7 F-Rated Consumer Discretionary Stocks to Sidestep Immediately
Consumer discretionary stocks largely rely on the whim of the consumer. After all, the name of the segment says it all. These stocks are attached to companies that sell products that consumers really don’t need. They have to want to make a purchase. These stocks include automotive, retail, entertainment and hospitality companies. They do well when the economy is doing well, or when the company has an innovative enough product that it encourages consumers to buy. Largely, consumer discretionary stocks rely on consumers to have plenty of disposable income to make those types of luxury or impulse buys. But when the economy is questionable or inflation is high, or when interest rates make borrowing more expensive, consumer discretionary stocks are among the first to falter. The economy this year has been better than anyone predicted it would be. But there are economy-related headwinds that are pushing some consumer discretionary stocks into “F” ratings. And there are some industry-specific problems that also factor in. If you own any of these F-rated consumer discretionary stocks, it’s time to rethink your portfolio.
https://investorplace.com/market360/2023/09/7-f-rated-consumer-discretionary-stocks-to-sidestep-immediately/