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Is Marinus Stock Still Worth Buying After Its 50% Rally? This Analyst Says Yes

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Oppenheimer: 3 Stocks That Could Surge Over 100% From Current Levels

So far, September has been a wild ride of ups and downs. Following the recent bout of volatility, stocks have ticked higher again. But as uncertainty regarding another rescue program and the presidential election continues to linger, where does the market go from here? Weighing in for Oppenheimer, Chief Investment Strategist John Stoltzfus argues that any market dips appear “relatively contained and orderly,” and present longer-term investors the chance to find “babies that got thrown out with the bathwater.” He noted, “For nervous investors the recent downdraft has presented opportunity to take some profits without FOMO (fear of missing out).”As for the tech heavyweights that powered the market’s five-month charge forward, the strategist believes “current expectations that technology stocks will remain under pressure for some time seem exaggerated.” Stoltzfus adds that the “core of technology stocks did not appear terribly rich in price considering that developments in technology and innovation have yet to show signs of plateauing in the current cycle.”Taking Stoltzfus’ outlook into consideration, our focus turned to stocks that Oppenheimer analysts are bullish on. The firm’s pros see triple-digit upside potential in store for three tickers in particular. Running the names through TipRanks’ database, we wanted to find out what makes each so compelling.MediWound Ltd. (MDWD)Developing cutting-edge products, MediWound wants to address unmet needs in the fields of severe burn and chronic wound management. With an important government contract secured, Oppenheimer has high hopes for this name.Back in January, MDWD announced that the U.S. Biomedical Advanced Research and Development Authority (BARDA) had entered into a contract to procure $16.5 million of NexoBrid, its drug designed to remove eschar in adults with deep partial and full-thickness thermal burns (a process called debridement), for an emergency stockpile. According to management, the first delivery is set for Q3 2020.On top of this, the company filed the NexoBrid Biologics License Application (BLA) with the FDA for eschar removal in adults with deep partial-thickness and full-thickness thermal burns in June. MDWD’s U.S. commercial partner, Vericel, is preparing for an immediate launch upon approval.Representing Oppenheimer, 5-star analyst Kevin DeGeeter points out that “Given the filing involved participation from three parties—MDWD, U.S. commercial partner Vericel and funding partners at BARDA—and was completed against the backdrop of public sector work-from-home mandates, we view meeting stated timelines as a material milestone and derisking event for MDWD shares… we believe NexoBrid is on track for 1H21 launch.”Should the therapy ultimately be approved, MDWD is entitled to a $7.5 million milestone payment from Vericel. “We believe the combination of existing cash and the $7.5 million milestone payment from VCEL upon NexoBrid approval should fund operations at least into 2H23,” DeGeeter added.DeGeeter also points out that MDWD plans to open 25-30 sites in U.S. and Israel to support the Phase 2 study of EscharEx, its product for chronic wounds. Although COVID-19 resulted in a delay, the analyst thinks “the current timeline of 1H21 is achievable.”To this end, DeGeeter rates MDWD an Outperform along with a $7 price target. Should his thesis play out, a potential twelve-month gain of 117% could be in the cards. (To watch DeGeeter’s track record, click here)All in all, other analysts echo DeGeeter’s sentiment. 4 Buys and no Holds or Sells add up to a Strong Buy consensus rating. With an average price target of $6.63, the upside potential comes in at 106%. (See MDWD stock analysis on TipRanks)UroGen Pharma (URGN)Primarily focused on uro-oncology, UroGen Pharma develops advanced non-surgical treatments to improve the lives of patients. As the launch of one of its products is progressing well, Oppenheimer thinks that now is the time to get on board.Writing for the firm, analyst Leland Gershell points to UGN-101 as a key component of his bullish thesis. UGN-101, which has now been formally launched in the U.S. under the commercial name Jelmyto, was designed as a treatment for low-grade upper tract urothelial carcinoma (LG UTUC). The analyst highlights that Jelmyto’s launch is already off to a solid start, as eight patients had received 20 doses of the drug in June.“Jelmyto sales were $371,000 in its first month of launch, but more important was management’s commentary that over 100 urology practice sites are treatment-ready for the product, and that patient demand has not been visibly impacted by COVID-19,” Gershell explained.Adding to the good news, permanent C- and J-codes, which are expected in October and January 2021, respectively, could bolster sales, in Gershell’s opinion. The label could also be updated to reflect completed OLYMPUS data.It should be noted that patient and physician engagement could remain diminished through YE20, and restrictions around elective surgeries could persist, according to Gershell. That said, he argues that “LG UTUC’s lack of surgical urgency could imply treatment deferral for several months, whereas Jelmyto’s ability to be administered in an outpatient setting could expedite treatment, favoring adoption.”If that wasn’t enough, UGN-102, its mitomycin gel that targets low-grade intermediate risk non-muscle invasive bladder cancer (LG IR-NMIBC), is set to enter pivotal testing before the end of 2020. Looking at previously released data, the therapy achieved a 65% complete response (CR) rate at three months following onset of treatment. “To offset any potential COVID-19 impact on enrollment, URGN has increased the number of clinical trial sites outside of the U.S., in those countries where virus-related clinical delays have not cropped up,”Gershell added.Summing it all up, Gershell commented, “We believe shares trade at a discount to the value of Jelmyto and UGN-102, and that revenue growth will support stock upside over the next 12 months.”To this end, Gershell stands with the bulls, reiterating an Outperform rating. At $48, his price target brings the upside potential to 123%. (To watch Gershell’s track record, click here)What does the rest of the Street have to say? 3 Buy ratings and 1 Hold have been issued in the last three months. As a result, URGN receives a Strong Buy consensus rating. In addition, the $44 average price target suggests 104% upside potential. (See URGN stock analysis on TipRanks)Ayala Pharmaceuticals Inc. (AYLA)Last but not least we have Ayala Pharmaceuticals, which is focused on developing targeted therapies for cancers in which Notch activation is a known tumor driver. Based on the progress across its development pipeline, Oppenheimer sees big gains in store.Oppenheimer analyst Jay Olson thinks AYLA’s technology makes it a stand-out. Its two candidates, AL101 and AL102, which are in-licensed from Bristol Myers, are gamma-secretase inhibitors that target aberrant activation of Notch signaling in cancer cells.Notch signaling plays an important role in normal cell development, and perturbations can cause malignant transformation. “We believe Notch targeted therapies hold promise in addressing unmet clinical needs,” Olson commented.The analyst added, “The Notch mutational landscape is diverse, and the underlying science is evolving. AYLA is building a bioinformatics database around Notch to better characterize and identify Notch-activating mutations. Additionally, AYLA is collaborating with partners developing diagnostic tests for Notch-activating mutations, both at DNA and RNA levels. We believe these initiatives benefit AYLA in the long term by identifying responders and expanding the addressable patient population.”Despite the challenges presented by COVID-19, critical catalysts remain on track. The company is set to present new interim data from the Phase 2 ACCURACY open-label study of AL101 in R/M ACC at the mini oral head and neck cancer section of ESMO. Looking at the available data, a recent interim analysis in one cohort showed 69% DCR.As for the second cohort, it is evaluating a 6mg once-weekly dosing of AL101. “We view the efficacy and safety data from the 6mg dosing cohort as important for the registration-enabling studies, and we anticipate similar interim data readout in 1H21,” Olson said.Adding to the good news, AYLA is on track to kick off patient dosing in the Phase 2 TENACITY study of AL101 in R/M TNBC by YE20 after the IND was cleared by the FDA in April. In 2021, AYLA plans to initiate two additional Phase 2 studies including AL102 for desmoid tumors and AL101 for r/r T-ALL.“Springworks Therapeutics recently announced the completion of patient enrollment of the Phase 3 DeFi trial of nirogacestat in desmoid tumors with topline data expected mid-2021, which should provide read-across to AYLA’s AL102 program,” Olson noted.Given all of the above, Olson opined, “We’re encouraged by AYLA’s advantages along several dimensions, including its drug candidates, cancer indication selection, and focus on identifying Notch-activating mutations while developing diagnostics. AYLA’s Notch targeted approach should address unmet clinical needs for patients with rare but aggressive cancers.”It should come as no surprise, then, that Olson stayed with the bulls. To this end, he kept an Outperform rating and $23 price target on the stock, implying 123% upside potential. (To watch Olson’s track record, click here)Looking at the consensus breakdown, 2 Buys and 1 Hold have been published in the last three months. Therefore, AYLA gets a Moderate Buy consensus rating. Based on the $19.83 average price target, shares could climb 92% higher in the next year. (See AYLA stock analysis on TipRanks)To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

