Donald Trump’s Election Victory: The stock market has experienced a significant rise since Donald Trump’s election victory, fueled by expectations of tax cuts and deregulation. Some gains have been more visible, such as those in Bitcoin and Tesla stock, while other lesser-known stocks have also benefitted from the potential boost Trump’s proposals promise Trump’s Shift on Bitcoin Implications for 2024.
Following Trump’s win, major stock indices surged by around 4%, driven by optimism over lower tax rates, deregulation, and an anticipated increase in corporate mergers. Trump’s campaign promises have positively impacted a wide range of assets, from Bitcoin and the US dollar to Tesla stock. Additionally, some more obscure stocks have seen substantial gains since Election Day, driven by factors such as shifts in the media landscape and the outlook surrounding Trump’s cabinet selections.
From private prison operators to student loan companies, here are 10 lesser-known stocks that have surged since Trump’s election victory.
Fox Corporation
- Ticker: FOX/FOXA
- Market valuation: $20.3 billion
- Gain since Election Day: 8%
Fox Corporation, which owns media properties including Fox News, has benefitted from strong ratings since Trump’s election win. Fox News saw a surge in viewership post-election, while competitors CNN and MSNBC experienced sharp declines.
Fannie Mae and Freddie Mac
- Ticker: FNMA and FMCC
- Market valuation: $3.9 billion and $2.1 billion
- Gain since Election Day: 132% and 152%
The preferred shares of government-sponsored mortgage giants Fannie Mae and Freddie Mac have surged since Trump’s victory. Investors are betting that his second term could lead to the long-awaited privatization of these firms. After over a decade of government control following the 2008 financial crisis. While this effort stalled during Trump’s first term, there is hope for the so-called “recap and release” of these enterprises now.
Henry Schein
- Ticker: HSIC
- Market valuation: $9.2 billion
- Gain since Election Day: 2%
Henry Schein, a dental supply company, has only gained 2% since the election but has risen 11% since Trump nominated Robert F. Kennedy Jr. as his pick for Health and Human Services Secretary. RFK Jr. has expressed support for removing fluoride from public water supplies, which could increase dental issues like cavities, potentially benefiting Henry Schein’s business.
Sallie Mae
- Ticker: SLM
- Market valuation: $5.1 billion
- Gain since Election Day: 12%
Sallie Mae, which manages student loans, has seen its stock rise as investors anticipate the end of President Biden’s student loan forgiveness program following Trump’s inauguration. Biden’s administration forgave significant student loan debt, but legal challenges hindered widespread cancellation. ADA Could See a 650% Surge Investors expect Sallie Mae and other loan servicers to benefit from a shift in policies.
Geo Group and CoreCivic
- Ticker: GEO and CXW
- Market valuation: $3.9 billion and $2.4 billion
- Gain since Election Day: 95% and 62%
Geo Group and CoreCivic, operate private correctional and detention facilities. Have surged on the expectation that Donald Trump’s Election Victory will follow through with plans to deport millions of immigrants, creating more demand for detention services.
Cameco
- Ticker: CCJ
- Market valuation: $34.6 billion
- Gain since Election Day: 16%
Cameco, a uranium mining company, stands to benefit from increased support for nuclear power. With nuclear power gaining momentum, and Donald Trump’s Election Victory especially amid the AI boom, Cameco’s prospects have improved. Trump’s pick for Energy Secretary, Chris Wright, has voiced support for expanding nuclear power in the U.S.
Grand Canyon Education
- Ticker: LOPE
- Market valuation: $4.7 billion
- Gain since Election Day: 17%
Grand Canyon Education, a for-profit institution, has gained as investors anticipate potential changes to the Department of Education under Trump, which could ease regulatory pressures on for-profit schools. Grand Canyon Education faced scrutiny during Biden’s term, including a lawsuit for deceptive marketing practices.
Regional Bank Stocks
- Ticker: KRE ETF
- Gain since Election Day: 11%
Regional bank stocks, represented by the SPDR S&P Regional Banking ETF, have surged on expectations of financial deregulation under a second Trump term. Investors expect looser oversight and the possibility of rolling back post-2008 regulations, potentially increasing lending, dealmaking, and profitability in the sector.
Conclusion
The stock market has experienced notable gains following Donald Trump’s election win, with various sectors benefiting from the anticipation of his Donald Trump’s Election Victory policy proposals, including tax cuts, deregulation, and changes in areas such as immigration and education.
Media companies like Fox Corporation and industries tied to privatization efforts, such as Fannie Mae and Freddie. Mac, have seen significant increases. Scope Bitcoin – Secure Your Wealth with Bitcoin Other sectors, such as healthcare, regional banks, and private prison operators, are also positioned to benefit from Trump’s policies. Whether it’s through potential deregulation or shifts in government practices.
FAQs
Why have stocks like Fox Corporation and Tesla seen gains following Trump's election?
Fox Corporation has benefitted from increased viewership on Fox News, which has gained popularity since Trump's election. Tesla, as a prominent tech and automotive company, has seen strong performance on the back of broader market optimism about Trump's policies, including tax cuts and deregulation.
What is the reason behind the surge in Fannie Mae and Freddie Mac's stock prices?
Investors believe that Trump's second term could lead to the privatization of Fannie Mae and Freddie Mac after more than a decade of government control. The long-awaited "recap and release" of these mortgage giants is expected to be pushed forward under Trump's administration, causing a sharp increase in their stock prices.
What is the outlook for regional bank stocks in the event of Trump's second term?
Regional bank stocks are expected to rise in a second Trump term due to the potential for deregulation in the financial sector. The rollback of post-2008 financial regulations could create a more favorable environment for dealmaking, lending, and increased profitability within the banking sector.
How might changes in the Department of Education under Trump
If Trump revises or removes regulations affecting for-profit colleges, such as the gainful employment rule, it could benefit companies like Grand Canyon Education. These changes could reduce the compliance burdens on for-profit schools, leading to increased profitability.
