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The Trump Effect On Markets - Which Stocks Benefit?
Trump is President! Today’s topics:
The Trump Effect
Trump Is Now President: Top 5 Stocks To Buy
Something Fun
Let’s do this!
The Key Story
Trump Is Now President: Top 5 Stocks To Buy
The “Trump Effect” and 5 Stocks to Watch
It’s official: Donald Trump has been sworn in as the 47th President of the United States. Financial markets are showing what many call the “Trump effect.” The S&P 500 jumped nearly 5% following his election victory, Tesla soared by around 40% in a week (now up over 70%), and Bitcoin rocketed 50%, crossing $100,000 for the first time.
Meanwhile, a “Trump meme coin” with zero intrinsic value briefly reached a staggering $10 billion market cap.
While that highlights a certain mania, real businesses—those with actual earnings and dividend payments—remain the backbone of the stock market. A presidency can create tailwinds through tax policy, deregulation, or tariffs, but fundamentals still matter.
Below are five stocks potentially well-positioned under a second Trump term:
Tesla (TSLA)
Despite a big run-up, Tesla’s future gains could come from policy shifts favoring domestic manufacturing and possible federal approval of self-driving cars. Lower EV credits might actually favor Tesla over less profitable competitors.Alphabet (GOOGL)
This tech giant faces U.S. antitrust suits. A friendlier administration could ease breakup threats, letting Google focus on growing AI-powered advertising, YouTube, and its brand-new dividend strategy.Meta Platforms (META)
Also riding an AI wave, Meta’s strong position with Facebook and Instagram could flourish with fewer regulatory hurdles. Founder-led and high-growth, it benefits if Washington stays hands-off.Midstream Energy Stocks (e.g., MPLX)
Rather than oil producers tied directly to commodity prices, pipeline and distribution companies can profit from increased domestic drilling. MPLX, for instance, offers both high yield (around 7.5%) and dividend growth.Snap-on (SNA)
A top-tier industrial toolmaker, Snap-on could gain from tariffs on foreign products and lower corporate taxes. It boasts steady earnings growth, solid free cash flow, and a high-growth dividend (around 2.5% yield).
Despite the possible boosts from Trump-era policies, remember that a solid company is solid regardless of who’s in the White House. Chasing speculative plays or “meme coins” can be risky. If you’re researching dividend stocks or tracking your portfolio, check out DividendData.com—we’re offering a 7-day free trial for a limited time.
Stay rational, do your homework, and invest in genuine value. That way, political changes serve as a tailwind, not your entire thesis. Keep learning, keep growing, and here’s to making the most of the next four years!
Invest in American Energy…
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Something Fun…
While signing executive orders, President Trump discovered the letter left to him by former President Biden.
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Disclaimer: Dividend Dividend (Dividend Data LLC) is not a professional financial service. All materials released from Dividend Data (Dividend Data LLC) are for educational and entertainment purposes. Dividend Data (Dividend Data LLC) is not a replacement for a professional's opinion. Contributors to the Dividend Data (Dividend Data LLC) might have equities mentioned in the newsletter