As the COVID-19 pandemic swept across the globe, the world plunged into a period of profound change and adaptation. In the face of strict lockdowns, social distancing measures, and an unprecedented shift to remote living, society had to swiftly evolve. The pandemic turned homes into offices, classrooms, and entertainment hubs, driving an extraordinary surge in demand for products and services designed to facilitate life at home. This shift gave rise to a parallel investment theme alongside the COVID Vaccine theme—the “Stay at Home” theme.
The Stay-at-Home theme capitalized on the dramatic increase in remote activities and home-based needs. Companies that provided essential services and products for home use saw their stock prices skyrocket as their offerings became indispensable in a new, home-centric world. Here is how some key players in this theme performed:
Amazon (AMZN): In March 2020, Amazon’s stock was priced around $1,850. By the end of 2021, it had surged to $3,300, marking an impressive 78% gain.
Chewy (CHWY): Trading at $30.00 in March 2020, Chewy’s stock soared to $95.00 by December 2021, a staggering 216% increase.
DocuSign (DOCU): With an initial price of $75.00, DocuSign’s stock skyrocketed to $250.00, reflecting a remarkable 233% gain.
Domino’s Pizza (DPZ): From $240.00 in March 2020, Domino’s stock jumped to $490.00, a 104% increase.
Fiverr (FVRR): Starting at $20.00, Fiverr’s stock surged to $150.00, a massive 650% gain.
Intuit (INTU): Priced at $270.00 in March 2020, Intuit saw its stock rise to $550.00, a 104% gain.
Netflix (NFLX): Netflix’s stock climbed from $360.00 to $585.00, a 62% increase.
Teladoc (TDOC): From $130.00, Teladoc’s stock soared to $275.00, a 112% gain.
Peloton (PTON): Trading at $30.00, Peloton’s stock skyrocketed to $160.00, a staggering 433% increase.
Roku (ROKU): Priced at $90.00, Roku’s stock climbed to $370.00, a 311% gain.
Shopify (SHOP): With a March 2020 price of $400.00, Shopify’s stock surged to $1,400.00, a 250% increase.
Zoom Video Communications (ZM): From $60.00, Zoom’s stock soared to $400.00, reflecting a 567% gain.
The remarkable growth in these stocks mirrored the surge in demand for services and products tailored for home use. Call options on these stocks also experienced phenomenal gains, reflecting the skyrocketing demand for these companies’ offerings.
For instance:
Amazon (AMZN) call options, initially priced at $10.00, soared to $250.00 by the end of 2021, an astronomical 2,400% increase.
Peloton (PTON) call options that started at $5.00 surged to $150.00, a staggering 2,900% gain.
Zoom (ZM) call options, which were trading at $8.00, exploded to $450.00, marking a jaw-dropping 5,525% increase.
The surge in call option prices demonstrated the intense investor interest and speculative fervor surrounding these high-growth stocks. As people adapted to the new reality of spending more time at home, companies in the Stay-at-Home theme became crucial to daily life, and their stock prices reflected this seismic shift.
In this period of upheaval, the “Stay-at-Home” theme illuminated a path to opportunity. What began as a forced adaptation to a global crisis became a financial boon for those who recognized the transformative potential of home-centric businesses. As society adapted to the new reality of remote living and home-based activities, those who identified the potential in the “Stay-at-Home” theme had the chance to turn a time of uncertainty into a period of extraordinary financial success. Recognizing the transformative shift to home-centric services and products allowed investors to seize unparalleled opportunities for growth, turning the challenges of the pandemic into substantial rewards. For those who saw the potential early, investing in this theme meant capitalizing on a moment when necessity drove unprecedented demand, resulting in significant gains that showcased the power of insight and adaptability in a crisis.
