The holidays are here, which means it’s time for investors to start shopping for Black Friday stocks. In 2025, Black Friday doesn’t have the same meaning as it once did. Many retailers have been having “Black Friday” sales for almost a month.
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However, according to one source, Black Friday sales are expected to be over $11.7 billion in 2025, a year-over-year increase of 8.3%. And this holiday season, American consumers are expected to spend over $1 trillion for the first time.
That said, consumers still feel the impact of higher prices. Affordability is on the lips of many economists and the executives who work at these retailers. The message is the same. Even high-income consumers are trading down to find value where they can.
As an investor, this means you should keep it simple when it comes to Black Friday stocks. That is, buy the names that have proven they can attract consumers no matter what happens in the broader economy. Here are three names to consider.
Costco: The High Valuation is a Feature Not a Bug
Costco Wholesale Corp. (NASDAQ: COST) is one of the most consistent performers in the retail space. A key reason for this is the company’s subscription model. That revenue goes almost entirely to the company’s bottom line, and the company has a retention rate of over 90%.
However, after hitting the psychologically significant $1,000 per share mark twice in 2025, COST stock is in a downtrend as many investors question its premium valuation.
They shouldn’t.
Costco’s high valuation is a feature, not a bug, because investors are paying for a level of consistency and predictability that few retailers can match. In addition to its subscription model that gives Costco a built-in customer base that reliably drives traffic and spending, the company has strong private-label penetration and disciplined pricing, which keep shoppers loyal even when consumer spending softens.
The company continues to open new warehouses in underserved domestic markets and high-growth international regions, which provides steady, measurable volume growth. Finally, Costco’s financial stewardship strengthens the premium case. The company maintains a conservative balance sheet, regularly issues special dividends, and delivers consistent earnings growth.
In short, investors pay more because Costco reliably delivers more.
Amazon: It’s Time for the Company’s “Other” Business to Shine
Amazon.com Inc. (NASDAQ: AMZN) is one of the most important technology stocks in the artificial intelligence (AI) revolution. The company’s Amazon Web Services (AWS) division is a primary driver of the company’s growth. It’s also the reason the company can commit billions of dollars to the buildout of AI data centers.
But the holiday season is a good reminder that Amazon’s legacy e-commerce business is doing just fine. In fact, the company that essentially invented the category looks ready to shine again in 2025.
E-commerce may no longer be Amazon’s fastest-growing segment, but it remains a powerful engine of profitability and cash flow. The company has streamlined its fulfillment network, cut delivery times, and expanded same-day capabilities, all of which are boosting order volume heading into 2025.
Advertising revenue tied to its retail ecosystem is accelerating as well, adding a high-margin tailwind that complements AWS. With consumers expected to stay value-focused, Amazon’s scale, logistics advantage, and Prime ecosystem should help the company capture additional share. AWS may fuel the AI future, but Amazon’s “other” business is quietly strengthening the foundation beneath it.
Bath & Body Works: The Numbers Don’t Lie, It’s a Buy
Bath & Body Works Inc. (NYSE: BBWI) may seem like a surprising choice among Black Friday stocks to buy. BBWI stock is down over 55% in 2025 based on tepid revenue and earnings. The company has a loyal customer base, but loyalty hasn’t been enough to attract customers in a tough market.
But the numbers don’t lie. The fourth quarter is historically the company’s strongest quarter in terms of both revenue and earnings. That’s not reflected in the company’s stock price or in its valuation. At around 5x forward earnings, the stock is trading at nearly a 40% discount to its historic average.
BBWI stock may not be a buy-and-hold stock. But it looks like an excellent choice for investors looking for swing trading opportunities.
Let These Black Friday Stocks Start Your New Year Right
The last month of the year is a time when institutional investors rebalance their portfolios and look ahead to a new year. These are just the kind of opportunities they look for.
These Black Friday stocks are proven winners of seasonal strength, and in the case of Costco and Amazon, they have multiple levers to pull to deliver long-term shareholder value.
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