I saw somebody asking this at a popular stock forum and I thought it would make a good topic for this blog….
Do stocks usually increase during Christmas time? Especially companies such as Best Buy or Sears that see an increase in sales during this special time Smile If so, which ones usually are good to invest in? Any strategies? Thanks for the help
It’s important to point out that retail stocks, while they may be a sustainable investment in the long run, do not generally benefit from a surge in sales at the holidays. Overall, their performance is grades on forcasted expectations and they have quarterly earning to meet up to. In the end, I’d say, no, it’s not a good idea to go buy retailer stocks before the holidays in hopes of a quick gain.
Another particular issue is that if the retailers are hitting a slump as they are this year it could spell a poor return on your investment. In my opinion, if you’re going to invest in retail stocks, go long, don’t go sort term on them and plan on holding them for a decent period of time.