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Christine founded Sports Grind Entertainment with an aim to bring relevant and unaltered Sports news to the general public with a specific view point for each story catered by the team. She is a proficient journalist who holds a reputable portfolio with proficiency in content analysis and research.

Christine founded Sports Grind Entertainment with an aim to bring relevant and unaltered Sports news to the general public with a specific view point for each story catered by the team. She is a proficient journalist who holds a reputable portfolio with proficiency in content analysis and research.

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The Allied Motion Technologies (NASDAQ:AMOT) Share Price Has Gained 108%, So Why Not Pay It Some Attention?

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7 Sin Stocks To Buy That Will Outperform the S&P 500

While the S&P 500 and a wide range of stocks continue their September slide, many investors are understandably jittery, wondering if a second market crash is coming this year. In response, they’re searching for industries that can offer more stability, but also growth and income over the coming quarters. One such group are the so-called “sin stocks,” which benefit when humans indulge in vices.Although there may be different definitions of sin stocks, these businesses include those in alcohol, tobacco, cannabis, gambling, adult entertainment, weapons and defense industries. What is viewed as a sin stock today may also change over time.Recent research by David Blitzo of Robeco Asset Management in Rotterdam, the Netherlands, and Frank J. Fabozzi of EDHEC Business School in Nice, France, highlights how “various studies … [of] the historical performance of sin stocks … [show] they have delivered significantly positive abnormal returns.”InvestorPlace – Stock Market News, Stock Advice & Trading TipsThat is to say, sin stocks outperform the broader market time and again, and that isn’t based on one study; it’s based on many studies, by different researchers at different times.Sales figures from companies back up the anecdotal evidence that even in economically difficult periods, tobacco and alcohol consumption remain fairly stable. In fact, during the early weeks of the pandemic, alcohol sales in the U.S. increased by 27%. * 7 Hot Stocks to Buy on Robinhood Now Therefore, for investors whose convictions allow them to invest in these firms, such stocks can provide meaningful diversification during volatile market periods. On the other hand, some sin stocks, particularly casino stocks, have suffered greatly as gambling locations remain closed due to lockdowns.With all that in mind, here are seven sin stocks to invest for the long-run: * Advisor Shares Vice ETF (NASDAQ:ACT) * Constellation Brands (NYSE:STZ) * ETFMG Alternative Harvest ETF (NYSEARCA:MJ) * iShares U.S. Aerospace & Defense ETF (CBOE:ITA) * Smith & Wesson (NASDAQ:SWBI) * VanEck Vectors Gaming ETF (NASDAQ:BJK) * Vanguard Consumer Staples Index Fund ETF (NYSEARCA:VDC)Most sin industry stocks also bear juicy dividends. Thus, they could be appropriate for investors seeking passive income, especially in a low-interest environment such as this. Sin Stocks to Buy: Advisor Shares Vice ETF (ACT)Source: Shutterstock 52-Week Range: $16.16 – 26.95Dividend Yield: 2.41%Net Expense Ratio: 0.99 % per yearOur first choice is an exchange-traded fund (ETF), best for investors who would rather not risk capital on one company. The AdvisorShares Vice ETF concentrates mainly on U.S.-listed alcohol and tobacco companies. It may also hold stocks of firms conducting federally legal cannabis business, per the U.S. government.As regular InvestorPlace readers likely know, marijuana remains illegal at the federal level in the U.S. At the state level, legal status depends on the laws of the individual state. Outside of Canada, which was the first G7 country to nationally legalize cannabis, the size of the legalized marijuana industry remains very small. Yet that market is expected to reach $40 billion by 2023.In terms of ETF composition, cannabis-related firms top the list with a 40.9% weighting. Next are alcohol (27.1%), Restaurant & Entertainment (12.2%), and Tobacco with Cannabis Exposure (11.3%). Close to 80% of the companies come from North America, followed by Europe (13.3%).ACT’s top ten holdings comprise around 60% of total net assets, which stand close to $10 million. ACT’s top five companies are Boston Beer (NYSE:SAM), Thermo Fisher Scientific (NYSE:TMO), Abbott Laboratories (NYSE:ABT), Turning Point Brands (NYSE:TPB) and Abbvie (NYSE:ABBV). A closer examination of the holdings shows that there is considerable emphasis on life-sciences. For example, in Canada, Thermo Fisher undertakes cannabis compliance activities. Another holding is Scotts Miracle-Gro (NYSE:SMG), which is known for its fertilizer products, used by marijuana producers.So far in 2020, the fund is up around 3%. Yet since