After shaking off its coronavirus pandemic blues, the U.S. witnessed a solid recovery in the first quarter of 2021, fueled by rapid vaccinations, fiscal stimulus, and steady monetary policy support. The global economy has also registered a decent recovery. So, we think investors seeking to gain irrespective of market anxieties could bet on Covestro (COVTY), Foot Locker (NYSE:FL), and Gates Industrial (NYSE:GTES). We believe these names possess attractive growth and momentum features. Read on. While the COVID-19 pandemic affected the U.S. economy severely last year, it experienced a V-shaped recovery this year. Thanks to several rounds of fiscal stimulus, an ultra-low interest rate environment and easing public health anxiety with the roll out of COVID-19 vaccines, the economy now appears to be on solid footing.
This, along with a decent global economic recovery, has helped the stock market bounce back from its bottom in 2020 to hit all-time highs. This is evident in the Dow Jones Industrial Average (DJI), S&P 500, and Nasdaq Composite’s gains of 79.8%, 84.6% and 106.3%, respectively, from their lows in March 2020.
As the global economy has been recovering from the damage caused by the pandemic, companies with strong balance sheets have been returning to their pre-pandemic performance levels this quarter. In fact, shares of Covestro AG (COVTY), Foot Locker, Inc. (FL), and Gates Industrial Corporation plc (GTES) have been witnessing strong growth and momentum, which they have the potential to maintain. These stocks can be fairly described as no-brainer stocks now given their solid fundamentals. So, we think it could be wise to bet on these stocks now.