3 Networking Stocks That Are Helping the World Telecommute
March 23, 2020
This article was written by Chris Markoch and published by InvestorPlace on Thursday, March. 18, 2020. Read the original article.
If you woke up on Monday to a different work routine, you’re not alone. Tens of millions of workers are now isolated from their colleagues, not by choice, but by order. Investors are looking for some bright spots in what has become a bear market. That makes it worth your time to look at some of the networking stocks that make working from home a reality.
The permanent impact of the coronavirus on global business will be studied for years. But in the here and now, the national effort towards social distancing is displacing many workers from their offices.
However, telecommuting is not a recent phenomenon. The dot-com boom of the late 1990s brought about a convergence of hardware and software. This convergence made remote work possible. And in some cases, it can be a seamless alternative to being in the office.
Telecommuting gained even more appeal after the events of Sept. 11, 2001. More and more companies started to redefine “essential” business travel. And as recently as March 17, Treasury Secretary Steven Mnuchin announced that the impact on airlines due to this virus is worse than what the industry experienced on 9/11. While Secretary Mnuchin is referring to the present economic impact, he might be more prescient than he even knows.
That said, here are three networking stocks that you should consider for your portfolio.
Networking Stocks to Buy: Cisco (CSCO)
If productivity stocks are the fuel for remote work, traditional networking stocks like Cisco (NASDAQ:CSCO) are the engine. Cisco is one of the leading manufacturers of VPNs (virtual private networks). In fact, Mark Rounds — instructor of management information systems at the University of Idaho — said in an email to InvestorPlace, “… in my opinion, we will see a long-term trend towards using VPNs to work from home.”
However, as Rounds points out, for these networks to operate effectively a company has to have the proper work-from-home infrastructure. That’s where Cisco comes in.
“Coronavirus may expose the underlying weaknesses of the existing telecommuting infrastructure on both the corporate and public side. Companies supplying the hardware that will be used to build a more robust infrastructure will increase in value and the prices of their products will be driven higher. Look at companies providing routers, switches, cabling (especially fiberoptic) and the like.” Read the full article.
About the University of Idaho
The University of Idaho, home of the Vandals, is Idaho’s land-grant, national research university. From its residential campus in Moscow, U of I serves the state of Idaho through educational centers in Boise, Coeur d’Alene and Idaho Falls, nine research and Extension centers, plus Extension offices in 42 counties. Home to nearly 11,000 students statewide, U of I is a leader in student-centered learning and excels at interdisciplinary research, service to businesses and communities, and in advancing diversity, citizenship and global outreach. U of I competes in the Big Sky and Western Athletic conferences. Learn more at uidaho.edu