What Is Consumer Cyclical?

What Is Consumer Cyclical?

Consumer cyclical refers to a stock or group of stocks that are affected by changes in the economic cycle.

What is consumer Cyclical vs Non Cyclical?

A cyclical stock is highly correlated with movements of the business cycle, while a non-cyclical stock has little to no correlation with the business cycle. ... On the other hand, non-cyclical stocks are consumers staples that people buy in good times and bad.

What are examples of cyclical stocks?

Cyclical stocks represent companies that make or sell discretionary items and services that are in demand when the economy is doing well. They include restaurants, hotel chains, airlines, furniture, high-end clothing retailers, and automobile manufacturers.

Maya Lin-Takahashi
Author

Maya Lin-Takahashi

Maya is a hardware enthusiast who tests and reviews smart home devices, smartphones, wearables, and audio gear. She focuses on practical consumer value and build quality.