Retail Stocks Not Sharing Equally in Today’s Surge
ThinkstockRetailers do not appear to be headed for uniformly upbeat sales increases in December. Research firm Retail Metrics has dropped its forecast for a same-store sales increase by another 10 basis points this morning, to 1.8%. The projection at the…
Retailers do not appear to be headed for uniformly upbeat sales increases in December. Research firm Retail Metrics has dropped its forecast for a same-store sales increase by another 10 basis points this morning, to 1.8%. The projection at the beginning of December called for growth of 2.5%, with sales excluding drug stores dropping from a starting point of 4.2% to 3.5%.
The S&P 500 index is up 1.75% about half an hour before noon today, and retailers’ share prices are all over the map. Kohl’s Corp. (NYSE: KSS) is down 2.1%, Macy’s Inc. (NYSE: M) is down 1.5%, Nordstrom Inc. (NYSE: JWN) is down 0.5%, and Dillard’s Inc. (NYSE: DDS) is down 1.7%.
On the upside, J.C. Penney Co. Inc. (NYSE: JCP) is up 3.9%, The TJX Companies Inc. (NYSE: TJX) is up 0.5%, and Saks Inc. (NYSE: SKS) is up 0.9%.
Williams-Sonoma Inc. (NYSE: WSM) is up 1.2%, but teen retailers Hot Topic Inc. (NASDAQ: HOTT) and Abercrombie & Fitch Co. (NYSE: ANF) are down 1% and 1.5%, respectively.
Wal-Mart Stores Inc. (NYSE: WMT) is up 0.8% and Target Corp. (NYSE: TGT) is down 1.7%. Discount stores are not faring too well either, with Dollar General Corp. (NYSE: DG) down 1.9%, Family Dollar Stores (NYSE: FDO) down fractionally, and Big Lots Inc. (NYSE: BIG) up fractionally. Electronics retailer Best Buy Co. Inc. (NYSE: BBY) is off about 0.2%.
Retailers are expected to report December same-store sales tomorrow.
Paul Ausick
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Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.
He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.
