The Impact of COVID-19 on Medical-related American Stocks
These authors contributed equally.
- DOI
- 10.2991/aebmr.k.220307.334How to use a DOI?
- Keywords
- COVID-19; Healthcare; US stock market; Medical Equipment; Drugs
- Abstract
Since the outbreak of COVID-19 in 2020, there has been a very serious impact on the global economy. In this paper, the period from May 2019 to February 2020 was selected as the pre-epidemic, and the period from March to December 2020 was selected as the mid-epidemic. The stocks of the US healthcare sector are analyzed in these two time periods, respectively. Fama-French five-factor model is used to analyze the risks and returns of investing in the Health, Drugs, and Medical Equipment sectors. Based on the data obtained from multiple linear regressions, it was concluded that all healthcare-related sectors were affected by the epidemic to varying degrees. Some of the significant factors became insignificant in both the healthcare and medical equipment sectors. At the same time, smaller companies in the drugs industry were also affected to a greater extent than larger ones, and the vulnerability reflected in the pandemic also gave a significant impetus to the overall medical-related industries.
- Copyright
- © 2022 The Authors. Published by Atlantis Press International B.V.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Tongke Wei AU - Yuheng Wu AU - Xiaoyu Yang PY - 2022 DA - 2022/03/26 TI - The Impact of COVID-19 on Medical-related American Stocks BT - Proceedings of the 2022 7th International Conference on Financial Innovation and Economic Development (ICFIED 2022) PB - Atlantis Press SP - 2035 EP - 2040 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.220307.334 DO - 10.2991/aebmr.k.220307.334 ID - Wei2022 ER -