Amidst the calamity, the COVID-19 crisis has brought moments of opportunity.
The coronavirus has damaged huge swaths of the economy. But there are some companies that have seen growth in the time of COVID, and some have gone on to create fortunes for their investors.
If you're searching for a way to protect and grow your wealth in 2021, here are five excellent companies that are poised for even more strength during the pandemic -- and in the years that follow.
Moderna (MRNA 1.01%) can help to protect not just your investment portfolio, but the world at large. The biotechnology company has developed a vaccine that clinical trials have shown to be 94% effective against COVID-19 -- and as much as 100% effective at preventing severe forms of the disease. Governments have rushed to secure massive quantities of Moderna's vaccine, which has brought much-needed cash into the drugmaker's coffers. Moderna intends to use this cash to fund the development of new vaccines for other illnesses, which could fuel its already impressive growth in the coming years.
2. Zoom Video Communications
Zoom Video Communications (ZM -0.46%) is helping us adapt to COVID-19 by enabling us to more easily work and learn from home. Hundreds of millions of people have turned to Zoom's cloud-based video, voice, and chat tools to stay in contact with colleagues, teachers, friends, and family during the health crisis. Zoom's revenue and profits, in turn, have surged. And with companies increasingly embracing distributed workforces, investors should expect Zoom's growth to continue long after the pandemic subsides.
3. Teladoc Health
Like Zoom, Teladoc Health (TDOC 0.76%) is benefiting from the shift toward cloud-based video communications. People can use the virtual healthcare leader's platform to have video chat consultations with doctors, therapists, and other health experts using their computers and mobile devices. Telehealth services are allowing hospitals to provide more care to more people at a time when physical capacity at many medical facilities is stretched thin due to COVID-19. Telemedicine is thus becoming a priority for many healthcare plans, and Teladoc stands to benefit most from this rising demand.
COVID-19 is also changing how people shop. Retail sales are shifting online during the pandemic, and digital transactions are increasingly replacing cash sales. Square (SQ -0.05%) is helping its merchant customers adapt to these changes. The fintech leader's credit card processing, website-building, and e-commerce services equip its merchants with the tools they need to not just survive but thrive during the coronavirus crisis and thereafter. As its customers' sales and profits continue to grow, so too will Square's.
5. Peloton Interactive
Physical fitness has never been more important than it is during quarantine, but many gyms are closed due to COVID-19. Peloton Interactive (PTON -6.13%) is giving people a way to stay healthy during the pandemic. Sales of its internet-connected stationary bikes and treadmills are booming, and more than 1.3 million people now subscribe to its digitally delivered exercise classes. Peloton's torrid growth should continue long after the crisis ends, thanks in part to the convenience and long-term cost savings that its home-based equipment provides. Investors who buy its stock today should be well rewarded.