|Bid||46.89 x 800|
|Ask||47.09 x 800|
|Day's Range||46.74 - 47.42|
|52 Week Range||43.33 - 75.91|
|Beta (5Y Monthly)||1.05|
|PE Ratio (TTM)||10.82|
|Earnings Date||Mar 02, 2020|
|Forward Dividend & Yield||2.68 (5.70%)|
|Ex-Dividend Date||Dec 08, 2019|
|1y Target Est||47.19|
The clock is ticking for department stores like Macy’s Inc. and J.C. Penney Co. Inc., according to Sucharita Kodali, retail analyst at Forrester.
These stocks have low price-to-earnings valuations relative to the S&P 500 that also appear likely to continue raising their dividend payouts more quickly than the broad market.
A Christmas sales miss by Target (NYSE:TGT) put coal in many corporate stockings.Source: Robert Gregory Griffeth / Shutterstock.com The company said comparable-store sales grew just 1.4% during the Christmas season, with toy sales flat and electronics down 6%. The retailer maintained its earnings guidance.Shares fell anyway, by nearly $9 or 7%. Target stock opened Jan. 17 below $117, with a market capitalization of about $59 billion.InvestorPlace - Stock Market News, Stock Advice & Trading TipsTarget wasn't the only stock traders tossed aside. Toy makers in particular were hammered, although both Hasbro (NASDAQ:HAS) and Mattel (NASDAQ:MAT) later recovered. Morgan Stanley even warned about mighty Walmart (NYSE:WMT), although not for the reason I had.Should Target shareholders panic and run for the exits? Or is this a buying opportunity? What's Going On?Shareholders have been taking profits on Target since early December, but little has changed.The company's strategy of building high-quality store brands continues to work, with rivals like Kohl's (NYSE:KSS) being downgraded. * 7 Small-Cap Stocks That Are Not Worth a Second Glance The strategy is based on the realization that just putting stuff on sale no longer works. But Target can't make iPhones or PCs. Electronics was the department that took the hardest hit, and it was the most popular category with children.Unable to throw Apple (NASDAQ:AAPL) under the bus because of the Target miss, analysts decided to toss the toy makers. They had been expecting better results after the Toys "R" Us bankruptcy, they didn't pay attention when toy makers themselves trimmed their lines and they ignored an Amazon (NASDAQ:AMZN) announcement that its toy sales were strong. What's the Problem?Many analysts gave Target a mark of "A" for its performance during the holiday season, noting that online sales were up 19%.But there is a problem. Target has become known as a soft goods retailer. People go to Target for clothes.This means there are Target brands that may not be performing, like Opalhouse, Project 62 and Room Essentials. The company's release on Christmas said its home goods, as well as toy sales, were flat. Target now has 41 such brands, in clothes, food, pet supplies and personal care. It also has 10 "exclusive brands" for which it's the only outlet, including two wine brands.There are two ways to look at this. The glass half-full crowd will say that Target has gotten women, especially high-income women, into the store. The glass half-empty crowd will complain that it's not getting enough of their money.For most consumers there are different kinds of shopping. There's clothes shopping, which is seasonal, personal and occasional. Target is doing great there. Then there's weekly shopping, the daily grind of groceries and related products, of filling out a list. This is where Target remains weak. Not all Target stores have grocery departments, and those that do have limited choices. Target's not a food store, in the way Kroger (NYSE:KR), Walmart or even Costco (NASDAQ:COST) are food stores. The Bottom Line on Target StockTarget CEO Brian Cornell is in the position of a football coach who has had a great season and now sees top assistants being poached by losing teams. An example is former chief merchandising officer Mark Tritton, hired away by Bed, Bath & Beyond (NASDAQ:BBBY).Cornell is building a new team and must develop new ideas to keep Target growing. It's not about rebuilding but reloading. Investors want to see whether Target can defend its new success against its own people, and how it will expand the beachhead it has established.With a dividend yield now over 2.2%, and a price-to-earnings ratio of 18.7, Target stock is fully priced, but its weakness makes it a good speculation for income investors seeking long-term defensive plays.Dana Blankenhorn is a financial and technology journalist. His latest book is Technology's Big Bang: Yesterday, Today and Tomorrow with Moore's Law, essays on technology available at the Amazon Kindle store. Write him at email@example.com or follow him on Twitter at @danablankenhorn. As of this writing he owned shares in AAPL, AMZN and BBBY. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The Top 5 Dow Jones Stocks to Buy for 2020 * 7 Fintech ETFs to Buy Now for Fabulous Financial Exposure * 3 Tech Stocks to Play Ahead of Earnings The post Christmas Left Too Many Toys Behind in Target's Aisles appeared first on InvestorPlace.
