JPMorgan Chase
Banks naturally benefit as the economy recovers. According to JPMorgan CEO Jamie Dimon, consumers who asked for deferrals on their credit cards and mortgages continued to make payments. With the oncoming economic recovery in 2021, JPMorgan will likely release its loan loss reserves, raising earnings per share.
2. Pfizer
Pfizer is eagerly identifying itself along the lines of high multiple growth stocks. Pfizer is not only promising to release the COVID-19 vaccine by 2021 but also an array of oncology and rare disease drugs, as well as cures for hemophilia and muscular dystrophy in the next three years.
3. Dow Chemicals
Analysts project investments in the material sector to be worth noting in the coming year. The gradual increase of the S&P 500 Materials Index is in part to Dow’s gain of almost 13% over one month. This is due in part to Dow’s engagement in the Chinese market, which is the only market projected to expand this year.
According to the World Economic Forum, chemical and material innovations make considerable contributions to sustainable development such as “energy and climate, transport, health, and food, among others”. These sectors have the potential of finding leverage in terms of stimulus programs and are anticipated to have a considerable impact across business and society.
4. Etsy
We find Etsy to be a more mainstream e-commerce market as the pandemic rolls on. Etsy also boasts of its earnings and free cash flow growth. This is uncommon for many online shopping platforms.
While Etsy comprises only 1% of U.S. online retail sales, popular categories include health and beauty and home goods. This immediately puts Etsy as a viable prospect for long-term investment.
Ride it Out
For investors looking to make the most out of the 2021 economic recovery, research is still the best route. Look into industries that may not have done so well in the pandemic but people are excited to patronize once COVID-19 protocols are eased.
If we learned one thing in 2020, it is that nothing is 100% predictable. Try to look into the future, and go for investments in the long term.
