Trump vs. Biden: 2020 election outcome may impact these stocks the most

Financials, health care and green energy are in play as Trump-Biden hit the debate stage

As President Trump and former Vice President Joe Biden prepare for the first of three debates, Wall Street strategists are already handicapping potential portfolios of sectors and stocks that would perform well under each administration.

The team at Wells Fargo, using propriety data from Bloomberg, laid out a detailed synopsis of how to make money around each candidate based on some of their policies for corporate America.

Ticker Security Last Change Change %
SP500 S&P 500 4247.44 +8.26 +0.19%

As for the broader market, the firm remains bullish regardless of who wins, but labels a Trump as having a "higher-beta" and would reduce uncertainty and would stave off Democrats’ less business-friendly policies. While a Biden win is "lower beta."

FOX Business highlights some of the forecasted outcomes.

Trump 

Financials 

Goldman Sachs and PNC Financial are among the companies in the financial sector poised to benefit as "M&A activity heats up; lower regulatory overhang; improving overall economy..."

Ticker Security Last Change Change %
GS THE GOLDMAN SACHS GROUP, INC. 378.05 +4.11 +1.10%
PNC PNC FINL SVC 189.20 +0.45 +0.24%
XLF FINANCIAL SELECT SECTOR SPDR ETF 37.56 +0.24 +0.64%

Defense and Industrials 

Boeing and Lockheed Martin can be winners with an "improving defense budget outlook" while Caterpillar and Deere can win from higher "agriculture spending."

Ticker Security Last Change Change %
BA THE BOEING CO. 247.28 -1.06 -0.43%
LMT LOCKHEED MARTIN CORP. 387.72 0.00 0.00%
CAT CATERPILLAR, INC. 220.70 -5.03 -2.23%
DE DEERE & CO. 341.57 +0.13 +0.04%

TRUMP’S ‘SECRET VOTERS’ MAY GIVE HIM AN EDGE: ANALYSTS

Consumer Spending   

As the overall economy emerges from the crush of COVID-19, and more Americans get back to work, consumer spending should tick higher, helping credit card companies Mastercard and Visa, the firm notes.

Ticker Security Last Change Change %
MA MASTERCARD, INC. 365.50 +1.20 +0.33%
V VISA, INC. 234.96 +1.01 +0.43%

Biden  

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Big Tech  

Ticker Security Last Change Change %
FB FACEBOOK, INC. 331.26 -1.20 -0.36%
GOOGL ALPHABET, INC. 2,430.20 -4.93 -0.20%
NFLX NETFLIX, INC. 488.77 +1.50 +0.31%

As Trump aims to crack down on select Big Tech companies for curtailing conservative views, Biden may take a lighter approach, which is why Facebook and Google may perform well under his administration and may be "generally friendlier with Democrats." Also on the list is streaming giant Netflix.

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Health Care 

Both Trump and Biden are promising changes to health care to make it more affordable for all Americans, however, a Biden win may shift the system back to Obamacare principles giving insurance giants Anthem, UnitedHealth and Humana a shot in the arm.

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Ticker Security Last Change Change %
ANTM ANTHEM INC 383.87 -0.56 -0.15%
UNH UNITEDHEALTH GROUP, INC. 397.89 -3.60 -0.90%
HUM HUMANA 419.18 -1.78 -0.42%
CNC CENTENE 70.81 -0.21 -0.30%

Green Energy 

Biden has rolled out his plan for a "Clean Energy Revolution," which could benefit a number of players in the space including Nextera, a utility that harnesses wind and sun power as well as Avangrind, an electric, natural gas, and renewable energy play.

Ticker Security Last Change Change %
NEE NEXTERA ENERGY, INC. 73.49 -0.02 -0.03%
AGR AVANGRID INC 54.99 -0.02 -0.04%

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The first of three presidential debates will air on Fox News Channel and will be moderated by Chris Wallace.