The pandemic and the subsequent lockdowns and social distancing orders created a lot of unanticipated winners in the market.
The drastic changes in our living and spending habits even prompted the emergence of a completely new sector: stay-at-home stocks.
Stay-at-home stocks have been, without a doubt, the consistent front runners — and big winners — of the year.
These are the companies that provide products or services that are essential to the comfort, convenience and productivity of the millions of consumers staying at home.
You already know most of them… because chances are they’ve made your daily life much easier in the last nine months.
- Zoom for video conferencing and virtual meetings has been crushing it at +624%
- Pelaton, the high-end stationary bike for gym rats who were shut out of their favorite facilities has been through the roof at +333%
- Square, used for online/mobile payments everywhere, exploded at +199%
Other companies like Amazon, Docusign, Teledoc, Wayfair and others have skyrocketed since the start of lockdown.
But alas, all good things must come to an end…
And the party’s over.
After yesterday’s BLOCKBUSTER announcement, stay at home stocks are dead…
Yesterday, Pfizer announced their new vaccine, touting a 90% success rate against COVID-19.
The moment that happened, the market responded with the biggest day for stocks this year….
Except for the stay-at-home stocks.
They ALL took big hits…
Zoom was down $80 after enjoying trading at 525x their earnings, which is insane when the market average is 25x.
The problem is that COVID-19 fears and protocols artificially inflated the value of these stocks by a wide margin.
However, as soon as Pfizer gave the public a potential light at the end of this tunnel, they made a break for it.
Unfortunately, hope for the public isn’t working out so well for companies that profited during the coronavirus.
That’s not to say that these companies took advantage of the pandemic.
They just found niches that were in extremely high demand.
But what goes up must come down, and these stocks have a long way to fall.
They’re taking the express elevator through the floor.
So what should you do if you have these stocks in your portfolio today?
Sell, sell, sell, sell and sell again.
In fact, get out of these positions like your hair’s on fire, because your wallet is!
I don’t care how much it lost yesterday — collect your current profits and get out while you can.
Most of these stocks will fall 50%, but a lot of them will plummet 80% or more.
It’s literally raining knives in the market…
The good news, aside from a potential COVID-19 vaccine, is that even if you missed out on these stocks on the ride up, you can still jump in and profit from their fall.
In fact, in the last PVA alert that I sent to my subscribers, I showed how we bought ZM put options on Monday afternoon and by Tuesday morning — just 18 hours later — we were up 110%!
This is the fastest money we’ve made in PVA.
Listen, this trade is just getting started.
There’s still time for you to make some serious money from these stay-home stocks on their way down.
We’re looking at a potential 500-plus percent payday on this option, AND we have more lined up…
You don’t want to miss this!