3rd Wave of Covid-19 incoming! Which stocks will benefit?

Covid-19

As holidays are coming some analysts are warning us that the 3rd wave of Covid-19 cases might be on the way.

England’s second lockdown will be over on the 2nd of December.  UK government is allowing the “Christmas bubble” meaning that starting from Dec. 23 to Dec.27 up to three family households can meet up for the holidays. If people won’t be cautious there might be a huge surge in covid cases after holidays.

However, this is not an issue for the only UK. WHO (World Health Organization) is warning of a possible 3rd wave of COVID-19 in Europe in early 2021. If governments fail to get ready and build up the necessary infrastructure we might be facing a harsh start to the next year. Europe accounts for almost 30% of covid cases worldwide.

Meanwhile USA is already showing signs of incoming 3rd wave. The number of Covid-19 cases reached record 205,460 on November 27th.

 There are rumors that Pfizer vaccine will be approved for emergency use by FDA as early as next week, however, analysts are worried that approving vaccines for use is just the beginning and since vaccines from Pfizer and Moderna vaccines need to be stored at subzero temperatures, countries will need to take care of huge logistic problems so that vaccines can be brought to masses all over the world. These logistic challenges won`t be solved in 1 or 2 months and there is a high chance that most governments will face 3rd wave and new lockdowns because of a surge in cases before vaccines will come to aid.

If you are worried about a new lockdown it might be a good idea to invest in industries and stocks that will gain most from new lockdowns. Streaming, Online shopping, Delivery services, and Video Game industries have shown great results during previous lockdowns and they might still have room to Grow. Some of the stocks that we think might benefit from possible future lockdowns are:

  • Amazon Inc. / Ticker: AMZN
  • Netflix Inc.  / Ticker: NFLX
  • Zoom Video Communications Inc / Ticker: ZM
  • Activision Blizzard, Inc. / Ticker: ATVI
  • Paypal Holdings Inc. / Ticker: PYPL

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