Earlier this year, more than a few people nervously considered the prospect of a stock market crash.

And yet here we are in mid-December and… FTSE100 index of leading UK shares 18% higher than at the beginning of the year. United States, S&P500 the stock market index increased similarly, by 16%.

It hasn’t been a velvety ride. We already saw a correction in the FTSE 100 in April, while from mid-February to early April, the 19% decline in the S&P 500 index was very close to the standard definition of a stock market crash (a decline of 20% or more in a tiny period of time).

However, looking at it today, this year has delivered sturdy market performance so far.

On the other hand, economic performance was mixed. The UK economy is struggling to grow overall, while the US economy also sent mixed signals throughout the year. Looking at the US economy, artificial intelligence aside, it was a arduous year in many areas of the economy.

So, as an investor, should I prepare for a stock market crash?

I’m always preparing

In my opinion the answer is yes.

But it’s not because I’m particularly afraid of having an accident soon. This is because a savvy investor can potentially profit by always being prepared for the prospect of a crash.

Sure, there are reasons to fear that the market could soon crash: among them a tender economy, skyrocketing AI stock valuations, and geopolitical uncertainty.

But there were also reasons to fear a crash in early 2025. The reality is that no one can time the market with complete certainty.

However, we know that sooner or later the stock market will crash. History has taught us this.

I think it pays to be ready to jump in and hunt for deals that may be short-lived!

Suddenly unloved – or unloved?

For example, let’s go back to April.

At some point in mid-March, shares in Game workshops (LSE: GAW) were selling for around £149 each. Within a few weeks, their price dropped to £124 each.

The FTSE 100-listed fantasy sports company sells worldwide, although its manufacturing footprint is concentrated in the UK. The decline in the share price suggests investors were concerned about the impact tariff disputes could have on profitability.

Perhaps trade disputes could hurt disposable income levels in key markets, damaging demand for fantasy action figures.

But was the 17% drop in the share price in less than a month justified?

In my view, a highly profitable company with sturdy pricing power is always likely to find a way to adapt to a novel trading environment, even if tariffs pose short-term risks to profits.

Since its April low, the Games Workshop share price has risen impressively 60%.

Investors who recognized the mismatch between the quality of the business and the share price were handsomely rewarded in just a few months.

That’s why I’m making a list of great companies I’d like to own if the next stock market crash gave me an attractive enough opportunity to buy!