With fears of the Coronavirus turning into a pandemic, stay-at-home companies have found the silver lining. Companies that are designed around customers staying at home are well-positioned to weather a storm such as the spread of the Coronavirus.
With more people choosing to avoid public places and to stay in their own homes more, these services like Netflix, are benefiting. Stock prices were up 0.8% last week, despite a dismal week on Wall Street. Last week saw the worst sell-off seen in nearly the last decade (S&P 500 index lost 8.3%) amid fears of a global recession as the result of the spread of the Coronavirus (COVID-19).
This phenomenon seen with Netflix despite market trends could lead to other stay-at-home companies to also benefit. This includes companies such as Peloton, Slack, Amazon, and Facebook. Essentially, any company specializes in offering a product or service via an internet connection without the consumer having to leave the comfort of their won home holds the potential to benefit.
Companies that deal directly with China, such as the manufacturing sector (including Apple Inc.), are taking a hit. But, the silver lining is that not all companies are hit the same way. Companies that can help individuals continue to live their lives without leaving their home amidst an outbreak are going to have an easier time with the tumultuous market as new figures come in about the Coronavirus. This includes companies like Netflix and Nexstar that provide in-home entertainment.
To date, the US has 73 confirmed cases of Coronavirus with 1 death. However, worldwide, there have been 88,341 confirmed cases and more than 3,000 deaths. The majority of these cases have been reported in China (19,828 reported cases with 35 deaths). This is closely followed by an outbreak in South Korea, Italy, and Iran.
- What is Discovery+? Review, Price, Shows & More - 01/15/2021
- 4 NBA Streaming Services to Watch Live Basketball This Season - 12/28/2020
- Now Watch fuboTV on Xbox One - 12/17/2020