3 Smart Stock Choices for a Potential Trump Second-Term


  • These stocks are directly or indirectly linked to Donald Trump and could appreciate in value if he is re-elected.
  • Exxon Mobil (XOM): Republican presidents, including Trump, have generally favored oil and fossil fuel companies.
  • Digital World Acquisition Corp (DWAC): The planned merger with Trump’s media business is a major draw card.
  • Black Rifle Coffee Company (BRCC): This is a veteran coffee business that’s been praised by the Trump family in the past.
Trump Stocks - 3 Smart Stock Choices for a Potential Trump Second-Term

Source: Joseph Sohm / Shutterstock.com

Investors should keep their eyes on a few ‘Trump stocks’ if the former president makes it to the second term. These companies have close direct and indirect ties to Trump. So, this makes them potentially influential in a market shaped by his policies and decisions. Notably, these stocks might not just react to Trump’s potential election victory. They could also see changes in anticipation of such an event.

I’m bullish on these Trump stocks as the market seems to be anticipating a shift in the political landscape that could favor these companies. The anticipation of a Trump second term has the potential to catalyze certain sectors and companies. This is especially true for those with direct or indirect ties to his policies and priorities.

So let’s delve into the best ‘Trump stocks’ for investors to consider.

Exxon Mobil (XOM)

Exxon Retail Gas Location
Source: Jonathan Weiss / Shutterstock.com

Under a Republican administration, particularly one led by Trump, there’s a tendency to favor traditional energy sources like oil and coal. Therefore, a key company like Exxon Mobil (NYSE:XOM) could stand to benefit from a second-term Trump presidency.

These sentiments were echoed by other Republican candidates at least year’s Republican presidential debate. The echo of ‘Drill, frack, burn coal’ could be heard from almost all of the candidates. These words underscore Trump’s energy policy approach, emphasizing the increase in domestic oil and gas production. It’s also a clear shift away from clean energy initiatives.

Despite XOM’s clean energy commitments and its expressed plans and desires to reduce emissions, it remains one of the foremost oil majors in the U.S. Therefore, the giant could benefit from another term of Trump in office.

Digital World Acquisition Corp (DWAC)

Truth Social (DWAC) app logo seen on the smartphone and blurred TMTG logo on the laptop.
Source: mundissima / Shutterstock

Digital World Acquisition Corp (NASDAQ:DWAC): This special purpose acquisition company (SPAC) is noteworthy due to its planned merger with Trump Media & Technology Group. The latter is a social media and media company owned by Donald Trump.

The merger is expected to be complete by the end of March. Further, it has faced hurdles from the SEC amid investigations and insider trading charges. DWAC stock has already shown signs of explosive share price appreciation in the run-up to the election, with it increasing 117.48% over the past month alone. It appears that it still has gas left in the tank to surge higher.

The bull case for DWAC is that Trump Media, which includes the Truth Social platform, has the potential to gain significant ground if Trump becomes president again. He’s likely to use his social media platforms to spread his message wide and far. And this attracts a huge number of clicks and views from citizens in the U.S. and people abroad.

Black Rifle Coffee Company (BRCC)

Exterior of Black Rifle Coffee Company Store. BRCC stock.
Source: YuniqueB / Shutterstock

Black Rifle Coffee Company (NYSE:BRCC) has often been linked to the conservative party. The company has received positive mentions from several prominent Republican voices, including Donald Trump Jr.

As BRCC stock is a veteran-founded coffee company, it also aligns well with the Republican ethos and demographics. BRCC could court substantial media attention from the Trump family in the future.

BRCC stock may also be trading in undervalued territory. Namely, its stock price is down 42.29% over the past year. So, a Trump win this year could send its share surging, especially if it manages to catch the Trump family’s attention as it has done in the past.

Trading at just 2.22 times sales, BRCC is in a good position to go parabolic if history repeats itself.

On the date of publication, Matthew Farley did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Matthew started writing coverage of the financial markets during the crypto boom of 2017 and was also a team member of several fintech startups. He then started writing about Australian and U.S. equities for various publications. His work has appeared in MarketBeat, FXStreet, Cryptoslate, Seeking Alpha, and the New Scientist magazine, among others.

Article printed from InvestorPlace Media, https://investorplace.com/2024/02/3-smart-stock-choices-for-a-potential-trump-second-term/.

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