the lows seen in early spring, ACT is up around 55%. In fact, on September 16, it hit a 52-week high.Any decline toward the $22.5-level would make the fund more attractive for long-term investors. However, we’d like to underscore the high management fee as well as the fact that it is still a smaller size fund. Constellation Brands (STZ)Source: ShinoStock / Shutterstock.com 52-Week Range: $104.28 – $210.65Dividend Yield: 1.62%Victor, New York-headquartered Constellation Brands’ website highlights that it is the fastest-growing large consumer packaged goods (CPG) company in the U.S. at the retail level. And in addition to the U.S., the global alcoholic beverage company has operations in Mexico, New Zealand and Italy as well.The group produces and markets beer, wine and a diverse range of spirits. Several of its well-known brands include Corona, Modelo, Pacifico, Robert Mondavi, SVEDKA Vodka, Casa Noble Tequila and High West Whiskey.In 2018, Constellation Brands took a considerable stake in Canada-based Canopy Growth (NYSE:CGC), providing the company with managerial and financial backing. There may be investors who are hoping that Constellation Brands, which holds a 38% stake in the company, will acquire the remaining shares of Canopy Growth. Given the question marks surrounding the cannabis industry and the global economy, we don’t expect such an acquisition to happen in the near-term.Year-to-date (YTD) the stock is down about 2%. Part of the weakness in price may come from the fact that its wine and spirits business has seen lower shipments in 2020. But the beer business is strong, posting the tenth consecutive year of rising shipments. * 7 Hot Stocks to Buy on Robinhood Now Since the lows seen in March, the shares are up about 80%. As a result of the rapid increase, forward P/E and P/S ratios have also been pushed up, standing at 20.75 and 4.33 respectively. We’d look to buy the shares around $170. ETFMG Alternative Harvest ETF (MJ)Source: Shutterstock 52-Week Range: $8.81 – $23.44Dividend Yield: 10.76%Expense Ratio: 0.75%Our next choice is an ETF from the cannabis space. The ETFMG Alternative Harvest ETF tracks the Prime Alternative Harvest index. MJ stock invests in companies that have exposure to global medicinal and recreational cannabis legalization moves.Pharmaceuticals (56.4%), Tobacco (24.7%) and Biotechnology (9.1%) are the top 3 sectors for MJ, which has 35 holdings. The top ten holdings comprise about 60% of total net assets, which are around $550 million. MJ’s top five companies are GW Pharmaceuticals (NASDAQ:GWPH), Cronos Group (NASDAQ:CRON), Canopy Growth (NYSE:CGC), Corbus Pharmaceuticals (NASDAQ:CRBP) and Aurora Cannabis (NYSE:ACB).It’s important to note that U.K.-based GW Pharmaceuticals, a leading cannabinoid-focused biotech company, is MJ’s largest holding, accounting for 11.1% of its assets. Its drugs are widely used to treat spasms in multiple sclerosis patients. The fund also owns shares of the companies providing ancillary products and services to the cannabis companies.So far in 2020, Canada-based marijuana stocks have been plumbing new lows. Producing cannabis is capital-intensive, meaning pot firms make substantial initial and ongoing investments. These companies are also vulnerable to supply and demand issues.Over the past year, a wide range of Canadian regulatory logjams have resulted in supply problems for companies like Cronos, Canopy Growth, and Aurora Cannabis. Plus, most of the demand for cannabis is currently limited to Canada where there is still a resilient black market. As a result, the next few months may see consolidation in the industry north of the border.YTD, the fund is down about 36%. It is likely that MJ may re-test its lows seen earlier in March. Investors who are able to spare risk capital may consider investing for the long-run around $7.5. iShares U.S. Aerospace & Defense ETF (ITA)Source: Shutterstock 52-Week Range: $112.47 – $240.62Dividend Yield: 2.26%Expense Ratio: 0.42%The iShares U.S. Aerospace & Defense ETF provides exposure to U.S. companies that manufacture commercial and military aircrafts and other defense equipment. ITA, which has 35 holdings, tracks the Dow Jones U.S. Select Aerospace & Defense Index.The top ten companies comprise 75% of net assets under management, which stand close to $2.7 billion. Lockheed Martin (NYSE:LMT), Raytheon Technologies (NYSE:RTX) and Boeing (NYSE:BA) are the top three holdings for ITA. Put another way, investors are relying on a few major players for returns. * 7 Hot Stocks to Buy on Robinhood Now Many analysts concur that U.S. defense spending is likely to remain high. However, the headwinds affecting orders, especially for Boeing, may stay with us for some time. This fact is potentially already reflected in the price, which is down close to 30% YTD.Contrarian and dividend-seeking investors may find this fund appealing. Smith & Wesson (SWBI)Source: Supakorn Pe / Shutterstock.com 52-Week Range: $4.16 – $22.40Dividend Yield: 