3 Stocks to Buy If Trump Wins in November

Zinger Key Points
  • If Trump wins his re-election bid, it would impact these 3 stocks.

With just 40 days until Election Day, polls show that Donald Trump could well be returned to the White House in January. And that means investors should start preparing for the possibility now.

After all, in the wake of Trump's first election victory in 2016, a handful of well-positioned stocks surged as high as 87% in one day. Such lightning-fast gains show the value of positioning yourself early for an Election-Day catalyst.

Here are three stocks investors should consider to play a possible Trump victory in November.

Trump Hedge #1: Trump Media & Technology Group (DJT)

The Trump Media & Technology Group, which owns Donald Trump's boutique social media company Truth Social, has shown a tendency to rise and fall with Trump's political fortunes.

For instance, in the wake of boosted poll numbers following the attempt on Trump's life in July, DJT shares surged 50% in one day. And Trump's return to the White House would make his social media company more relevant than ever.

DJT shares trade at just under $14.share as we write. The company has a market capitalization of $2.8 billion.

Trump Hedge No. 2: Peabody Energy Corporation (BTU).

Peabody Energy Corporation (BTU) is a coal company that surged over 50% on November 9, 2016, the day after Trump surprised many by capturing the White House.

The coal giant's shares are up modestly for 2024 so far—but this stock could see immense short-term upside from a Trump victory again, as the former President vows to rejuvenate America's coal industry.

 BTU grew earnings by 11.3% last quarter on a year-over-year basis, while generating $4.34 billion in revenue. The company pays a 1.2% dividend yield.

Trump Hedge No. 3: Lockheed Martin Corp. (LMT)

President Trump has called for a surge in military spending after slamming the chaotic withdrawal from Afghanistan, and also grew America's military spending while in office by tens of billions of dollars.

That means his return would be good news for Lockheed Martin Corp. (LMT).

The defense contractor's executives have personal relationships with Donald Trump and his family, with Ivanka Trump headlining events touting job creation at LMT's factories in key battleground states. Donald Trump even personally intervened to convince the company to keep open its helicopter plant in Pennsylvania.

LMT was able to grow its dividend every year during Trump's presidency while scoring government contracts worth billions of dollars. More recently, it's grown revenues by 8.6%–but that could change in a hurry when Trump regains the White House.

In the meantime, Lockheed Martin continues to surprise analysts on the upside. Its earnings have beaten analysts' expectations for each of the last four quarters, causing at least one analyst to ramp up their forecast for the stock.

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