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Hottest Online Stock & ETF Deals for Cyber Monday

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The holiday season has kicked off with a burst of online deals ranging from apparel to flat-screen TVs. More Americans preferred to stay home and use their smartphones on Thanksgiving Day and Black Friday, leading to a decline in traffic at brick-and-mortar stores.

This is especially true as online sales jumped 28% to $3.7 billion on Thanksgiving Day and 23.6% to a record $6.22 billion on Black Friday, according to Adobe Analytics. This makes Thursday the fastest-growing day for e-commerce sales in history and marks the first Friday after Thanksgiving Day in history to see more than $2 billion in sales stemming from smartphones. About 33.5% of e-commerce sales came from mobile devices compared with 29.1% in 2017 (read: Retail ETFs to Buy on Black Friday Deals).

Given the solid online shopping frenzy, Cyber Monday is projected to become the largest U.S. online shopping day in history. Adobe Analytics expects Cyber Monday online sales to hit $7.8 billion, up 18% from last year. Per National Retail Federation, about 75 million Americans are expected to take advantage of the Internet bargains on Cyber Monday. Popular items this year range from iPads, laptops, 4K smart TVs, to clothing and accessories.

Hot Retailers

Online behemoth Amazon.com (AMZN - Free Report) , which captured about one-third of online sales on last year's Cyber Monday, remained the hottest retailer. The search marketing firm, Netelixir, projects that Amazon will capture even a bigger share, about 40%, of total online sales this holiday season.

The company is continuing its Black Friday time-limited Lightning Deals at identical prices on Cyber Monday and into Cyber Week. Some unique deals are on Amazon devices and electronics such as Amazon Echo Dot (3rd-gen) for $24 (save $25.99), Amazon Fire HD 10 tablet with Alexa Hands-Free for $100 (save $ 50), Bose QuietComfort 35 II Wireless Noise Canceling Headphones at $299 (save $50), AmazonBasics Vault Case for Nintendo Switch at $17.74 (save $2.25), ecovacs Deebot N79S at $149.99 (save $50), and Bose SoundSport Wireless In-Ear Headphones at $99 (save $50). The stock has a Zacks Rank #3 (Hold) and a VGM Style Score of B.

Brick-and-mortar chains have also become aggressive in chasing online customers. Wal-Mart (WMT - Free Report) kicked off Cyber Monday deals at 12 a.m. The retailer has rolled over some deals from Black Friday like $25 Google Home Mini. Additionally, it is offering new exciting deals such as Google Home Hub for $99 (save $50), Sony PS4 Slim 1TB with Red Dead Redemption for $199, Bose SoundSport Wireless Headphones for $99 (save $50), Apple iPad (5th Gen) for $299, iPad 2018 Wi-Fi model for $250 (save $80) and up to $200 off unlocked Galaxy S9, Note 9, S9 Plus, S8. Wal-Mart has a solid Zacks Rank #3 and a VGM Score of A each (read: Consumer ETFs to Buy as Wal-Mart Beats & Raises View).

Target (TGT - Free Report) is once again offering 15% off on all items including toys, home, electronics and clothing for Cyber Monday. It is also offering BOGO (buy one, get one) deal on clothing, shoes & accessories for Cyber Monday online purchases with exclusions apply. Meanwhile, department store Macy’s (M - Free Report) kicked in Cyber Monday deals starting Nov 25 through Nov 28 with 50% off on women's coats, up to 60% off on Polaroid bluetooth headphones, and one of the best deals on Series 3 Apple (AAPL - Free Report) watches. Target has a Zacks Rank #3 and a VGM Score of A, while Macy’s has a Zacks Rank #2 (Buy) and VGM Score of B.

Best Buy (BBY - Free Report) kicked off its Cyber Week sales on Nov 25 with heavy discounts on a slew of products including TVs, smartphones, and video games consoles. It carries a Zacks Rank #3 and has a VGM Score of B. Apart from these, several other retailers like Gap (GPS - Free Report) , J.C. Penney , and Kohl’s (KSS - Free Report) are also drawing investors’ attention with sizzling deals on most products. Each of these stocks has a Zacks Rank #3 (see: all the Consumer Discretionary ETFs here).

ETFs on a Roll

While investing in any of these stocks could reward investors throughout Cyber Week, a diverse approach in a basket form can also be a great choice. For this, investors can splurge on the e-commerce corner of the broad retail/technology industry.

Some of the attractive ETF deals are Amplify Online Retail ETF IBUY, ProShares Online Retail ETF ONLN, ProShares Decline of the Retail Store ETF EMTY, ProShares Long Online/Short Stores ETF CLIX, First Trust Dow Jones Internet Index FDN and PowerShares Nasdaq Internet Portfolio PNQI.

IBUY offers global exposure to companies that derive 70% or more revenues from online and virtual retail while ONLN is exclusively focused on retailers that principally sell online. EMTY and CLIX are designed to benefit from the changing retail landscape from physical stores to online. Meanwhile, FDN and PNQI provide exposure to the Internet space. Both FDN and PNQI have a Zacks ETF Rank #3 (read: Forget FAANGs, Invest in These Tech ETFs Instead).

Other ETFs like SPDR S&P Retail ETF (XRT - Free Report) , VanEck Vectors Retail ETF (RTH - Free Report) , S&P SmallCap Consumer Discretionary Portfolio PSCD, and Vanguard Consumer Discretionary ETF (VCR - Free Report) also make compelling picks. XRT and RTH target the retail sector, while PSCD and VCR offer broad exposure to the consumer discretionary space. PSCH has a Zacks ETF Rank #3 while others have a Zacks ETF Rank #2.

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