cyclical stock

[Manikandan]

A stock of a company in an industry sector that is particularly sensitive to swings in economic conditions.

[lavanya]

A cyclical stock is an equity security where price is affected by ups & downs in the overall economy.

[Hemapriya]

A cyclical stock is an equity security whose price is affected by ups and downs in the overall economy.

It relates to the company that sells discretionary items that consumers can afford to buy more in a booming economy and will cut back on during a recession.

[jeevithakomu]

•  cyclical stocks are those that tend to move strongly higher & lower along with the overall business cycle .These stocks represent ownership in companies that are very sensitive to economic fluctuations.
• Auto manufacturing & residential construction are eg . of cyclical industries.

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