1.26%Springfield, Massachusetts-based firearms manufacturer Smith & Wesson is our next stock. The company was founded in 1852. Earlier in August, it spun off American Outdoor Brands (NASDAQ:AOUT) as a separate entity.In August, the company released FY 2020 annual report and highlighted that nationwide firearm demand remained extremely high. Sales numbers and anecdotal evidence suggest that guns have recently been flying off the shelves in many parts of the country.During the year, the group introduced 230 new firearms. A third of those were brand new products, while the rest were line extensions. Net sales for the fiscal year were $678.4 million, an increase of 6.3% from a year ago. The firearms segment gross sales represented a 10% increase over fiscal 2019 sales. The company’s gross margins have been climbing and now stand at a robust 40.2%.YTD, SWBI shares are up close to 70%. The upcoming U.S. Presidential election may bring volatility in the stock price. However, long-term investors may consider buying the dips. Its P/S and P/B ratios stand out, at 1.01 and 1.95 respectively. VanEck Vectors Gaming ETF (BJK)Source: Shutterstock 52 Week Range: $ 20.02 – 43.73Dividend Yield: 3.23%Expense Ratio: 0.65%The VanEck Vectors Gaming ETF provides exposure to companies in the global gaming industry. That includes casinos and casino hotels, sports betting, lottery and gaming services, and gaming technology and equipment.BJK, which has 42 holdings, tracks the MVIS Global Gaming Index. The top sector allocation is Consumer Discretionary (91.1%), followed by Real Estate (9.2%).The top ten holdings constitute over 55% of net assets, which stand around $53 million. Flutter Entertainment (OTC:PDYPY), Galaxy Entertainment Group (OTC:GXYEF) and Draftkings (NASDAQ:DKNG) are the top three firms in BJK.At present, in the U.S., DraftKings and FanDuel, which is part of Europe-based Flutter Entertainment, are the two main online platforms for sports and sports fantasy betting. DKNG stock, which went public in late April, is up over 400%. Flutter Entertainment, which is one of the largest gambling companies in the world by revenue, is also up about 23%. * 7 Hot Stocks to Buy on Robinhood Now However, the fund as a whole is down about 9% so far in 2020. Investors who want to capitalize on the potential of sports betting as well as the growth in fantasy sports both in the U.S. and worldwide may want to do further due diligence on the fund. We’d look to buy the dips. Vanguard Consumer Staples Index Fund ETF (VDC)Source: Shutterstock 52-week range: $120.70-$172.31Dividend Yield: 3.05%Expense Ratio: 0.10% per yearOur final pick is another ETF. However, it’s not a pure play on sin stocks. Instead the Vanguard Consumer Staples Index Fund ETF provides exposure to a range of large-, mid-, and small-cap U.S. stocks in the consumer staples sector. As a result, this fund is defensive in nature.VDC, which has has 94 holdings, tracks the Spliced US IMI Consumer Staples 25/50 Index. The most important sectors (by weighting) are Household Products, Soft Drinks, Packaged Foods & Meats and Hypermarkets & Super Centers. In total, these four sectors make up about three-quarters of the fund.The top ten holdings comprise 65% of total net assets, which stand at $6.5 billion. These are businesses with competitive positions and strong balance sheets and revenue streams. Among those ten companies are two businesses that would be considered sin stocks, i.e., Philip Morris International (NYSE:PM) and Altria (NYSE:MO).Phillip Morris International is a global cigarette and tobacco manufacturing company, whose products are sold in over 180 countries outside the U.S. The most recognized brand is Marlboro. Altria’s subsidiaries, on the other hand, include Philip Morris USA, which is engaged in the manufacture and sale of cigarettes in the U.S. as well as several other brands which manufacture, produce and market tobacco products and wine.In 2020, the fund has returned about 0.3%, i.e. it’s flat. Given the health and economic uncertainties due to the pandemic, market participants may consider allocating some capital into VDC. We’d look to buy the dips, especially around $155 or below.On the date of publication, Tezcan Gecgil did not have (either directly or indirectly) any positions in the securities mentioned in this article.Tezcan Gecgil has worked in investment management for over two decades in the U.S. and U.K. In addition to formal higher education in the field, she has also completed all 3 levels of the Chartered Market Technician (CMT) examination. Her passion is for options trading based on technical analysis of fundamentally strong companies. She especially enjoys setting up weekly covered calls for income generation. She also publishes educational articles on long-term investing. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America’s 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post 7 Sin Stocks To Buy That Will Outperform the S&P 500 appeared first on InvestorPlace.

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Christine founded Sports Grind Entertainment with an aim to bring relevant and unaltered Sports news to the general public with a specific view point for each story catered by the team. She is a proficient journalist who holds a reputable portfolio with proficiency in content analysis and research.

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China name dispute moves from birds to climate change

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'Taiwan is Taiwan': China name dispute moves from birds to climate change

TAIPEI (Reuters) – The dispute over international organisations referring to Taiwan as Chinese has moved from wild bird conservation to climate change, after a global alliance of mayors began listing Taiwanese cities as belonging to China on its website.

China has ramped up pressure on international groups and companies, no matter how small or obscure, to refer to democratic Taiwan as being part of China, to the anger of Taiwan’s government and many of its people.

Beijing views the island as merely a wayward Chinese province.

This month a Taiwan bird conservation body said it had been expelled from a partnership with a British-based wildlife charity after they demanded the Taiwan group change their name and sign documents stating they did not support Taiwan’s independence.

Late on Saturday, the government of the southern Taiwanese city of Kaohsiung said the website of the Global Covenant of Mayors for Climate and Energy had begun listing Taiwan member cities like itself as part of China.

On Sunday, Taiwan’s government reacted with anger.

“Taiwan is Taiwan. China is China. Taiwan is not a city of China’s. If there is incorrect usage we think this is extremely improper,” Premier Su Tseng-chang told reporters.

“China hopes to make Taiwan part of it in the world, a city of its. This is not in line with the facts.”

Taiwan’s Foreign Ministry said it had asked the group to make a correction, while Kaohsiung Mayor Chen Chi-mai said his city was known globally as being in southern Taiwan, rather than as part of China.

The Global Covenant’s secretariat said in a short email to Reuters that they “may not be able to respond until business hours resume Monday”.

The Global Covenant says its mission is to “galvanise climate and energy action across cities worldwide”, representing a population of over 800 million. The only Chinese city it lists as a member is Hong Kong.

China’s Foreign Ministry did not immediately respond to a request for comment.

(Reporting by Ben Blanchard; Additional reportig by Ryan Woo in Beijing; Editing by Stephen Coates)

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Christine founded Sports Grind Entertainment with an aim to bring relevant and unaltered Sports news to the general public with a specific view point for each story catered by the team. She is a proficient journalist who holds a reputable portfolio with proficiency in content analysis and research.

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Here’s Why We’re Wary Of Buying Consolidated Water’s (NASDAQ:CWCO) For Its Upcoming Dividend

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7 Sin Stocks To Buy That Will Outperform the S&P 500

While the S&P 500 and a wide range of stocks continue their September slide, many investors are understandably jittery, wondering if a second market crash is coming this year. In response, they’re searching for industries that can offer more stability, but also growth and income over the coming quarters. One such group are the so-called “sin stocks,” which benefit when humans indulge in vices.Although there may be different definitions of sin stocks, these businesses include those in alcohol, tobacco, cannabis, gambling, adult entertainment, weapons and defense industries. What is viewed as a sin stock today may also change over time.Recent research by David Blitzo of Robeco Asset Management in Rotterdam, the Netherlands, and Frank J. Fabozzi of EDHEC Business School in Nice, France, highlights how “various studies … [of] the historical performance of sin stocks … [show] they have delivered significantly positive abnormal returns.”InvestorPlace – Stock Market News, Stock Advice & Trading TipsThat is to say, sin stocks outperform the broader market time and again, and that isn’t based on one study; it’s based on many studies, by different researchers at different times.Sales figures from companies back up the anecdotal evidence that even in economically difficult periods, tobacco and alcohol consumption remain fairly stable. In fact, during the early weeks of the pandemic, alcohol sales in the U.S. increased by 27%. * 7 Hot Stocks to Buy on Robinhood Now Therefore, for investors whose convictions allow them to invest in these firms, such stocks can provide meaningful diversification during volatile market periods. On the other hand, some sin stocks, particularly casino stocks, have suffered greatly as gambling locations remain closed due to lockdowns.With all that in mind, here are seven sin stocks to invest for the long-run: * Advisor Shares Vice ETF (NASDAQ:ACT) * Constellation Brands (NYSE:STZ) * ETFMG Alternative Harvest ETF (NYSEARCA:MJ) * iShares U.S. Aerospace & Defense ETF (CBOE:ITA) * Smith & Wesson (NASDAQ:SWBI) * VanEck Vectors Gaming ETF (NASDAQ:BJK) * Vanguard Consumer Staples Index Fund ETF (NYSEARCA:VDC)Most sin industry stocks also bear juicy dividends. Thus, they could be appropriate for investors seeking passive income, especially in a low-interest environment such as this. Sin Stocks to Buy: Advisor Shares Vice ETF (ACT)Source: Shutterstock 52-Week Range: $16.16 – 26.95Dividend Yield: 2.41%Net Expense Ratio: 0.99 % per yearOur first choice is an exchange-traded fund (ETF), best for investors who would rather not risk capital on one company. The AdvisorShares Vice ETF concentrates mainly on U.S.-listed alcohol and tobacco companies. It may also hold stocks of firms conducting federally legal cannabis business, per the U.S. government.As regular InvestorPlace readers likely know, marijuana remains illegal at the federal level in the U.S. At the state level, legal status depends on the laws of the individual state. Outside of Canada, which was the first G7 country to nationally legalize cannabis, the size of the legalized marijuana industry remains very small. Yet that market is expected to reach $40 billion by 2023.In terms of ETF composition, cannabis-related firms top the list with a 40.9% weighting. Next are alcohol (27.1%), Restaurant & Entertainment (12.2%), and Tobacco with Cannabis Exposure (11.3%). Close to 80% of the companies come from North America, followed by Europe (13.3%).ACT’s top ten holdings comprise around 60% of total net assets, which stand close to $10 million. ACT’s top five companies are Boston Beer (NYSE:SAM), Thermo Fisher Scientific (NYSE:TMO), Abbott Laboratories (NYSE:ABT), Turning Point Brands (NYSE:TPB) and Abbvie (NYSE:ABBV). A closer examination