The S&P 500 has recently started recovering some of its losses after the past six weeks of brutal stock market turmoil in the wake of the COVID-19 pandemic, but the index is still down about 15% compared to where it was at the beginning of the year.
The truth is that the stock market could head lower, as predicting a bottom in these unprecedented times is even more difficult than shooting a moving target. Still, if you have got some extra cash lying around, now may be an opportune time to start investing, as many stocks are trading at much cheaper levels than they were at the beginning of the year.
In fact, you can buy shares of three top stocks combined for less than a $500 investment that might not only deliver long-term upside but also help you beat the novel coronavirus-induced slowdown. Netflix (NASDAQ:NFLX), Advanced Micro Devices (NASDAQ:AMD), and Chewy (NYSE:CHWY) are three such stocks that together are priced under $500 at the moment.
1. Netflix is benefiting from social distancing measures
The chart above clearly shows that Netflix stock has bucked the investing trend so far in 2020. Investors have bid up the streaming giant’s shares on indications that people are staying at home and adding to the company’s subscriber base.
Credit Suisse supported this theory last month. The investment bank’s analysis of app downloads revealed that Netflix app downloads in coronavirus geographic hotspots such as Hong Kong and South Korea have shot up remarkably. Downloads from Hong Kong have reportedly doubled since the beginning of the year, while South Korea has seen a 33% spike.
A substantial jump in Netflix app downloads has also been observed in other hotspots such as Italy and Spain. Another report suggests that the Netflix app was…