Shares of Zoom Media Video (NASDAQ: ZM), square (NYSE: SQ)and DocuSign (NASDAQ: DOCU) rose 7.1%, 8.1%, and 12.8% on Wednesday, as investors began weighing the results of the US election.
With Democrat Joe Biden increasingly more likely to become the new president of the United States, investors are likely to believe in the ability to offer more stricter and out of society guidelines. . This could bode well for Zoom and DocuSign, as the video media platform and digital signature leader will continue to have explosive demand for their services in such a scenario.
Investors may also be pricing on the possibility of a larger stimulus package under President Biden. Much of this stimulus money will likely go to small businesses and consumers, which comprise the majority of Square’s customers and end users.
So what now
While Biden’s victory will likely benefit Zoom, Square, and DocuSign, all three of these growth stocks perform very well with President Trump in office, so they don’t depend on any. any specific political results. This helps to minimize risks for investors.
Furthermore, Zoom, Square and DocuSign are all poised to profit from strong long-term trends – such as telework and e-commerce – that will help drive their growth for years to come.