Billionaire and outspoken crypto critic Mark Cuban says that one tech stock is poised to reap the benefits of the coronavirus pandemic.
Ever since local governments in the US issued shelter-in-place orders in March, Amazon shares have climbed 29% year-to-date compared to the S&P 500′s 17% loss, as quarantined Americans rely on the e-commerce behemoth to deliver food and other household items.
In a new interview on CNBC’s Fast Money, Cuban says he thinks the tech stock will continue to rise as demand for its services skyrockets.
“I think it goes up, up, up, up, up.
People who weren’t comfortable dealing with Amazon for consumables, for food, for produce even, I think they’ve gotten to that habit now… I think Amazon just takes off. The stock is only going to go up.”
According to the Dallas Mavericks owner and Shark Tank investor, an enduring behavioral shift in favor of Amazon has already taken place. Even after the economy reopens, Cuban says demand for Amazon’s services will likely remain high as consumers prioritize their health and safety.
“The greatest fear factor is going to be going back [for] small to medium-sized businesses because they don’t know what protocols they have in place to keep them as consumers safe.”
As for Bitcoin (BTC), Cuban remains skeptical about the technology, stating in a recent interview that cryptocurrency needs to become far more user friendly to reach Main Street and everyday consumers.