SKT - 2 Cheap Stocks to Buy Before the COVID-19 Vaccine
At the risk of sounding too optimistic, it is highly likely that humans will find a way to deal with COVID-19. There are, however, certain sectors of the economy, like retail-focused real estate investment trusts (REITs), that are taking it on the chin right now because of the pandemic. But if you pick financially strong businesses that can muddle through until science provides the world with an effective vaccine, you might find that you've picked up some great stocks on the cheap.
Here are two stocks to consider right now, before there's a COVID-19 vaccine.
After decades of annual dividend increases through good markets and bad, Tanger Factory Outlet Center (NYSE: SKT) suspended its dividend in early 2020. Although it was in strong financial shape, it also tapped virtually all of its outstanding credit line to ensure it had the liquidity it needed to get through the hit management expected from COVID-19. Sensing just how bad things could get, the real estate investment trust even went so far as to offer all its tenants rent deferrals so they could better manage the economic shutdowns implemented to slow the spread of the pandemic.