Chances are you now have an extra $ 1,400 on your hands. The latest round of incentive payments has already been circulated to many Americans. If you meet the eligibility criteria, your payment should be on track if you have not already received it.
The best thing to do with the money is to pay any outstanding bills and make sure you have an emergency savings account set up. What’s the next best thing to do with your incentive payment? It was deposited.
One other key option for investing new money is to buy stocks of companies that provide coronavirus testing, medications or vaccines. Even with the hope that the end of the pandemic could be near, it looks like COVID-19 will stay with us for a long time to come. But problems also provide opportunities for investors. If you have $ 1,400 to invest in, here are three COVID stocks to buy and hold in the long run.
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1. Labs Abbott
Abbott Labs (NYSE: ABT) achieved remarkable success in the development and marketing of diagnostic tests for COVID-19. The company’s COVID tests generated $ 2.4 billion in sales in the fourth quarter of 2020.
Chief Robert Ford said in an Abbott Q4 conference call that he expects COVID-19 testing demand “to continue to remain high, even as the vaccines roll out.” The emergence of new coronavirus modifications could continue to drive demand for Abbott diagnostic tests in the coming years.
But Abbott does not rely heavily on COVID testing for growth. Continuous glucose monitoring system FreeStyle Libre stands at the top of the list. Libre Sense Glucose Sport extends Abbott’s wearable biosensor focus beyond diabetes.
MitraClip G4, the latest version of the company’s system for repairing leaky mitral heart valves, has now expanded Medicare coverage that will give its market greater potential. And these are just a few of the company’s products that are poised for ever-higher sales.
Analysts estimate that Abbott’s earnings will grow by nearly 16%, on average, annually over the next five years. The company also pays a hard copy for a shoe. Watch as that divide continues to widen: Abbott ranks as an Aristocrat Dividend, with 49 consecutive years of division rounds.
2. MacIain & MacIain
Johnson & Johnson (NYSE: JNJ) history is better than divorce than Abbott. The healthcare giant is a loyal 58-year-old King of Loyalty in a series of share promotions. J&J may soon extend that streak by another year.
The company is currently marketing the only COVID-19 single-dose vaccine available in the U.S. and Europe. Johnson & Johnson currently sells the vaccine at a cost for emergency pandemic use. However, it is likely that the profits will start pouring in once the pandemic is over.
The pandemic has taken a toll on J & J’s medical device industry with the cancellation of medical procedures. The good news, however, is that more vaccines available (including the company’s own vaccine) are helping to reverse issues.
Over the long term, Johnson & Johnson should be able to deliver sustained, sustainable growth. The company’s diversification across several areas of healthcare, including consumer health products, medical devices, and pharmaceuticals, makes J&J one of the safest health care stores on the market. to buy and keep.
3. Pfizer
Few companies have made such an impact on fighting COVID-19 as Pfizer (NYSE: PFE). The big drug dealer, along with his partner BioNTech, the first to win the U.S. Emergency Use Authorization for COVID-19 vaccine in December.
Pfizer COVID-19 vaccine sales could easily go up to $ 20 billion this year. The company expects annual increase beats to be required. If he’s right, Pfizer should have a solid recycling income from the COVID-19 vaccine for a long time to come. The company is also developing an oral antiviral drug for the treatment of COVID-19.
Like Abbott and Johnson & Johnson, however, Pfizer does not rely on their COVID-related programs for success. The company’s current lineup includes a number of major products with rising sales. Pfizer also has a loaded pipeline with 24 late programs.
While Pfizer is neither an Aristocrat Dividend nor a King Dividend, the drug dealer offers one of the most attractive benefits around. With the large divide and strong growth prospects, Pfizer should be able to deliver solid total returns to investors over the long term.
This article represents the opinion of the writer, who may not agree with the “official” recommendation position of the Motley Fool chief consulting service. We are motley! Questioning an investment dissertation – even one of our own – helps us to think critically about investing and make decisions that will help us become softer, happier and richer.