4 Stocks To Gain The Most From The Coronavirus Outbreak

The deadly coronavirus has claimed too many lives and experts believe it could cost the global economy in trillions. With no immediate respite in sight, the severe acute respiratory syndrome coronavirus 2, or SARS-CoV-2 for short, is likely to keep markets edgy for a while now.

However, several stocks are immune to the virus’ impact and, in fact, are expected to keep gaining.

Will the Epidemic Take the Shape of a Pandemic?

Considering the rapid spread across the globe, the virus eruption is now on the verge of being classified as a pandemic, said the World Health Organization.

Per compiled data of Johns Hopkins University, since the virus was first detected in China late last year, the total number of infected people across the world has increased to 113,584, as of Mar 9. Outside mainland China, the total number of cases surged from 10,000 a week ago to 30,665, the compiled data suggests. Notably, the count in the United States jumped to 605, including at least 25 deaths.

Stocks in the Watchlist

In the wake of the present scenario, one can choose to keep an eye on companies that are engaged in the prevention, diagnosis and treatment of the disease. Such stocks will not only protect investors from downside risks but are likely to continue gaining since there seems to be no immediate respite.

We are presenting one stock with a Zacks Rank #2 (Buy) and three with a Zacks Rank 3 (Hold) that are well positioned to gain. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Headquartered in Salt Lake City, UT, Co-Diagnostics, Inc. (NASDAQ:CODX) announced on Mar 5 that there has been a surge in its product shipment since global demand for its novel coronavirus detection kits has risen in recent weeks. The stock currently carries a Zacks Rank of 2.

GenMark Diagnostics, Inc. (NASDAQ:GNMK) , headquartered in Carlsbad, CA, announced on Mar 2 that it has commenced the shipping of ePlex Research Use Only test kits that are designed for the detection of the virus. Notably, the shipment will reach some of its customers in the United States and distributor in Hong Kong.

The #3 Ranked stock is expected to see its bottom line improve 30.5% and 48.3% in 2020 and 2021, respectively.

Headquartered in Miami, FL, OPKO Health Inc. (NASDAQ:OPK) recently announced that its BioReference Laboratories is trying to develop a test for the virus that will be able to deliver accurate and reliable results. This follows the change in polices by the United States to open the testing market to private companies since the demand for testing kits has surpassed supply.

The Zacks #3 Ranked stock is likely to see earnings growth of 12.2% and 14.8% in 2020 and 2021, respectively.

Inovio Pharmaceuticals Inc (NASDAQ:INO) , headquartered in Plymouth Meeting, PA, has designed DNA vaccine INO-4800, emphasizing the company’s strong commitment toward preventing COVID-19. Inovio CEO Joseph Kim said that the company took only three hours to design the vaccine after the virus’ genetic sequence got published. Notably, Inovio expects to be able to commence clinical trial of the vaccine on humans by April.

The stock, with a Zacks Rank of 3, is likely to see earnings growth of more than 25% in 2020.

Just Released: Zacks’ 7 Best Stocks for Today

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