Monday, January 25, 2021
Home Business Investing Your Stimulus Check? 3 Best Stocks to Buy Now

Investing Your Stimulus Check? 3 Best Stocks to Buy Now

The second round of economic stimulus checks will soon be in the hands of many #Americans. #Direct deposits could hit bank accounts beginning this week, and paper checks and debit cards will be mailed shortly afterward.

#An extra $600 will help many individuals pay bills or add to their emergency funds. #Those are absolutely the highest priorities for your stimulus money. #Once you’ve addressed those crucial items, investing for the long term is a great way to use the added cash. #If you’re looking to invest your stimulus check, here are three of the best stocks to buy right now.

#Image source: #Getty #Images.

1. #Etsy

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#Probably the most important thing to know about #Etsy (NASDAQ:ETSY) is this: 88% of buyers say that the online e-commerce site has items they can’t find anywhere else. #Etsy’s platform connects 69.6 million active buyers with 3.7 million active sellers in a marketplace for unique handcrafted goods. #And those numbers are growing.

#Etsy stock has soared close to 300% so far in 2020. #This impressive performance was driven in part by the COVID-19 pandemic, with face mask sales boosting revenue significantly in the second and third quarters. #During both quarters, the company also reported an influx of millions of new customers and returning customers who hadn’t made purchases in over a year.

#This momentum isn’t likely to evaporate after the pandemic ends. #Etsy found that buyers increased their spending by more than 50% year over year in the third quarter, excluding face mask purchases. #Customers simply like the platform and are buying more products on it.

#Etsy has only begun to scratch the surface of its full opportunity. The company estimates that it has a 5% market share in the $100 billion “special” products retail market. #But the pandemic has caused management to realize that its actual addressable market is much larger. #With its tremendous growth prospects and laser focus on serving buyers and sellers, I think that #Etsy should generate huge long-term returns for investors.

2. #Fiverr

#Like #Etsy, #Fiverr (NYSE:FVRR) is an e-commerce company. #But instead of connecting buyers and sellers of handcrafted goods, #Fiverr connects freelancers and businesses for digital services.

#Its stock was sizzling hot in 2020, skyrocketing more than 730%. CEO #Micha #Kaufman said that the company is benefiting from “sustainable trends in businesses upping their investments into digital transformation and their increased willingness to adopt a remote and flexible workforce.”

The company estimates that its addressable market totals $115 billion. #Fiverr expects to make close to $187 million in revenue in 2020, well below 1% of that addressable market.

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#Capturing more of that market shouldn’t be a problem. The workplace is changing into one where teams work digitally from anywhere. #Fiverr is rapidly expanding into new markets, most recently launching its platform in #Brazil and #Mexico. #My view is that this stock is likely to be a big winner for a long time to come.

3. #Innovative #Industrial #Properties

A real estate investment trust (REIT) might seem boring compared to the excitement generated by #Etsy and #Fiverr. #But #Innovative #Industrial #Properties (NYSE:IIPR) isn’t an ordinary REIT.

IIP focuses on the U.S. medical cannabis industry. #It provides a valuable service to medical cannabis growers that face challenges obtaining capital due to restrictive federal laws. IIP buys these companies’ properties then leases the properties back to them. These sale-leaseback transactions give the medical cannabis operators much-needed cash and give IIP a nice long-term revenue stream.

The U.S. medical cannabis market is growing like a weed (pardon the pun). #Two states voted in #November to legalize medical marijuana, bringing the total number of states where medical cannabis is legal to 35. IIP currently owns 66 properties in 17 states. #Many of these markets are still only in their early stages and continue to see robust growth.

IIP stock jumped more than 130% in 2020. I think that it could double — or more — in the new year as the company adds more medical cannabis properties.

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##Investing ##Stimulus ##Check ##Stocks ##Buy


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