3 Back To School Stocks For Your Portfolio

This time of year, parents and students alike are gearing up for back to school. As back to school spending has soared over the years, many states are taking notice. They want as big of the piece of the pie as possible so they enacted tax-free shopping days to entice consumers to spend. As an investor, you can join in with back to school stocks.

Just what are back to school stocks you ask? They are the stocks of companies who will get a boost from the spending on back to school supplies. You might be thinking that the boost won’t be much, if anything.

But you would be wrong. According to the National Retail Federation, back to school spending in 2017 is expected to hit $83.6 billion dollars.

The 3 back to school stocks I list below are prime candidates to take advantage of this influx of consumer spending.

3 Back To School Stocks To Add To Your Portfolio

#1. Best Buy (NYSE: BBY)

We live in a digital world and digital products cost a decent amount of money. This is where Best Buy comes into play.

In the past, you might have been able to get away with a basic laptop for college. But now, you need something more powerful. And you need a tablet too. The reason is because many textbooks have now gone digital.

By having a tablet, you can ease your back by not lugging around a heavy book bag. And having a tablet can make it easier to share files and documents with classmates.

But it doesn’t end there for electronics. Depending on where you live on or off campus, you might need a printer, ink, a television, etc. And if you are in a dorm, a microwave and small refrigerator are essential.

Best Buy has students covered with all of the above.

The stock has been consistently rising for the past year, but with the recent pullback, now is a great time to jump in.

#2. Target (NYSE: TGT)

Target stock has been in a downward slide since the end of 2016. The retailer saw shares get hammered after reporting disappointing holiday numbers for 2016. But Target had a plan to grow its e-commerce division and get its brick and mortar stores back to glory.