Bidenomics’ potential impact on 7 stocks is worth exploring. The term “Bidenomics” pertains to the economic policies advanced and enacted by the Biden Administration. President Joe Biden’s administration has passed several legislations, notably the CHIPS Act, the Inflation Reduction Act (IRA), and the Infrastructure Investment and Jobs Act. These laws have allocated substantial investments in sectors related to renewable energy, semiconductor manufacturing, and traditional & digital infrastructure.

Below are three stocks from the “Magnificent 7” expected to gain from these government investments.

The Amazon Advantage: How AMZN Stands to Gain

Retail titan Amazon (NASDAQ:AMZN) is a diversified corporate behemoth, encompassing e-commerce, cloud computing, and healthcare services. The e-commerce giant raked in over $554 billion in revenue and $20 billion in net income in the past fiscal year.

The bipartisan Infrastructure Investment and Jobs Act, passed in November 2021, has set aside billions of federal funds for upgrading America’s airports, roads, and railways. Amazon, a major logistics player, relies heavily on this infrastructure for goods transportation. Enhanced infrastructure could streamline logistics and drive up Amazon’s e-commerce transactions, bolstering key performance metrics in the long run.

AMZN’s stock has surged over 60% in the last 12 months, with room to grow as the U.S. economy and infrastructure ameliorate.

Alphabet: The Google Goliath and Its Prospects

Tech heavyweight Alphabet (NASDAQ:GOOGL, NASDAQ:GOOG) needs no introduction. The parent company of Google, YouTube, and Google Cloud, the conglomerate is well-diversified across various technology domains. This diversification has shielded it from macroeconomic disruptions better than its peers. In the second quarter, for instance, Alphabet exceeded Wall Street’s revenue and earnings projections. Similarly, in the third quarter, its revenue growth rates returned to double-digit territory.

Alphabet is also positioned to benefit from the bipartisan infrastructure bill, slated to inject $65 billion into expanding broadband access to underserved rural and urban areas.

Tesla’s Strategic Positioning in the Evolving Market

The Strategic Position of Tesla (TSLA)

Tesla (NASDAQ: TSLA) has successfully positioned itself as a major player in the global electric vehicle market. The company’s extensive network of charging stations has been instrumental in developing the infrastructure necessary for widespread adoption of electric vehicles, allowing Tesla to approach the EV market from multiple angles.

Leveraging Legislation for Market Expansion

The Biden Administration’s commitment to standardizing EV charging stations and allocating funds for the development of a national network of chargers aligns with Tesla’s goals. As part of the $7.5 billion plan, Tesla will open its EV charging stations to competitors, contributing to the establishment of a universal EV charging infrastructure.

Furthermore, Tesla stands to benefit from the Infrastructure Investment and Jobs Act (IRA), which offers enhanced tax incentives to electric vehicle owners. Given Tesla’s prominence in the EV market, these tax credits have the potential to further incentivize consumers to choose Tesla vehicles.

Alphabet’s shares have experienced a 50% increase in trading over the past year, reflecting the market’s positive sentiment towards the company. With a forward earnings ratio of 23x, Alphabet’s stock valuation appears relatively attractive compared to other major players in the industry.