What Is a Cyclical Stock?
A cyclical stock rises and falls with the economy, like autos, travel and luxury. Cyclicals lead in
greed and lag in fear.
Cyclical stock
Rises and falls with the economy, autos,
travel, luxury.
Defensive stock
Steady through downturns, utilities,
staples, healthcare.
Cyclicals lead booms; defensives cushion busts.
Source: CFGI
Stocks