With Love from Goldman Sachs, Bet You Wish You Had This List

Issue 35

09.07.20 - Several Covid-19 vaccines are in Phase 3 trials and preliminary data on the vaccines is due at the end of the month, so Goldman Sachs is preparing its clients for a rebound in certain stocks and recommending tweaks to client portfolios.

The good folks at Goldman provided a list of several U.S. equities for its clients and grouped them into four tiers.

The first tier includes stocks that have dropped in 2020 during the pandemic but they believe should bounce back as people “return to normal”. The second tier is comprised of equities that appear to have gained a competitive advantage during the lockdown but need their markets to reopen to fully capitalize on its advantage.

The third are those equities that should be expected to bounce back when global growth recovers. And the fourth tier are the equities that should fare well over the long term but remain shaky in the short term.

Goldman Sachs analyst Chris Hussey released a statement on the list saying, “While we take no view on when a vaccine will be approved for the virus, against this backdrop of potential catalysts ahead, we look across our US GIR coverage universe to identify a relatively short list of 19 stocks that our analysts believe could outperform once a vaccine is approved”.

Source: Wall Street Journal