U.S. holiday sales rose 4.1% in 2019 from a year earlier, as steady wage and jobs growth encouraged shoppers to splurge on groceries, beverages and furniture, the National Retail Federation (NRF) said https://bit.ly/2tqKJRv on Thursday. The U.S. retail group said holiday sales, excluding automobile dealers, gasoline stations and restaurants, rose to $730.2 billion, largely above the midpoint of its forecast of 3.8% to 4.2% growth, and up from a modest 2.1% growth last year. "This was a healthy holiday season, especially compared with the decline in retail sales we saw at the end of the season in 2018," NRF Chief Economist Jack Kleinhenz said, noting that trade policy turmoil, a government shutdown and financial market volatility took a toll on the industry.
Kohl’s (NYSE: KSS) is inviting young readers and their families to spring into the newest Kohl’s Cares collection, featuring books and coordinating plush from award-winning author and illustrator Lane Smith. Storytime will take little ones on adventures across snowy tundras, through vast oceans, and into wild jungles as they venture into a world of imagination.
With earnings season in full swing, investors start to get some reports about the most recent holiday sales. We break it down to understand whats going on in the retail industry.
Target’s stock fell 7% after the retailer said it was challenged in key holiday season categories, like electronics and home.
Lululemon Athletica Inc. bucked the weak trend in the retail sector reflected in the first pre-announcements from the holiday season, reporting strong sales and raising its guidance. The yoga-pants producer said it now expects revenue to range from $1.37 billion to $1.38 billion and earnings per share to range from $2.22 to $2.25. Lululemon stock is up 4.5% for the week to date, and has soared 73% over the last year to outperform major benchmarks.
Shares of JC Penney closed below $1 recently, and if the stock continues to close below $1 for 30 days it risks being delisted by the NYSE.
Kohl’s (NYSE: KSS) announced today, in support of its overall commitment to family health and wellness, a donation of $750,000 to Hunger Task Force, ensuring a steady supply of healthy food to Milwaukee-area families. Through Kohl’s donation and the expansion of the Hunger Task Force MyPlate program – a healthy eating model based upon USDA nutrition recommendations – the nearly 50,000 Milwaukee-area residents Hunger Task Force serves monthly will be provided the right types and portions of foods to consume daily to improve their health and wellness. Additionally, Kohl’s donation will support Hunger Task Force in converting nearly 10 additional pantries in the Hunger Task Force network to MyPlate pantries, increasing the total number of MyPlate pantries to 45.
Retailers best do a better job of embracing technology in the next decade than they did in the past 10 years. Yahoo Finance speaks with Microsoft CEO Satya Nadella about the future of retail.
Boot Barn's (BOOT) preliminary results for Q3 reflect growth in earnings, sales and same-store sales. Additionally, the company posts same-store sales for the November-December period.
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There’s now more money in an exchange-traded fund that tracks online retailers than one made up of mostly bricks-and-mortar companies.
Department store chain Kohl’s Corp. posted its first decrease in sales during the holiday shopping period since 2016. The retailer said Thursday it recorded a 0.2% decrease in sales at established stores for fiscal November and December 2019 compared with the same time the year before. During the past two holiday shopping periods, Kohl’s (NYSE: KSS) saw growth in sales at stores open at least one year.
Kohl's (KSS) holiday period comps drop 0.2% year over year. The company now envisions fiscal 2019 earnings to come at the lower end of its previously guided range.
Kohl’s reported a comparable store sales decline for the holiday period, sending shares down more than 9% and sparking an other analyst downgrade.
It was not a very merry Christmas for JCPenney, Kohl's and Victoria's Secret parent L Brands. The retail stocks broadly fell Thursday.
Yahoo Finance’s Heidi Chung joins On The Move to discuss new findings which say $1 billion in gift cards go unused every year in the United States.