Back to top

Image: Bigstock

4 Advertising & Marketing Stocks to Gain Amid Coronavirus Scare

Read MoreHide Full Article

The rapidly growing number of cases of coronavirus-infected patients across the globe has roiled the equity market. Thus, it seems wise to invest in some promising stocks that have the potential to hold up better even if the market continues to remain in the bearish territory owing to low correlation.

The digital media industry seems to be better poised to combat the effects of the pandemic.

Advertising & Marketing to Play Safe Amid Coronavirus Scare

Governments across the world are extending strict nationwide lockdowns as a preventive measure to curb coronavirus outbreak. As a result, people are left with no options but to stay indoors and spend more time on various media platforms and streaming video services, which has increased digital media consumption. So, agencies offering digital marketing stand to gain as they are better positioned to address this rapid change in customer preference. According to Magna’s most recent global ad forecast, U.S. linear and digital ad revenues are anticipated to grow 6.6% this year.

Stocks That are Immune to This Crisis

In the wake of the present scenario, one can choose to keep an eye on companies that are poised to improve business if people spend more time at home. Such stocks will not only protect investors from downside risks but are likely to gain, since there seems to be no immediate respite.

To this end, we have chosen four stocks from the Zacks Advertising and Marketing industry, which currently carries a Zacks Industry Rank #97. This rank places it in the top 38% of more than 250 Zacks industries.

We are presenting one stock with a Zacks Rank #1 (Strong Buy) and three with a Zacks Rank #3 (Hold) that are well positioned to gain in this scenario. Each of these stocks has a solid expected earnings growth rate for the current year. You can see the complete list of today’s Zacks #1 Rank stocks here.

Let’s have a look at these stocks.

Fluent, Inc. (FLNT - Free Report) : This New-York based company provides data-driven digital marketing services primarily in the United States. The company’s expected earnings growth rate for the current year is more than 100%. Currently, it sports a Zacks Rank #1.

FLUENT, INC. Price, Consensus and EPS Surprise

 

FLUENT, INC. Price, Consensus and EPS Surprise

FLUENT, INC. price-consensus-eps-surprise-chart | FLUENT, INC. Quote

Clear Channel Outdoor Holdings, Inc. (CCO - Free Report) : This Texas-based outdoor advertising company, owns, operates, and sells advertising displays in the United States and internationally. The company’s expected earnings growth rate for the current year is 81.8%. Currently, it carries a Zacks Rank #3.

Harte Hanks, Inc. (HHS - Free Report) : This Texas-based company provides various multi-channel marketing services in the United States and internationally. The company’s expected earnings growth rate for the current year is 58.7%. Currently, it carries a Zacks Rank #3.

Harte-Hanks, Inc. Price, Consensus and EPS Surprise

 

Harte-Hanks, Inc. Price, Consensus and EPS Surprise

Harte-Hanks, Inc. price-consensus-eps-surprise-chart | Harte-Hanks, Inc. Quote

InnerWorkings, Inc. : This Illinois-based company operates as a marketing execution firm in the United States, Canada, the United Kingdom, continental Europe, the Middle East, Africa, Asia, Mexico, Central America, and South America. The company’s expected earnings growth rate for the current year is 28.6%. Currently, it carries a Zacks Rank #3.

InnerWorkings, Inc. Price, Consensus and EPS Surprise

 

InnerWorkings, Inc. Price, Consensus and EPS Surprise

InnerWorkings, Inc. price-consensus-eps-surprise-chart | InnerWorkings, Inc. Quote

The Hottest Tech Mega-Trend of All

Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.

See Zacks' 3 Best Stocks to Play This Trend >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Clear Channel Outdoor Holdings, Inc. (CCO) - free report >>

Harte Hanks, Inc. (HHS) - free report >>

FLUENT, INC. (FLNT) - free report >>

Published in