While much of the world was still dealing with the coronavirus pandemic, Chinese shoppers strolled through stores in the Sanlitun area of Beijing, China, on June 6, 2020.
Costfoto | Barcroft Media | Getty Images
Just-in quarterly earnings reveal how China strategies can pay off for some companies — an investment idea Goldman Sachs analysts are betting on.
In portfolio strategy research published May 6, the analysts laid out stocks that generate about a fifth or more of their sales in China. The country’s relatively early struggle with the coronavirus pandemic versus other major countries means hundreds of millions of locals are now ready to spend more.
As the five-day Labor Day holiday this month shows, Chinese stuck within national borders didn’t hold back on travel as Trip.com says bookings more than tripled from a year ago.
Goldman’s selection focuses on European brands, which avoid the potential overhang from Beijing’s tensions with the U.S.
Here are some of the analysts’ top picks, broken down by industry category: