E-commerce stocks continue strong momentum with spending habits driving growth

E-commerce stocks continue strong momentum with spending habits driving growth

GCC Residents on board with Amazon and Alibaba named most traded stocks for 2020



E-commerce stocks are continuing their strong momentum this year, with the two biggest companies in the global e-commerce industry, Amazon and Alibaba, both reporting strong Q4 earnings which bolstered sentiment in the industry, propelling e-commerce to new all-time highs.



The E-commerce theme basket from Saxo Bank, the leading fintech and regtech specialist, is up 14.8% year-to-date driven by strong investor demand and positive Q4 earnings.



The basket was topped by Amazon and Alibaba, and online traders in the GCC are already on board as both e-commerce giants came first on the most traded stocks in the e-commerce industry among GCC Saxo Bank clients in 2020.



"The pandemic turbocharged investor demand for e-commerce stocks as the underlying companies were the big winners of the pandemic and lockdowns across every major economy. It forced consumers to buy goods online lifting growth rates and profitability.“ said Peter Garnry, Head of Equity Strategy at Saxo Bank.



While growth rates and profitability were lifted by consumer behaviour caused by the pandemic, the next stage of growth for e-commerce companies will be driven by a move into the three biggest retail