A fundamental analysis term for an industry that is sensitive to the business cycle and price changes. Most cyclical industries produce durable goods such as raw materials and heavy equipment.
An industry, such as automobiles, whose performance is closely tied to the condition of the general economy. The company (and their stock) do well during good economic times, and not as well during poor economic times. Back to Menu
An industry whose performance is closely tied to the overall economy and thus highly sensitive to business cycles. Examples are autos, chemicals, construction, paper, steel and heavy equipment.