- As a pandemic brings a 100 downsides, it also brings few opportunities, How to make money in pandemic becomes a very obvious question.
- In the quest of How to make money in pandemic, Let’s start our review with the biotech company Moderna, which has become one of the most popular buying companies in the stock market.
- The world is far from defeating the coronavirus, which means that Moderna vaccines will continue to be in demand. Moreover, COVID-19 is likely to become an ordinary seasonal illness, like the flu, over time.
As a pandemic brings a 100 downsides, it also brings few opportunities, How to make money in pandemic becomes a very obvious question. So, at the end of November, another strain of COVID-19 became known, which received the official name Omicron. The world’s medical institutes have classified this strain as of concern. The first results will become known in a few weeks, but what is already known is that Omicron is more aggressive and has a large number of mutations.
Omicron greatly frightened investors, causing panic sell-offs on global stock markets. Investors fear that restrictions and lockdowns will return due to the new strain. Of course, few people are happy about it. Nevertheless, there are companies for which the current situation will help them improve their business, including in the long term. We will analyze what these companies are below.
How to make money in Pandemic
The main beneficiaries are vaccine and drug manufacturers in the quest of “How to make money in Pandemic”
In the quest of “How to make money in pandemic”, Let’s start our review with the biotech company Moderna, which has become one of the most popular buying companies in the stock market. It’s hard to believe in it now, but just three years ago, few people heard about this company. But already at the beginning of 2020, this paper has skyrocketed by more than 1700%. The reason lies in the coronavirus vaccine that the issuer is producing.
Despite the decline in forecasts, the company plans to receive from $ 16 to $ 18 billion from the sale of the COVID-19 vaccine in the outgoing year in 2021, and in 2022 the company expects revenues from $ 17 to $ 22 billion.
The world is far from defeating the coronavirus, which means that Moderna vaccines will continue to be in demand. Moreover, COVID-19 is likely to become an ordinary seasonal illness, like the flu, over time. In this case, the issuer can supply the vaccine before seasonal flare-ups.
In the meantime, company representatives promise to create a booster vaccine against the new COVID-19 strain by March. In this case, we are waiting for the continued growth of the asset.
The company is also working on a combination vaccine that will include the COVID-19 vaccine and the flu. If successful, the demand for the issuer’s products will remain for many years. In addition, Moderna is developing several vaccines for various forms of cancer and HIV. Projects are under testing, and if approved by regulators, the company’s stock will continue to climb new heights.
How to make money in pandemic with Protective assets i.e: gold and cryptocurrency
There is a time of uncertainty on the market, and accumulating the crucial and rare assets are the simple answer of how to make money in pandemic, First, the new strain of coronavirus remains a “dark horse”, and it is unclear whether it will cause a return to restrictions around the world or not. In addition, traders are worried about the further actions of the American regulator.
In his last speech, the head of the Fed changed the rhetoric from neutral to aggressive, and now investors are wondering what the Fed will present at the end of 2021. Against this backdrop, the demand for safe assets and cryptocurrency has increased dramatically which has been the answer of How to make money in Pandemic for millions of people. In addition to the growing demand for precious metals, shares of gold miners are growing. For example, Barrick Gold Corporation, which specializes in mining.
This mining company has Napoleonic plans and looks like they have finally found the answer to the the greatest question from last 3 years, How to make a living in pandemic, or Even How to make money in pandemic. The management of the corporation marks the title of the most expensive gold mining company in the world. And given its production capacity, this goal is more than achievable.
Thus, the issuer can produce 500,000 ounces of gold per year. The company controls rich deposits of precious metal, the reserves of which will last more than one year of production. By 2030, Barrick Gold plans to produce an average of 5 million ounces per year.
According to the issuer’s forecasts, the total costs of maintaining production will begin to decline in the coming years. The costs are now $ 1,000 and should be $ 800 by 2025.
Against the backdrop of cost cuts, profit should continue to rise, even if gold on the market shows modest results.
In recent years, Barrick Gold has focused on debt repayment through free cash flow and non-core asset sales. As a result, the issuer reduced its interest expenses, which led to an increase in dividends.
