For many of us, the pandemic has changed our outlook on the perfect holiday gift. Rather than more “stuff,” most of us are craving time with family and friends. We prefer to make memories and give and receive gifts that last for more than just a brief period.
With that in mind, shares of stock make a wonderful alternative to traditional holiday gifts. They are easy to purchase, can be customized for the recipient, and don’t require you to leave your home.
The gift of stock may start someone on a lifetime journey of investing. It’s perhaps one of the greatest gifts you can share.
Here are three stocks that would make great holiday gifts this year.
For the person who loves to shop: Shopify
Shopify (TSX:SHOP)(NYSE:SHOP) is Canada’s biggest tech success story. What started out as an online shop of snowboarding gear has grown into a tech behemoth, with a market cap of nearly $170 billion.
One driver of Shopify’s success has been its continual quest to help clients become more successful merchants on the platform.
Last month, Shopify launched Handshake, a wholesale marketplace for its merchants. Handshake connects merchants with suppliers from around the world to help them curate products and scale their operations.
As of this writing, Shopify is trading at $1387.87 per share. This year has proven to be an astonishing year for the stock, dramatically up from its 52-week low of $427.
For the tech hound: Open Text
Open Text (TSX:OTEX)(NASDAQ:OTEX) is one of Canada’s leading tech companies. What started out as a University of Waterloo in Canada project, Open Text has grown to a market cap of $15.7 billion.
Headquartered in Waterloo, Ontario, Open Text develops Information Management products, which enable businesses to lower operational costs by improving business insight, impact, and process speed.
Trading at $57.81 as of this writing, Open Text has a dividend yield of 1.83%.
For the kid in your life: Disney
Few names are as synonymous with childhood as Walt Disney (NYSE:DIS), the most recognized brand in the entertainment industry anywhere in the world.
Although this year has been brutal on its theme parks around the globe, Disney’s streaming service, Disney+, has performed well. Currently, there are approximately 74 million subscribers to Disney+.
For years, Disney has found success in movie theatres by remaking live action movies from its long catalog of popular animated films. Unfortunately, the pandemic dashed any hopes of blockbuster theatrical releases this year. Instead, Disney is using its streaming service to release new titles. The live-action remake of Mulan dropped on Disney+ on Friday.
In addition, the wildly popular show, The Mandalorian, has made Disney’s purchase of the Star Wars franchise look like a masterstroke. The eighth and final episode of the second season of the series airs on Disney+ on December 18.
Trading at US$149.96 as of this writing, shares of Disney are up marginally for the year.
How to give stocks
There are several ways you can gift stocks. Various websites are specifically designed to sell shares of stock intended as gifts. These sites can guide you through the process. If the company does not issue paper stock certificates, these sites provide a framed, personalized replica stock certificate for display purposes. You can also re-title shares of stocks you own or establish a direct share-purchase plan in the name of the recipient.
Bottom line
If you are searching for a unique gift this holiday season, why not delight someone with stock from one of their favourite companies? It is a gift that will be remembered for years to come and a gift that will appreciate over time.
