6 Remote-Working Software Stocks To Ride On Virus-Led Lockdowns

The rising incidences of coronavirus across the world has led several countries to put restrictions on global travel and mass gatherings, as well as placing cities on lockdown to contain the virus.

The need for quarantine and travel barriers is creating disruptions on the international business front. The coronavirus-related health concerns resulted in suspension of several conferences and public events, including Alphabet (NASDAQ:GOOGL) owned Google’s Cloud Next summit, and Microsoft’s (NASDAQ:MSFT) MVP summit.

Due to the mounting coronavirus fears, organizations across the globe are also advising their employees to work from home unless their role on-site is not essential to the company. Alphabet yesterday announced that it is offering work-from-home options to all of its Kirkland-office employees amid rising corona scare.

Reportedly, Microsoft has also offered its Seattle-area employees the option to work from home. In fact, earlier, Twitter (NYSE:TWTR) and Square (NYSE:SQ) also asked their employees across the globe to work from home.

As the demand for offsite-working increases, companies offering remote-working software and services are expected to grow exponentially.

Let’s dig deeper to found out which companies are well-poised to benefit from this trend.

Remote-Working Software Providers to Benefit

Dropbox (NASDAQ:DBX) is well known for providing cloud-storage service. Additionally, the company offers team collaboration tools through which users can share files, photos, videos, songs and spreadsheets. A strong focus on product innovation and introduction of features, like Dropbox Spaces, Paper and Extensions, are anticipated to boost its user base. Further, integration with leading applications like Zoom Video, Slack and Atlassian will likely expand the Dropbox paying user base.

Dropbox currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Moreover, in the year-to-date period, Dropbox’s shares have gained 10.6%, as against the S&P 500 composite market’s 7% decline. The estimated EPS growth rate for the stock is 14.3% for 2020.

Dropbox, Inc. Price

Dropbox, Inc. Price

Dropbox, Inc. price | Dropbox, Inc. Quote

Microsoft’s Office 365 commercial suite paid version enables team members to share files, schedule meetings directly from Outlook, record meetings and collaborate on documents using the desktop Office programs and SharePoint Online.

Microsoft, which currently flaunts a Zacks Rank of 1, also offers a free-version of Teams. This platform helps teams conduct video meetings, workplace chat, file storage, and application integration. The company’s EPS are anticipated to grow 12.8% in fiscal 2020. The Microsoft stock has outperformed the S&P 500, rallying 8.2% year to date.

Microsoft Corporation Price

Microsoft Corporation Price

Microsoft Corporation price | Microsoft Corporation Quote

Atlassian Corporation Plc (NASDAQ:TEAM) is a leading provider of team collaboration and productivity software. The company is well known for its project and issue tracking application — Jira, and its team and document collaboration products — Confluence and Trello.

Atlassian is poised to grow owing to massive digitalization of work from organizations, big or small. This apart, integration with leading applications like Slack, Dropbox, and Adobe (NASDAQ:ADBE), along with partnerships with the likes of Amazon’s AWS and Microsoft, will likely expand the Atlassian paying user base.

Shares of this Zacks Rank #2 (Buy) stock has gained 27.6% year-to-date. The company’s fiscal 2020 EPS is likely to increase 31.8% on a year-over-year basis.

Atlassian Corporation PLC Price

Atlassian Corporation PLC Price

Atlassian Corporation PLC price | Atlassian Corporation PLC Quote

Box, Inc. (NYSE:BOX) offers cloud content-management solutions to companies of all sizes and industries. The company provides a single place to secure, share, and manage all of the content for an organization’s internal and external collaborations and processes. Integration with other software like Microsoft Office 365, Google Apps for Work, Adobe, and Salesforce is likely to enhance Box’s user base.

Box currently carries a Zacks Rank #2 and its EPS are expected to grow 11.2% year-over-year in fiscal 2021. Moreover, in the year-to-date period, Box’s shares have depreciated 8.3%.

Box, Inc. Price

Box, Inc. Price

Box, Inc. price | Box, Inc. Quote

DocuSign Inc. (NASDAQ:DOCU) provides e-signature solutions. The company’s software provides a proof of signing process to all parties related to a transaction. DocuSign is poised to benefit from the growing number of off-site and work-from-home availing employees amid coronavirus fears.

Furthermore, the long-term outlook of DocuSign looks impressive owing to a rising freelance market, as government and organizations are finding it more convenient and cost effective in hiring freelancers than employing full-time staff. The company has software integration partnerships with Microsoft, Salesforce, Oracle (NYSE:ORCL), and others, which is likely to continue boosting its user base.

DocuSign’s EPS are anticipated to grow 24.9% in fiscal 2021. This Zacks Rank #3 stock has outperformed the S&P 500 with a year-to-date return of 10.6%.

DocuSign Inc. Price

DocuSign Inc. Price

DocuSign Inc. price | DocuSign Inc. Quote

Alphabet-owned Google’s collaboration app, Google Drive, enable users store and share files, photos, videos, songs and spreadsheets. The paid version comes as a separate app, as well as along with G-Suite subscription. At present, Alphabet carries a Zacks Rank #3 and the stock has gained 3.2%, year to date. Its EPS is likely to grow 17.5% year-over-year this year.

Alphabet Inc. Price

Alphabet Inc. Price

Alphabet Inc. price | Alphabet Inc. Quote

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