5 lucrative stocks to buy in October 2020
The stock market might seem risky right now because of pandemic volatility and turbulence of the upcoming election. In reality, that volatility is what could net you greater profits.
Therefore, October 2020 is a great time to buy stock. But which stocks should you buy?
The short answer is any stock that will rise significantly over the coming months. The long answer involves figuring out which stocks those winners will be.
The first thing to consider is the time of year. Stocks like Campbell Soup (CPB) are poised to pick up in October, November, and December as the season heads into winter. Not only are people going to eat more soup then because it's cold, but more people may be ill this winter with flu or COVID-19.
Campbell's soup is a well-known brand, and people have been eating things like Chicken and Stars since childhood. That nostalgia and familiarity makes it more likely that a large number of people will be buying Campbell's soup this fall and winter. It's an excellent stock to grab now.
October is also the beginning of a string of holidays, the first of which is Halloween. The uptick in candy purchases is always seen during the holidays, which is why stocks like Hershey (HSY) could net you good profits.
It's true that the holidays may look a bit different in 2020, but the sales in chocolate and goodies are still likely to soar. It's part of tradition, and that's hard to break.
In the way of ETFs, European stocks are ripe for purchase right now. Vanguard's FTSE Europe Index (VGK) is a great example. Europe has suffered financial losses lately as well as a resurgence of the COVID-19 virus. Together, these factors have toppled stock prices, making it an excellent time to buy low.
VGK is nearly 16% under the price it was at in January 2020, setting you up for a considerable gain before summer 2021.
A titan stock, Amazon (AMZN) will continue to trek higher in 2020. Remote holidays will send this online shopping destination into overdrive through December.
The stock dipped a bit in late September, making it a great option to pick up before the holidays. However, this is a pricey stock, so it's not for the faint of heart.
An ETF with the best return, Vanguard Total Stock Market Index (VTI) is perhaps the single best invest you can make in the month of October.
Not only is it affordable, around $166 per share, but it's poised to make a come back into late 2020.