Retail stocks can be sensitive to economic shifts, but several major retailers have proven they can perform across both downturns and growth cycles. Companies such as TJX Companies (TJX +0.92%), Walmart (WMT 1.18%), and Dollar General (DG +0.01%) remain pillars in the U.S. retail economy.
If you have $500 in available cash that isn't needed for an emergency fund, monthly bills, or short-term debt, you may want to consider buying and holding one or all three of these retail stocks.
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1. TJX remains the retail leader of off-price apparel and home goods
Having outperformed the S&P 500 for the last two years as of Dec. 12, TJX is undeniably one of the best retail stocks, having consistently delivered gains for over 15 years.
NYSE: TJX
Key Data Points
Consisting of off-price retail stores such as TJ Maxx, Marshalls, and HomeGoods, the company offers a variety of products for every season at discounted prices.
2. Walmart continues to dominate retail, now expanding into AI shopping
Walmart's stock price was reduced to $58.52 per share in February 2024, following its stock split. The retail giant has already essentially doubled that price, sitting at $116.70, as of Dec. 12.
NASDAQ: WMT
Key Data Points
Two months prior, Walmart agreed to a partnership with OpenAI , allowing ChatGPT users to soon search for and purchase goods directly within the artificial intelligence (AI) app, further distancing itself from the competition.
3. Dollar General plans a massive expansion in 2026
Dollar General's stock is up 75% in 2025, as of Dec. 12, making a strong rebound from its 70% decline over the prior two years.
NYSE: DG
Key Data Points
After restructuring its executive team throughout the winter, the discount retailer is optimistic about 2026, with plans to open 450 new U.S. locations next year.
The retail industry is dependent on these companies
The key takeaway here is that TJX, Walmart, and Dollar General have all demonstrated adaptability across various consumer spending patterns. If you have $500 to invest in retail companies today, any one of these three can be ideal for your shopping bags, and for your portfolio.
