As the coronavirus pandemic ravages global financial markets and many businesses, there are some sectors and companies that have actually advanced during the crisis.
Supermarkets and office stores are two examples that have received a boost from panic-buying consumers and workers looking to set up home offices.
Here are 2 other ASX shares that have managed to blossom in the coronavirus crisis.
Marley Spoon AG (ASX: MMM)
Marley Spoon is a subscription-based meal-kit provider that delivers fresh ingredients to customers, allowing them to produce easy meals at home. The company currently operates in three primary regions: Australia, the United States and Europe.
Marley Spoon recently provided an update to the market, informing investors that the company has seen an unprecedented surge in demand for its delivered meal kits due to the coronavirus pandemic.
In order to keep up with demand, Marley Spoon intends to scale up its operations and expand its global workforce. The company also assured investors that its food supply chain has been resilient despite travel restrictions.
The Marley Spoon share price has surged more than 180% in the past 2 weeks as a result of the heightened demand. According to the company, revenue for the first quarter of 2020 is expected to grow more than 40%, with only the last 2 weeks of March showing the benefits of the recent surge in demand. Marley Spoon expects its second-quarter results to also be impacted by the increased demand.
3P Learning Ltd (ASX: 3PL)
3P Learning is an online education platform with resources designed for schools and families. The company's resources cover subjects such as mathematics, spelling, literacy and science. 3P Learning is currently used by more than 5 million students in over 17,000 schools around the world.
With the potential of nationwide school closures looming and many schoolchildren already staying at home, online learning platforms could become more popular as an auxiliary service to traditional teaching. According to the company's management, 3P Learning has expanded its staff by 10% in the past week, released 10,000 new activities and is running webinars daily.
The 3P Learning share price has bounced more than 30% in the past 2 weeks as investors flock to companies offering online services. Although it may not replace traditional teaching methods, the resources offered by 3P Learning could see extended demand in 2020 and beyond.
Should you buy?
Although COVID-19 has wreaked havoc on most traditional businesses, it does provide investors with an idea of what life might be like following the pandemic. From this, investors can think of other auxiliary products and services that could prosper under the pandemic and beyond.
