10 Retail Stocks Likely to Surge This Holiday Season

The 2024 holiday shopping season is off to a red-hot start. And that means that if you’re looking to make a quick year-end profit, it could be time to buy consumer retail stocks. 

Indeed, according to new data from Adobe Analytics, this is shaping up to be possibly the best holiday shopping season since 2020. 

On Thanksgiving Eve, online sales climbed about 5% year-over-year. They rose about 9% on Thanksgiving Day and more than 10% on Black Friday. Then, they popped over 7% on Cyber Monday.  

All in, Cyber Week online sales increased by more than 8% versus last year. Total online holiday spending to-date (since Nov. 1, 2024) measures $131.5 billion, up about 9% from 2023. If this growth rate holds – and we think it will – it will mark the fastest growth for online holiday sales since 2020. 

Therefore, considering how robust holiday sales have been thus far, we think that retail stocks could be big winners throughout December and January. 

After all, a lot of retailers earn the bulk of their revenues and profits during the holidays. If those retailers have a good season, then they’re set for the year – and their stocks could soar. 

And it looks like a handful of retailers are having a particularly great season so far this year. 

Retail Stocks on the Launching Pad?

Per our research, it looks like Lululemon (LULU) is enjoying a very strong shopping season right now. We heard a lot of buzz about the company’s Cyber Monday deals. And Google search interest for “Lululemon” soared to an all-time high this past week. 

It’s the same story with On Holdings (ONON). With its On Cloud running shoes, the athletic apparel-maker has burst onto the scene as the hottest footwear brand in the industry. It looks like those shoes have been strong sellers this holiday season. As with LULU, search for “On Shoes” also spiked to all-time highs this past week. 

We’re seeing a similar situation unfold with Abercrombie & Fitch (ANF). For the past two years, the retailer has made a huge comeback, suddenly re-emerging as one of the most sought-after apparel brands in the world. It looks like that trend continued this holiday season, with the company successfully riding strong demand for wide-leg and baggy jeans. Yet again, search interest for “Abercrombie” also spiked to all-time highs this past week. 

It appears Levi Strauss (LEVI) is also riding this resurgent jean trend. And – you guessed it – Levi’s search interest also spiked to all-time highs during Cyber Week 2024. 

In fact, the trend of skyrocketing search interest in these hot retailers is quite persistent. Other brands that saw search-related spikes to multi-year highs this past Cyber Week: YETI (YETI), Steve Madden (SHOO), Ralph Lauren (RL), and Adidas (ADDYY). 

Victoria’s Secret (VSCO) search interest has also been strong as of late, likely helped by the return of the VS Fashion Show. And based on its strong recent search interest trends, Gap (GAP) looks like it could be having a really good holiday shopping season as well.

Given the consumer momentum currently propelling these firms, we think these 10 retail stocks are primed to be big winners this holiday season.