The consumer sector is all about companies that sell products and services directly to people like you and me. It covers everything from grocery stores and clothing brands to streaming services and fast-food chains. Consumer stocks are shares in these companies that you can buy on the stock market. They’re often split into two groups; consumer staples (things we always need) and consumer discretionary (things we want but don’t necessarily need).
Investing in consumer stocks can be pretty appealing. These companies often have brands we know and use every day. That can make them feel more familiar and less risky. Consumer staples, like food and household goods, tend to be steady performers even when the economy’s rough. Some consumer stocks pay dividends, which is nice for income-focused investors. But it’s not all rosy. Consumer discretionary stocks can take a hit when people tighten their belts. Changing trends and online competition can shake up even well-established consumer companies.
If you’re thinking about buying consumer stocks, do your homework. Look at how the company’s sales are doing and if they’re keeping up with trends. Think about how economic changes might affect different types of consumer companies. Keep an eye on things like brand strength and customer loyalty. Remember, just because you love a product doesn’t always mean it’s a great investment. Always stay informed about shifts in consumer behavior as they can really impact these stocks. All things considered, here are two consumer stocks to watch in the stock market today.
Consumer Stocks To Buy [Or Avoid] Today
- Crocs Inc. (NASDAQ: CROX)
- Walmart Inc. (NYSE: WMT)
Crocs (CROX Stock)
To kick things off, Crocs Inc. (CROX) is a global footwear company known for its iconic foam clogs. They design, develop, and market a variety of casual footwear for men, women, and children. Crocs has expanded its product line beyond its original clog design to include sandals, boots, and other styles.
Earlier this month, Crocs announced its second-quarter financial results for 2024. The company reported earnings of $4.01 per share, surpassing analyst expectations. Revenue came in at $1.11 billion, slightly above the consensus estimate. Crocs saw year-over-year revenue growth of 3.65% for the same period, the previous year. Also, looking ahead, the company provided guidance for Q3 2024. They expect earnings between $2.95 and $3.10 per share.
Year-to-date, shares of CROX stock are up 46.29% so far. While, as of Thursday’s closing bell, Crocs stock closed the trading day up 4.41% at $137.18 a share.
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Walmart (WMT Stock)
Moving on, Walmart Inc. (WMT) is one of the world’s largest retail corporations. They operate a chain of hypermarkets, discount department stores, and grocery stores. Walmart offers a wide range of products including groceries, clothing, electronics, and home goods. The company also provides e-commerce services.
Just this week, Walmart announced its Q2 2025 financial results. Diving right in, the retail giant reported earnings of $0.67 per share, with revenue of $169.34 billion. This is compared to consensus estimates for the quarter which were earning estimates of $0.65 per share, and revenue estimates of $168.40 billion. Additionally, revenue increased by 4.77% versus the same period, the prior year.
Moreover, in 2024 Walmart stock is up 37.82% year-to-date. Meanwhile, as of Thursday’s closing bell, shares of WMT stock finished the day up 6.58% at $73.18 a share.
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