The Coronavirus Is Helping These Two Companies While Sinking These Two Companies

Major world events have a polarizing effect on stock prices. While everyone is panicking about the coronavirus, each night I am taking a step back and looking at it from a business perspective to think about – which companies are gaining new customers from this, and which companies are losing customers from this?

My Stock Analysis…

Over the past 41 days (Jan 24 2020 – March 6 2020), the S&P decreased -9% while…

🟢 Gaining

👉 APT – this company sells surgical masks so their stock has skyrocketed 600% then settling near 206% most recently

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👉 INO – this company is speculated to be developing a coronavirus vaccine so their stock has increased 115%

👉 $ZM (Zoom Video Communications) has gone up 70% (Counting Jan 24-March 6th movement) as people speculate they will have more customers as everyone is working from home. Make sure you are not looking up $ZOOM which is a separate company.

🔴 Losing

👉 RCL – Royal Carribean Cruiseline stock has decreased 42% anticipating a decrease in passenger sales for the next couple quarters. Similar impact on CCL (Carnival Cruiselines)

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👉 AAL – American Airlines is down 42%, anticipating a decrease in ticket sales because people don’t want to fly

I believe there is a cause-and-effect relationship here.

So Are Market Speculators Using This Information To Make profits?

Yes! In a very outrageous example, here’s a guy who purchased $700,000 worth of options and has an unrealized profit of $900,000 within a week 😲

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Original post viewable on /r/WSB while profit calculation here: /r/WSB/post

Yeah, that subreddit doesn’t call themselves “Wall Street Bets” for no reason.

Did I bet on this information? Well, I put $100 into one of the above a week ago and made $50 then got out. There’s a saying I like to follow “Keep your learnings before your earnings”, so it’s good to practice with small positions before taking on real risks.

I hope that you learned something too 🙂

For my previous post on Coronavirus stocks: URL

My Request

👉 If anyone reading this has traded options before or enjoys speculating based on market psychology, please message me! I’d love to chat and see what we can learn from each other 😊

👉 Know someone who can relate? Feel free to tag or comment below.

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