.1400 support to clinch fresh 13-month lows in the latter part of Tuesday’s NA session. The pair’s marked sell-off comes on the back of the persistent move higher in th US Dollar, always propped up by rising bets of further tightening by the Fed.

Gold appears supported near $4,100 for now

Gold rapidly reverses Monday's bounce and is trading sharply lower on Tuesday. The yellow metal, however, manages well to keep business above the $4,100 mark per troy ounce despite a firmer US Dollar and expectations that the Fed will keep rates higher for longer.

Bittensor and Near Protocol Outlook: AI-linked tokens face deeper sell-off
The cryptocurrency market trades amid increasing sell-side pressure on Tuesday, reflecting a broader deterioration in sentiment and appetite for risk assets. Artificial Intelligence (AI)-linked tokens such as Bittensor (TAO) and Near Protocol (NEAR) exhibit both fundamental and technical weaknesses, trading at $217 and $1.99, respectively.
"Rearranging the deckchairs on the Titanic": UK's fiscal crisis outlasts another Prime Minister

Keir Starmer's resignation as the UK Prime Minister comes ten years after the Brexit referendum vote, a coincidence that financial markets have been quick to note. The British Pound trades around 1.3220 against the US Dollar on Thursday.

Regime change: Inside Kevin Warsh's first move to make the Fed unreadable on purpose

The rate did not move. That was the least interesting thing about Kevin Warsh's first meeting in charge of the Fed. The FOMC held its benchmark at 3.50%-3.75% for the fourth straight meeting, exactly as priced, and then the new chair used his first press conference to dismantle the machinery the market has leaned on for a decade.