What to do with these 3 ASX 200 retail shares after strong price runs: experts

These ASX 200 retail shares have risen by 40% or more in just six months. Is it time to sell?

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ASX 200 retail shares are outperforming today, with the S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) up 0.46%.

Meanwhile, the benchmark S&P/ASX 200 Index (ASX: XJO) is 0.12% higher.

Tailwinds for ASX 200 retail shares today include falling interest rates, a retail sales surge and rebounding household spending.

The following three retail stocks have had a great run over the past six months, with 40% or more price growth each.

Should you take profits now? Let's find out the experts' views.

3 ASX 200 retail shares up 40% in six months

Temple & Webster Group (ASX: TPW

The Temple & Webster share price is currently $24.50, down 0.3% for the day.

Temple & Webster hit a new record of $29.06 per share on 14 August after the company reported a 500% profit explosion for FY25.

Temple & Webster shares have delivered outstanding growth, rising 40% over the past six months.

In FY25, Temple & Webster was the No. 1 retail share for price growth, up 127%.

Peter Day from Sequoia Wealth Management reckons there's more room for this ASX 200 retail share to run.

On The Bull this week, Day explained his buy rating:

TPW's product offering and range is clearly resonating well with shoppers, as the company generated a high level of growth despite a tight economic environment.

Its share of the furniture and homewares market is increasing, which is likely to deliver outsized growth over the medium term.

This week, we reported that CEO and managing director Mark Coulter has just sold $36.4 million in Temple & Webster shares. Here's why.

Eagers Automotive Ltd (ASX: APE)

Eagers Automotive shares are currently $22.32, up 1.4% for the day and up 49% over the past six months.

This ASX 200 retail share reached a record high of $22.67 this month.

Eagers Automotive is releasing its 1H FY25 report tomorrow.

Arthur Garipoli from Seneca Financial Solutions says it's time to sell Eagers Automotive shares.

Garipoli explains (courtesy The Bull):

APE's performance has been strong due to demand for electric vehicles. The company is well managed.

However, the company's price/earnings ratio is trading well above its long term average, so investors may want to consider locking in some gains.

Nick Scali Ltd (ASX: NCK)

The Nick Scali share price is currently $23.64, down 1.5% for the day and up 40% over the past six months.

The Nick Scali share price reached a fresh record high of $24.16 earlier today.

Tony Locantro from Alto Capital has a sell rating on Nick Scali shares.

He's concerned that economic uncertainty may hurt this ASX 200 retail share, and he's also concerned by the high valuation.

Locantro comments:

At these levels, it may be a good time to pocket some profits given the potential for retail sector headwinds in Australia's high cost of living economy.

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Temple & Webster Group. The Motley Fool Australia has positions in and has recommended Eagers Automotive Ltd. The Motley Fool Australia has recommended Nick Scali and Temple & Webster Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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