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Webster's New World Finance and Investment Dictionary » cyclical stock
cyclical stock
cyclical stock definition - finance
A
stock whose value moves upward when the economy rises and declines when the
economy slows. Com-panies in the fields of automobile manufacturing, travel,
lodging, entertainment, and large equipment manufacturing, for example, are
cyclical stocks. Non-cyclical stocks, in contrast, are those in companies whose
business remains fairly static regardless of the economy. Food, consumer
products, and drug companies, for example, are non-cyclical stocks.
Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
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