Which business is best during an outbreak
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The document discusses various companies and sectors that may benefit from the COVID-19 pandemic, including those involved in health care/biotech, teleconferencing, safe havens, and delivery services. It provides examples of companies producing deep-cleaning products, thermal scanning devices, teleconferencing software, soup and water utilities, video conferencing, food delivery, remote health services, cleaning products, and risk intelligence platforms that are seeing increased demand. Stocks in these areas have shown some resilience or growth compared to broader benchmarks. The document also suggests some generic app name ideas at the end.
Which business is best during an outbreak
- 1. Health Care & Biotech (Deep-Cleaning Products, Sanitizers, Air Purifiers, Thermal Scanning, Parma Distribution) Biotechnology and health care sectors are showing some resilience compared to broad benchmarks due to their participation in the hunt for COVID-19 treatments. Mid-caps and large caps that closed near 52-week highs on Friday include Quidel Corporation (QDEL), Centene Corporation (CNC), and Masimo Corporation (MASI). Alternatively, avoid sector small caps because most have been run up on speculation that could evaporate overnight. ThirdEye claims its augmented reality glasses can be fitted with thermal imaging to make this process more seamless. The company says it has received about 2,000 orders related to the coronavirus outbreak and will ship the devices within the next month and a half. Some of ThirdEyes recent orders are meant to be used by airport workers at Hong Kong International Airport. The idea is that the AR glasses equipped with the thermal scanning feature could automatically tell airport officials if someone has an elevated temperature. The glasses could also broadcast those imaging feeds directly to doctors who can advise those workers. The novel coronavirus has had some consumers looking for tools to disinfect their surrounding areas, including high-tech electrostatic spray guns. While you might normally have disinfectant sprayed from a bottle, these types of guns make use of charged particles to ensure that a substance fully covers a surface. Some companies are now marketing these guns in response to the coronavirus. A couple of them one called Emist and another called EFS Clean are being used in health care facilities in Singapore and by school officials in Utah. One person on LinkedIn showed how he used one to disinfect his seat on an airplane. Teleconferencing & Digital Transformation (Remote Services like Peloton & Zoom) Teleconferencing software companies have also attracted buying interest, but the group got pummeled last week after stocks were run up too far, too fast. Nasdaq 100 component Citrix Systems, Inc. (CTXS) could prosper after a pullback, with the 2020 breakout above 2018 resistance still intact. Teledoc Health, Inc. (TDOC) looks like another way to play the American retreat to the homestead, with that stock lifting nearly 30% since the start of February. Safe Havens Traditional safe havens are acting slightly better than their growth counterparts, with high dividends easing the pain of lower prices. Campbell Soup Company (CPB) is trading close to a 52-week high after a strong earnings report and also pays a 2.84% forward
- 2. dividend yield. And it's hard to resist a water play like American Water Works Company, Inc. (AWK) in this environment, despite the unimpressive 1.56% yield. Some stocks will benefit from any crisis or at least not get hit as hard as their peers. Zoom Video Communications (ZM) Theres no doubt a pandemic is tough on brick-and-mortar companies, but for most white collar workers the show must go on. As a pure play stock in the video conferencing category, Zoom is uniquely positioned as companies shift to more remote work. Dominos Pizza (DPZ) With people wanting to avoid crowds because of COVID-19, its natural to want to order in. Dominos, as well as other companies that focus on food delivery, stand to benefit in the short term from the virus. Campbell Soup Company (CPB) Campbell is the quintessential counter-cyclical stock, and even more so in a prepping environment. When the global outlook is gloomy, people want to stockpile and soup is a major pantry staple. Teladoc Health, Inc. (TDOC) If sitting in a doctors office with dozens of other sick people can be avoided, it seems it would be regarded as a prudent decision. For this reason, remote health services are an obvious focus for investors during the pandemic. The Clorox Company (CLX) Wash your hands. Wash your hands. Have you heard that you should wash your hands to avoid the spread of the coronavirus? Clorox benefits from this sudden interest in sanitation and cleanliness. Everbridge, Inc. (EVBG) When times are uncertain, global decision-makers want to get as much quality
- 3. information as possible. Everbridge offers a risk intelligence platform that provides this service. Virtu Financial, Inc. (VIRT) Whether markets are going up or down, large amounts of volume and volatility are good things for financial services companies that make money from high frequency trading. Not all of these companies are in the green some have simply traded sideways but on average, theyve seen a 12.7% bump in price over the last week. Apps Names Ideas Trademart Supermart Mark Kit Bizcon Macmart Macros Digimart WinWin Arable Khurdonosh Ebiz Grokit Egro Super-Hit