Recently, the Internet has been actively writing about the impact of the coronavirus pandemic and related quarantine measures on business. Many industries were actually stopped – for example, tourism – or seriously reduced their activity – for example, the restaurant business, where there was only delivery and in some places the opportunity to cook take-away.
Is everyone doing well
Taxi services Uber and Lyft also faced a decrease in demand against the background of quarantine. This led to the fact that Uber seriously thought about large-scale reductions (and already lost CTO), and Lyft is already announced about a reduction of almost 17% of the staff.
But there are examples that a pandemic and quarantine can play into the hands of business.
Manufacturers of computers and components
Three IT giants received an unexpected bonus from coronavirus – office workers who were locked at home needed equipment. As a result, demand for both computers and related products, such as monitors, keyboards and mice, has grown. Not every quarantined employee was able to get the right set of equipment from the employer, as a result, they had to buy something on their own.
According to statistics, in the first half of March alone, sales of monitors in the United States alone increased by 80,000 units. Sales of laptops, mice and keyboards only in March increased by 10%.
Increased demand spurred stocks of manufacturers, some of which were cheaper. Microsoft just grew:
Dell and IBM were able to mitigate the fall: in the last year, both companies on the exchange did not do very well.
Video Conferencing Software
One of the main business beneficiaries of the current crisis is Zoom video conferencing service. The company managed to increase the number of users from 10 million to 200 million in just three months.
Not surprisingly, the company’s stock price also increased: from $ 113.11 in early March to $ 135 in late April.
Not without its oddities: this is not the first time investors have confused the shares of the Zoom service with the securities of the Chinese telecommunications equipment manufacturer Zoom Technologies. As a result, the shares of the wrong Zoom soared in price by 557% – not as much as a couple of years ago, when in the same situation, investors increased the value of shares by 47,000%.
Streaming services and game developers
During isolation at home, people not only work and make phone calls, but also have fun. One of the most obvious ways to do this is to watch movies and TV shows. This played into the hands of streaming services – for example, the Netflix service for the first three months of 2020 increased an audience of 15.8 million users. At the same time, recently, Wall Street analysts had forecast growth of 7 million.
Now the company’s stock price is approximately $ 420 apiece, Netflix surpasses Disney in terms of capitalization.
A similar situation for game developers. For example, the value of the shares of the Canadian game dev company Electronic Arts has also grown significantly.
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