Just like in the stock market, there are variables that determine which comic books will make a good investment. Why do some stocks take a sharp rise and then fall? Why are some comics worth a dollar and some worth thousands of dollars?
Careful Preservation of Comics
A publisher has a set number of books to run off at time of printing. How many of these comic books will stand the test of time? People buy them, read them and toss them aside. Some people will store comics in a plastic bag with a piece of cardboard backing in order to prevent bending. The safe keeping of these books for several years could bring forth a profit. Condition of the comic and the number of books remaining in circulation are important factors.
During the first five years of a comic’s existence about 50% get damaged or destroyed. Now if that comic makes it to a 10 year existence, about 20% may be destroyed with damage during moving or accidents in your home such as flooding. After 10 years, that comic most likely has risen by a few dollars.
The longer a comic is in existence, the greater the chance of getting destroyed. In turn this reduces the number of available copies.
Supply and Demand in the Comic Market
Here is an example of an amazing investment. In 1970, a person could have purchased a copy of Action comics Issue #1 for around $300.00. At that time, the comic itself had been on the market for 30 years. Today, the very same comic in mint condition (now 60 years old) will cost you half a million dollars. That is a fantastic increase in value considering the original purchase price was $0.10!
Today that comic would be close to 70 years old. The demand for the comic is still there but the supply has shrunk to almost nothing. This is true for most the early comics published by DC Comics. Most of them are valued in the high thousands dollar range. Demand is how many people are looking for that issue and because the supply has dropped, it becomes a valuable item.
Marketing of Comic Book Characters
What else can raise the price of a comic? Characters, artwork, movies and cartoons all can be variables contributing to the increase of a comic or a single issue. Superman is still by far the most popular super hero, generating millions of dollars in revenues from movies, games, books, and toys. It is most likely a good bet for investing. If other collectibles rise in price, it could stimulate the comic market as collectors see a good return on their investment.
Investor Interest in Comics
Another rise in comic prices and popularity is attributed to the growing up of baby boomers. The older they get the more spare cash they have to invest. It is also a bit of nostalgia for this age group.
Discontinued Comic Publication
Another reason for an increase in value may be due to the scarcity of publications that are no longer available in print. Some publishers will reprint their comics and others don’t.
With a little research and hard work you stand a good chance of cashing in on comics as an investment. Find out what comics are a hot seller and look around at auctions, book stores or garage sales. You may be able to snag a bargain if the seller has not done his/her research.
