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April 22, 2021, 2:50 p.m. EDT

Top Cyclical Stocks Worth Investing In? 4 To Consider

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Apr 22, 2021 (StockMarket.com via COMTEX) -- Could These Be The Top Cyclical Stocks In The Stock Market Today?

Cyclical stocks are likely among the most trending stocksin the stock market today . Why? Well, for starters, cyclical stocks tend to follow the flow of the economy. Accordingly, there has been a slew of positive figures pointing towards broader economic recovery lately. Just this morning, the U.S. Labor Department revealed that there were 547,000 first-time unemployment insurance claims last week. Notably, this marks another pandemic-era low following last week's 576,000 claims, below the Dow Jones estimate of 603,000. On this news, it would not surprise me to see investors looking out for the top cyclical stocks now.

After all, seasoned investors such as National Securities' chief market strategist, Art Hogan, appear bullish on cyclical stocks now. Hogan said in a recent CNBC interview that it is important to have "a balance" of growth stocks and cyclical stocks now. In turn, he also argues that rebalancing between the two every couple of months puts investors "in a position to beat the S&P handily". Evidently, both Southwest Airlines ( NYSE: LUV ) and Carnival Corporation ( NYSE: CCL ) continue to outpace the S&P 500 threefold year-to-date. As pandemic conditions continue to improve, I could see this trend continue. Having read till this point, you might be interested to invest in some of the top cyclical stocks on the stock market now . Should that be the case, here are four in focus now.

Cyclical Stocks To Buy [Or Sell] Right Now

American Airlines Group Inc.

American Airlines (AAL) is one of the largest airlines in the world. Pre-pandemic, it offered nearly 6,700 flights per day to nearly 350 destinations in more than 50 countries. The company also has a cargo division that provides a range of freight and mail services with facilities and interline connections available across the globe. AAL stock currently trades at $20.45 as of 1:59 p.m. ET and is up by over 35% year-to-date. Today, the company reported its first-quarter financial results and continues to see a recovery in demand for air travel.

In detail, revenue for the quarter was $4 billion. Despite the airline industry being badly hit last year, the company could be on the verge of a comeback. It has managed to raise $10 billion through debt offering and this could help the company weather through what hopefully could be the last leg of the pandemic. AAL also ended the quarter with approximately $17.3 billion in total available liquidity.

AAL's Chairman and CEO Doug Parker had this to say, "Looking forward, with the momentum underway from the first quarter, we see signs of continued recovery in demand. We remain confident the network enhancements, customer-focused improvements, and efficiency measures we've put into place will ensure American is well-positioned for the recovery." Given all of this, should you consider buying AAL stock ahead of the economy fully reopening?

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AT&T Inc.

AT&T is a multinational conglomerate holding company with headquarters in Texas. It is a provider of telecommunications, media, and technology services globally. Through the company's communications segment, it provides wireless and wireline telecom to consumers. AT&T's WarnerMedia segment develops, produces, and distributes feature films, television, and gaming among others. T stock currently trades at $31.21 per share as of 2:00 p.m. ET. The company today reported its first-quarter results.

In it, the company reported consolidated revenues of $43.9 billion. AT&T also posted a diluted earnings per share of $1.04, up by 65% compared to a year ago. Its cash from operations increased by 12% to $9.9 billion. Also, the company ended the quarter with $5.9 billion in cash. It continues to excel in growing customer relationships in its market focus areas of mobility, fiber, and HBO Max.

For instance, HBO Max subscribers increased to nearly 64 million globally during the quarter. AT&T also continues to increase penetration in markets involving fiber broadband. With impressive financials, will you consider adding T stock to your portfolio?

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