of the holdings shows that there is considerable emphasis on life-sciences. For example, in Canada, Thermo Fisher undertakes cannabis compliance activities. Another holding is Scotts Miracle-Gro (NYSE:SMG), which is known for its fertilizer products, used by marijuana producers.So far in 2020, the fund is up around 3%. Yet since the lows seen in early spring, ACT is up around 55%. In fact, on September 16, it hit a 52-week high.Any decline toward the $22.5-level would make the fund more attractive for long-term investors. However, we’d like to underscore the high management fee as well as the fact that it is still a smaller size fund. Constellation Brands (STZ)Source: ShinoStock / Shutterstock.com 52-Week Range: $104.28 – $210.65Dividend Yield: 1.62%Victor, New York-headquartered Constellation Brands’ website highlights that it is the fastest-growing large consumer packaged goods (CPG) company in the U.S. at the retail level. And in addition to the U.S., the global alcoholic beverage company has operations in Mexico, New Zealand and Italy as well.The group produces and markets beer, wine and a diverse range of spirits. Several of its well-known brands include Corona, Modelo, Pacifico, Robert Mondavi, SVEDKA Vodka, Casa Noble Tequila and High West Whiskey.In 2018, Constellation Brands took a considerable stake in Canada-based Canopy Growth (NYSE:CGC), providing the company with managerial and financial backing. There may be investors who are hoping that Constellation Brands, which holds a 38% stake in the company, will acquire the remaining shares of Canopy Growth. Given the question marks surrounding the cannabis industry and the global economy, we don’t expect such an acquisition to happen in the near-term.Year-to-date (YTD) the stock is down about 2%. Part of the weakness in price may come from the fact that its wine and spirits business has seen lower shipments in 2020. But the beer business is strong, posting the tenth consecutive year of rising shipments. * 7 Hot Stocks to Buy on Robinhood Now Since the lows seen in March, the shares are up about 80%. As a result of the rapid increase, forward P/E and P/S ratios have also been pushed up, standing at 20.75 and 4.33 respectively. We’d look to buy the shares around $170. ETFMG Alternative Harvest ETF (MJ)Source: Shutterstock 52-Week Range: $8.81 – $23.44Dividend Yield: 10.76%Expense Ratio: 0.75%Our next choice is an ETF from the cannabis space. The ETFMG Alternative Harvest ETF tracks the Prime Alternative Harvest index. MJ stock invests in companies that have exposure to global medicinal and recreational cannabis legalization moves.Pharmaceuticals (56.4%), Tobacco (24.7%) and Biotechnology (9.1%) are the top 3 sectors for MJ, which has 35 holdings. The top ten holdings comprise about 60% of total net assets, which are around $550 million. MJ’s top five companies are GW Pharmaceuticals (NASDAQ:GWPH), Cronos Group (NASDAQ:CRON), Canopy Growth (NYSE:CGC), Corbus Pharmaceuticals (NASDAQ:CRBP) and Aurora Cannabis (NYSE:ACB).It’s important to note that U.K.-based GW Pharmaceuticals, a leading cannabinoid-focused biotech company, is MJ’s largest holding, accounting for 11.1% of its assets. Its drugs are widely used to treat spasms in multiple sclerosis patients. The fund also owns shares of the companies providing ancillary products and services to the cannabis companies.So far in 2020, Canada-based marijuana stocks have been plumbing new lows. Producing cannabis is capital-intensive, meaning pot firms make substantial initial and ongoing investments. These companies are also vulnerable to supply and demand issues.Over the past year, a wide range of Canadian regulatory logjams have resulted in supply problems for companies like Cronos, Canopy Growth, and Aurora Cannabis. Plus, most of the demand for cannabis is currently limited to Canada where there is still a resilient black market. As a result, the next few months may see consolidation in the industry north of the border.YTD, the fund is down about 36%. It is likely that MJ may re-test its lows seen earlier in March. Investors who are able to spare risk capital may consider investing for the long-run around $7.5. iShares U.S. Aerospace & Defense ETF (ITA)Source: Shutterstock 52-Week Range: $112.47 – $240.62Dividend Yield: 2.26%Expense Ratio: 0.42%The iShares U.S. Aerospace & Defense ETF provides exposure to U.S. companies that manufacture commercial and military aircrafts and other defense equipment. ITA, which has 35 holdings, tracks the Dow Jones U.S. Select Aerospace & Defense Index.The top ten companies comprise 75% of net assets under management, which stand close to $2.7 billion. Lockheed Martin (NYSE:LMT), Raytheon Technologies (NYSE:RTX) and Boeing (NYSE:BA) are the top three holdings for ITA. Put another way, investors are relying on a few major players for returns. * 7 Hot Stocks to Buy on Robinhood Now Many analysts concur that U.S. defense spending is likely to remain high. However, the headwinds affecting orders, especially for Boeing, may stay with us for some time. This fact is potentially already reflected in the price, which is down close to 30% YTD.Contrarian and dividend-seeking investors may