Canadian investors looking to buy the dip may wish to consider the clothing scene, with shares of Canadian apparel firms ( ) and ( ) both comfortably off their all-time highs. Undoubtedly, high fashion can be pretty fickle, leading to booms and busts that may be too much for long-term investors to handle. However, with a bust already likely in the books, may wish to shift gears to focus on a boom that may just be around the corner.
Indeed, apparel is a tough place to be right now, with numerous big names in the industry falling hard in recent years. Though there are no clear catalysts that could propel them out of their current funk in the fourth quarter, I like the longer-term setup for investors seeking sizeable upside potential through the next three years. Aritzia and Lululemon have both dealt with stiff challenges of late, but with their brand power still intact, perhaps the two names could be in a great spot to make up for lost time at the first signs of an improving economy.
Let’s take a closer look at the two women’s clothing retailers to find out which is the better bargain for your buck this fall. Aritzia Aritzia is a Vancouver-based company with a brand that many Canadians are all too familiar with. Though the stock crashed back in 2022 and 2023, shedding more than 62% from peak to trough, shares have since woken up in a big way.
Shares have more than doubled (up around 130%) since its late-2023 lows. And though the huge discount is all but gone, I still find A.
