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Retail Stocks

In the first quarter of 2014, Retail Metrics, a retail industry research firm, found U.S. retailers missed their corporate earnings estimates by the most since the year 2000! As I have been writing, consumer spending only increases when consumer confidence is rising. Unfortunately, in the U.S. economy today,…

According to the just-released annual Wells Fargo & Company Middle Class Retirement Study, about 60% of middle-class Americans say that getting monthly bills paid is their top concern. This number stood at 52% in the 2012 study. (Source: Wells Fargo & Company, October 23, 2013.) But there are…

The great outdoors are back—big time. Among retail stocks, it was widely expected that Cabela’s Incorporated (NYSE/CAB) would report very good earnings results. But the company didn’t just announce good earnings—it hit a grand slam. Cabela’s is the world’s largest direct marketer of hunting, fishing, camping, and other…

It’s now officially the holiday shopping season after a relatively decent Good Friday and Cyber Monday. Online spending, according to the Adobe Digital Index, is estimated to reach record sales of around $2.0 billion, up 17% year-over-year. (“Cyber Monday Sales Climb to Record $2 billion,” BGR, last accessed…

Today is the big day for you shoppers! It’s Black Friday, and the retail sector is hoping you have the “shop until you drop” mentality this year. Retail heavyweights Wal-Mart Stores, Inc. (NYSE/WMT) and Target Corporation (NYSE/TGT) are two major retailers that decided to open their doors Thursday…

Want to know which stock market sector is making new record highs in this market? Retail stocks. Of course, the retail stocks that are doing great aren’t the big luxury names, but the discount retailers that are benefiting from the age of austerity. (See “Who Benefits in an…

The shares of luxury stock Coach, Inc. (NYSE/COH) got sideswiped on Tuesday after the maker of high-end designer handbags and accessories fell short on its fiscal fourth-quarter sales. The company blamed the shortfall on lower-than-expected growth at factory stores. And if not for strong sales in China, the…

In the midst of the current market correction in the price of gold bullion, a Japanese pension fund, Okayama Metal & Machinery, is going to place 1.5% of its total assets ($500 million) in gold bullion-backed exchange-traded funds (ETFs) (source: Financial Times, May 16, 2012). This is the…

In a consumer-driven economy, what retailers say about their businesses is very important. For the most part, the retail sector has been saying that business conditions are getting better. A lot of retail stocks performed very well up until the recent stock market correction and valuations are reasonable.…

With the outlook for the U.S. and global economies looking more encouraging, we have seen a corresponding upward push by oil prices on the chart. The April WTI Oil is advancing higher at above $108.00 and north of its 50-day moving average (MA) of $100.35 and 200-day MA…

For years, I’ve been a bull on gold mining stocks, but also precious metals stocks in general. Gold mining stocks and precious metals stocks did not perform very well last year (compared to recent years), but that doesn’t mean there is no value in them. Usually, when a…

Am I missing something? I can’t seem to find the U.S. economic recovery I’m reading and hearing about in the media. We all know consumer spending in the U.S. accounts for 70% of Gross Domestic Product (GDP). If the U.S. economic recovery is to gain any traction in 2012,…

Consumer spending drives gross domestic product (GDP) growth. And with Black Friday several weeks away, the market focus will be on the retail sector. As is the case each year, the next few months will be a make or break for the retail sector. In October, the key…

The fact that consumer spending has not tanked in spite of unemployment being at over nine percent and expected to stay around this level through 2012, and continued weakness in housing is encouraging. When consumers are cautious, they tend to hold back on any major purchases, such as…

I must admit the fact that consumers continue to spend despite any strong or sustained job growth and continued weakness in housing is encouraging. With consumer spending accounting for two-thirds of GDP, retail sales will eventually be stronger when the jobs and housing areas improve, albeit it will…

Consumer spending drives the economy and gross domestic product (GDP) growth, accounting for about 70% of GDP in the U.S. The retail sector has been rebounding in spite of the lack of jobs and the declining home prices. The S&P Retail Index (RLX) is trading near its 52-week…

So far, even without strong job growth and with continued weakness in housing, consumers continue to spend, which is helping to drive the economic renewal, albeit sluggishly. This is positive and clearly encouraging once the jobs and housing areas improve. The Fed realizes this. The headline Retail Sales…