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Three High-Quality Companies To Bet On In A Post-Coronavirus World

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Three High-Quality Companies To Bet On In A Post-Coronavirus World

We do not know what the long-term impacts of this health crisis will be. The market has rallied in recent weeks, but it is still likely we could be in for a sustained economic recession.

If there is one rule when it comes to investing in recessions, it's that they tend to clean the market of weakest players and help the strongest players become more dominant. As long as you don't need this money in the next few years, these types of stocks that are dominant players in growing industries can be a good way to go. Growth investing isn't about making a quick buck, it's all about identifying companies that will become dominant before they do. 

Three high-quality stocks that I believe have years of growth ahead of them are PayPal Holdings (NASDAQ: PYPL), Nike Inc (NYSE: NKE) and Zoetis (NYSE: ZTS).

PayPal

PayPal is positioned as the world's leading digital payments processor. Its recent partnership with UnionPay that gives it access to China has only cemented that lead. Although PayPal is losing its primary payment processor status at eBay (NASDAQ: EBAY), it has sufficient activity to compensate for this loss thanks to its other partners, such as Argentinian MercadoLibre (NASDAQ: MELI) and FIS Global. Between those partnerships, its strong global presence of over 100 million international users, and the continued transition to a cashless society, I believe PayPal is well-positioned for future growth.

Nike

Nike is a well-managed company that's simply masterful when it comes to promoting and growing its brand. Though the pandemic has led to the closure of its stores and factories in China, sales in the fiscal third quarter of 2020 that ended in February were impressive. Digital sales came to the rescue and resulted in strong double-digit growth. Along with expanding margins, well-managed expenses, and impressive earnings per share prior to the outbreak, Nike has proven that it is so much more than a sportswear manufacturer. At this point, Nike is part retail company, part health and wellness brand. And its growing online presence has positioned the company to navigate this storm and come out stronger on the other side.

Zoetis

Zoetis sells medicines, vaccines, diagnostics, and biodevices for companion and farm animals. Last year alone, sales in the companion-animal segment that make up half of its total revenue grew a strong 23% excluding currency effects, while full-year revenue grew 7.5% and adjusted earnings per share jumped 16%. This company has the potential to grow even faster over the long term due to its new product innovations and strategic acquisitions, such as medical and veterinary diagnostics company Abaxis acquired in 2018.

With some shelters reporting a surge in adoptions during the pandemic as people have been forced to stay at home, it stands to reason that 2020 could be an even bigger year for Zoetis. 

This article is not a press release and is contributed by Ivana Popovic who is a verified independent journalist for IAMNewswire. It should not be construed as investment advice at any time please read the full disclosure . Ivana Popovic does not hold any position in the mentioned companies. Press Releases – If you are looking for full Press release distribution contact: press@iamnewswire.com Contributors – IAM Newswire accepts pitches. If you're interested in becoming an IAM journalist contact: contributors@iamnewswire.com Questions about this release can be send to ivana@iamnewswire.com

The post High Quality Companies- The Only Bet You Can Make for Your Future appeared first on IAM Newswire.

Photo by Lefteris kallergis on Unsplash

 

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