It’s been a rough couple of days for the stock market and investors because the economy has been absolutely clobbered by the coronavirus pandemic. To mitigate the effects of COVID-19 on the economy, the government has responded by signing off a stimulus package, one that could net you a check of between $1200 to $2400.
While many people absolutely need this check to pay essential bills and buy food supplies, it might be worth investing the stimulus checks into stocks if you have access to emergency funds. Assuming you’re able to get the checks, here are three top stocks you should definitely buy.
1. Apple
Now is the perfect time to buy shares of the tech giant Apple (NASDAQ:AAPL). They were among the first companies to announce that the coronavirus was going to adversely affect their ability to meet previously issued guidance. But unlike other companies that are struggling to stay afloat, Apple has a near limitless supply of cash and simply doesn’t have concerns everyone else does.
They have $107.2 billion in marketable securities and cash along with $63.2 billion in operating cash flow to survive the next 12 months in stride. And with Apple soon on its way to announce 5G capable phones, we can see some long and big dividends for investors.
2. Back of America
Make sure to invest in Bank of America (NYSE:BAC) because the organization is very financially stable, despite their stock tumbling down by 45% in the last few days. Bank of America will probably see a lower noninterest income because lending rates have fallen to an all time low. The company should still be able to offset this with digital sales through mobile apps and digital banking.
3. IBM
IBM (NYSE:IBM) may have been a monumental disappointment in the past few years because their sales have fallen year over year. That may soon change because of their all-cash acquisition of Red Hat which will bolster their cloud operations. The cloud is going to play an increasingly bigger role in the years to come. Expect some pretty big dividends as the company looks all set in returning to making year-on-year sales growth.