As investors cheer the trade negotiation developments between the U.S. and China, some stocks could be in for an extra bump based on their revenue exposure to the Asian economic giant. The countries agreed to cut tariffs for the time being following negotiations that took place over the weekend in Switzerland, which U.S. Treasury Secretary Scott Bessent called “very productive.” Both countries slashed their taxes by 115% for 90 days, leaving the U.S.’s levy at 30% and China’s at 10%. Stocks with relatively high exposure to China took a hit after President Donald Trump first announced his plans for broad and steep tariffs on several foreign countries last month. While Trump soon after put many of those duties on pause, his decision to hike China’s to a whopping 145% raised fears of a trade war between the world’s two largest economies. Given now that tensions have cooled significantly, stocks whose fortunes are tied to the Asian country may see outsized gains from here. If a long-term deal is reached, these stocks could be the biggest comeback winners. Goldman Sachs compiled a list of names whose revenue is significantly connected to the region. Specifically, Goldman screened for companies with revenue exposure of at least 25% to the Greater China region, as of 2023 fillings. Goldman considers Taiwan as part of this area. Here’s 10 that made the list: Multiple stocks on the list rallied before the bell on Monday as investors took the trade discussion updates into account. Megacap tech titan Nvidia shares popped close to 5% in premarket trading. The company, which has 39% revenue exposure to the region, is one of several chipmakers that passed the screen. Meanwhile, Broadcom and Qualcomm both gained more than 6%. Broadcom’s regional exposure is also north of 30%, while Qualcomm’s is above 60%. Casino operators Las Vegas Sands and Wynn Resorts each jumped more than 3%. Both are known for their presences in Macao, a Chinese gambling destination that has been dubbed the “Las Vegas of Asia.”
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