find this fund appealing. Smith & Wesson (SWBI)Source: Supakorn Pe / Shutterstock.com 52-Week Range: $4.16 – $22.40Dividend Yield: 1.26%Springfield, Massachusetts-based firearms manufacturer Smith & Wesson is our next stock. The company was founded in 1852. Earlier in August, it spun off American Outdoor Brands (NASDAQ:AOUT) as a separate entity.In August, the company released FY 2020 annual report and highlighted that nationwide firearm demand remained extremely high. Sales numbers and anecdotal evidence suggest that guns have recently been flying off the shelves in many parts of the country.During the year, the group introduced 230 new firearms. A third of those were brand new products, while the rest were line extensions. Net sales for the fiscal year were $678.4 million, an increase of 6.3% from a year ago. The firearms segment gross sales represented a 10% increase over fiscal 2019 sales. The company’s gross margins have been climbing and now stand at a robust 40.2%.YTD, SWBI shares are up close to 70%. The upcoming U.S. Presidential election may bring volatility in the stock price. However, long-term investors may consider buying the dips. Its P/S and P/B ratios stand out, at 1.01 and 1.95 respectively. VanEck Vectors Gaming ETF (BJK)Source: Shutterstock 52 Week Range: $ 20.02 – 43.73Dividend Yield: 3.23%Expense Ratio: 0.65%The VanEck Vectors Gaming ETF provides exposure to companies in the global gaming industry. That includes casinos and casino hotels, sports betting, lottery and gaming services, and gaming technology and equipment.BJK, which has 42 holdings, tracks the MVIS Global Gaming Index. The top sector allocation is Consumer Discretionary (91.1%), followed by Real Estate (9.2%).The top ten holdings constitute over 55% of net assets, which stand around $53 million. Flutter Entertainment (OTC:PDYPY), Galaxy Entertainment Group (OTC:GXYEF) and Draftkings (NASDAQ:DKNG) are the top three firms in BJK.At present, in the U.S., DraftKings and FanDuel, which is part of Europe-based Flutter Entertainment, are the two main online platforms for sports and sports fantasy betting. DKNG stock, which went public in late April, is up over 400%. Flutter Entertainment, which is one of the largest gambling companies in the world by revenue, is also up about 23%. * 7 Hot Stocks to Buy on Robinhood Now However, the fund as a whole is down about 9% so far in 2020. Investors who want to capitalize on the potential of sports betting as well as the growth in fantasy sports both in the U.S. and worldwide may want to do further due diligence on the fund. We’d look to buy the dips. Vanguard Consumer Staples Index Fund ETF (VDC)Source: Shutterstock 52-week range: $120.70-$172.31Dividend Yield: 3.05%Expense Ratio: 0.10% per yearOur final pick is another ETF. However, it’s not a pure play on sin stocks. Instead the Vanguard Consumer Staples Index Fund ETF provides exposure to a range of large-, mid-, and small-cap U.S. stocks in the consumer staples sector. As a result, this fund is defensive in nature.VDC, which has has 94 holdings, tracks the Spliced US IMI Consumer Staples 25/50 Index. The most important sectors (by weighting) are Household Products, Soft Drinks, Packaged Foods & Meats and Hypermarkets & Super Centers. In total, these four sectors make up about three-quarters of the fund.The top ten holdings comprise 65% of total net assets, which stand at $6.5 billion. These are businesses with competitive positions and strong balance sheets and revenue streams. Among those ten companies are two businesses that would be considered sin stocks, i.e., Philip Morris International (NYSE:PM) and Altria (NYSE:MO).Phillip Morris International is a global cigarette and tobacco manufacturing company, whose products are sold in over 180 countries outside the U.S. The most recognized brand is Marlboro. Altria’s subsidiaries, on the other hand, include Philip Morris USA, which is engaged in the manufacture and sale of cigarettes in the U.S. as well as several other brands which manufacture, produce and market tobacco products and wine.In 2020, the fund has returned about 0.3%, i.e. it’s flat. Given the health and economic uncertainties due to the pandemic, market participants may consider allocating some capital into VDC. We’d look to buy the dips, especially around $155 or below.On the date of publication, Tezcan Gecgil did not have (either directly or indirectly) any positions in the securities mentioned in this article.Tezcan Gecgil has worked in investment management for over two decades in the U.S. and U.K. In addition to formal higher education in the field, she has also completed all 3 levels of the Chartered Market Technician (CMT) examination. Her passion is for options trading based on technical analysis of fundamentally strong companies. She especially enjoys setting up weekly covered calls for income generation. She also publishes educational articles on long-term investing. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America’s 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post 7 Sin Stocks To Buy That Will Outperform the S&P 500 appeared first on InvestorPlace.

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