High inflation and economic uncertainty due to the pandemic will persist in 2022. For these reasons, one should hardly expect a significant decline in the dollar. This means that gold mining companies will continue to report income growth, improve margins and pay generous dividends.
In addition to the precious metal, cryptocurrencies have recently received the status of a protective asset. Below we take a look at a few companies that are closely related to the crypto world.
Square & PayPal Holdings
Square and PayPal Holdings are two companies that deal with electronic payments. Both payment systems generate revenue from transactions, subscriptions and services, hardware and cryptocurrency.
It is cryptocurrency that has become the frontier that these companies are conquering now because they have asked this question several times that how to make money in pandemic or in adversity. They are already developing solutions to allow users to buy and store cryptocurrencies in a digital wallet.
In the last months of 2017, Square launched a new option in its Square Cash App – Bitcoin trading. Then bitcoin just gained worldwide fame, and did not bring a lot of money to the company. The company not only added a new option to the application, but also bought bitcoin, which brought this payment system millions in 2020 and 2021.
Square is driving the use of bitcoin among its business users (through the Square ecosystem). The issuer is well positioned to become the leading platform for cryptocurrency transactions between companies and their clients. While the popularity of using BTC is slowly growing, the Square Cash App is mainly used only for cryptocurrency trading.
Square’s competitor, PayPal, has a similar app, Venmo. Venmo is used for peer-to-peer payments, cryptocurrency storage and sales. The application can work with Bitcoin, Bitcoin Cash, Ethereum and Litecoin. With its large user base and growing popularity of cryptocurrency, Venmo could become the leading cryptocurrency platform where customers can buy major cryptocurrencies and then use them to buy altcoins or access decentralized financial applications.
How to make money in Pandemic with Educational services
The coronavirus pandemic has shown that many things do not have to be done through physical presence. Distance work, distance learning and distance medicine are in some cases as effective as in person. For example, let’s take a project in the field of Internet education Coursera.
This company is known not only to students, but also to people who are engaged in self-education or need advanced training. On this learning platform, you can listen to lectures, take courses and receive certificates. At the moment, the issuer receives the main income from corporate subscriptions to courses.
It is worth considering that the company’s marketing and sales costs are quite high, and the costs are growing noticeably faster than revenue. Coursera is operationally unprofitable and has negative cash flow. However, the company improved its performance in the last quarter, which exceeded analysts’ forecasts.
Already, Coursera is showing outstripping growth rates due to high demand for its services, a growing client base and revenue growth. And the company has room to expand. According to forecasts, the online education market will grow at an average rate of 40% per year and by 2025 will reach $ 320 billion. In our opinion, Coursera will fit well into the paradigm of the post-image world.
Retail: non-obvious ideas
As 2020 has shown, retailers also benefit from the pandemic. First of all, grocery, and those who have essential goods for sale, and if the store has its own delivery, then the retailer’s business turns into a gold mine.
Let’s see what interesting companies there are in the North American continent, in addition to such giants as Amazon and Walmart.
How to make money in pandemic? Ft. Etsy
The e-commerce website Etsy specializes in handicrafts, unique limited edition merchandise. The company has 1.7 million active sellers and 28.6 million active buyers. The number of repeat buyers from the company is growing steadily.
Buyers and sellers are scattered all over the world. Six main regional markets: USA, UK, Canada, Australia, France and Germany.
In 2015, the issuer’s operating margin did not exceed 0.6%, and Etsy’s net loss amounted to $ 54.1 million. In 2021, the operating margin increased to 24.6%, and the net profit approached 20%. Amid growing annual revenues from $ 274 million to $ 1.7 billion over the same five years, the company’s profitability rose sharply, which confirms the effectiveness of Etsy’s business model.
In our opinion, the business model of this company will make it a winner among the competitors in the coming holiday season. Here’s why: Etsy won’t have problems with an unrecovered supply chain as it doesn’t depend on big logistics companies. This online platform is just a meeting place for sellers and buyers. The sellers on the site work from home and do not need parts from large factories that are currently having logistical problems in order to create their fakes.
Add in Etsy’s ability to retain customers and we have a 100% success formula. According to the latest quarterly report, the number of repeat customers increased by 115% over the previous year. Their issuer shares are up 21% in 2021.
