Investors have experienced years’ worth of volatility in the past nine months. First, we witnessed the fastest descent into bear-market territory in history as the coronavirus pandemic took hold in March. Then, the market vaulted higher, even reaching brand-new highs in August. But in September, stocks slowed down some, and the S&P 500 dropped by about 4.6%.
Volatility is, of course, part of the investment cycle, and so are bear markets. That means another market crash will happen; it’s just a matter of when. Maybe a second (or third) wave of COVID-19 will be the catalyst; maybe it will be something else entirely. No matter when or why it happens, here are two stocks that will survive the next market crash and continue climbing long after: Guardant Health (NASDAQ: GH) and Abbott Laboratories (NYSE: ABT).
Let’s look closer into why putting $1,000 of your hard-earned cash into either (or both) healthcare stocks would be a great move.
GH data by YCharts
Guardant Health: The future of cancer diagnostics
Guardant Health develops liquid biopsies — tests that allow physicians to look for cancer cells from tumors in blood samples. Why is this method a big deal? One of the main alternative techniques, tissue biopsy, requires direct physical access to the tumor inside a patient’s body. This competing procedure is riskier, more time-consuming (resulting in a delay in treatment), and more expensive. Liquid biopsies can help detect cancer sooner, improve health outcomes, and reduce costs.
Guardant Health generates the bulk of its revenue from Guardant360 and GuardantOMNI, two liquid biopsy products it offers to oncologists and other professionals. The company continues to expand its sales of these products. During the second quarter that ended June 30, its total revenue increased by 23% to $66.3 million. Guardant Health’s precision oncology testing revenue