|Bid||41.61 x 800|
|Ask||41.62 x 1800|
|Day's Range||41.44 - 41.78|
|52 Week Range||38.10 - 52.96|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.11|
|Expense Ratio (net)||0.35%|
Some of the biggest names in retail are warning President Trump of the potential consequences over the trade war with China. Yahoo Finance's Zack Guzman, Sibile Marcellus & Heidi Chung discuss with National Taxpayers Union Senior Fellow Mattie Duppler
Retailer Crocs will cut production in China as the company tries to ease the potential impact of President Trump's tariffs. The goal will be to source about 10% of products from China by 2020. Yahoo Finance's Seana Smith, Dan Roberts, Dan Howley and Jared Blikre discuss.
What’s making small-cap retail attractive? There are a whole list of factors that have driven these stocks to levels that traditional value people and deep value people would look at. The valuations have been driven down primarily by a lack of ...
Shares of Sally Beauty Holdings Inc. rallied 0.8% in morning trading, to bounce off the previous session's near 9-year low, after Instinet analyst Simeon Siegel said it was uncertain whether Amazon.com Inc.'s launch of its Professional Beauty Store will actually trigger change. The stock had tumbled 16.8% on Monday, the second-biggest one-day drop since it went public in November 2006, to close at the lowest price since November 2010. Siegel said that while Amazon's new beauty store will carry brands including Wella Color, RUSK and OPI Professional, all which are carried on Sally Beauty's website, many of those products are already widely available online, and on Amazon. "That said, beauty has largely been outside of [Amazon's] shares grab thus far..., so a decision to make a broader push into the category shouldn't be ignored," Siegel wrote in a note to clients. Meanwhile, Ulta Beauty Inc.'s stock inched up less than 0.1%, after falling 2.6% on Monday after the Amazon news. Sally Beauty's stock has lost 27% year to date and Ulta shares have rallied 42%, while the SPDR S&P Retail ETF has gained 1.5% and the S&P 500 has climbed 17%.
Target Corp. (TGT) has become America’s most popular department store, according to a YouGov poll, illustrating the great strides the company—and it's stock—are making this year. Up more than 15%, Target is outperforming the broader market, the retail sector and rival Walmart Inc. (WMT). Riding momentum in both its e-commerce business and traditional brick-and-mortar stores, Target is this year’s top pick for MKM Partners analyst Patrick McKeever, who thinks the stock is poised to rise another 20% to hit $91, according to Barron’s.
Shares of Pier 1 Imports Inc. tumbled 22% in morning trading, enough to pace the NYSE's decliners, as they extend losses following last week's announcement of a 1-for-20 reverse stock split. The reverse split went into effect during Thursday's trading session, effectively lifting Wednesday's closing price from 68 cents to $13.60. The struggling home decor retailer said the idea behind the split was to regain compliance with the NYSE's minimum bid listing rule, in order to maintain listing. But since the split, the stock has now plunged 35%. The stock is headed for the lowest close since Jan. 4. It has plummeted 86% over the past 12 months, while the SPDR S&P Retail ETF has lost 16% and the S&P 500 has gained 7.2%.
Pier 1 Imports Inc.'s stock will reflect on Thursday a 1-for-20 reverse stock split that went into effect just after midnight. The stock closed at a pre-split price of 68 cents on Wednesday, which would translate to a split-adjusted price of $13.60. The struggling home decor retailer said late Wednesday that shareholders had approved of a reverse split, in the ranges of 1-for-5, 1-for-10 or 1-for-20, and the board of directors decided to go with 1-for-20. "The objective of the reverse stock split is to enable Pier 1 to regain compliance with the NYSE minimum share price continued listing rule and maintain its listing on the NYSE," the company said in a statement. The reverse split will reduce the number of shares outstanding to about 4.25 million from 84.99 million. The stock had tumbled 76% year to date through Wednesday, while the SPDR S&P Retail ETF has declined 16% and the S&P 500 has gained 5.8%.
Private equity firm Sycamore Partners said Wednesday it was revising down its buyout bid for Chico's FAS Inc. by 14%, saying the women's apparel retailer has declined engage in discussions despite continued poor performance. Sycamore said it would pay $3.00 for each Chico's share outstanding, down from a previous bid made last month for $3.50 a share. The stock rose 3.2% in afternoon trade, after closing Tuesday at $3.11, or the lowest level since December 2008. Since Sycamore made its previous offer on May 10, the stock has tumbled 19.5%; on June 11, Chico's beat fiscal first-quarter profit and net sales expectations, but missed on same-store sales and cut its outlook. "Engaging with us so we can perform our due diligence will create an attractive and certain alternative for your shareholders, which we believe is in their best interest given the company's deteriorating performance and share price," Sycamore Managing Director Stefan Kaluzny wrote in a letter to Chico's Chairman David Walker. Chico's stock has tumbled 62.0% over the past 12 months, while the SPDR S&P Retail ETF has lost 15.4% and the Dow Jones Industrial Average has gained 7.3%.
Shares of Coach and Kate Spade parent Tapestry Inc. said Wednesday it named Joanne Crevoiserat as its chief financial officer, effective Aug. 1. Crevoiserat was most recently Abercrombie & Fitch Co.'s chief operating officer from February 2017 to June 2019. Crevoiserat will succeed interim CFO Andrea Resnick, who held the helm after Kevin Wills departed in February 2019. "As we continue to implement our portfolio strategy, I am confident that Joanne is the right leader and strategic business partner to our teams as we drive Tapestry's next chapter of growth as a global house of brands," said Chief Executive Victor Luis. Tapestry's stock, which was still inactive in premarket trading, has lost 10.2% year to date, while Abercrombie shares have tumbled 21.5%, the SPDR S&P Retail ETF has gained 3.5% and the Dow Jones Industrial Average has advanced 13.5%.
Shares of Hibbett Sports Inc. tumbled 9.3% in afternoon trading Monday, after the athletic gear retailer said it would be unable to file its 10-Q quarterly report with the Securities and Exchange Commission on time, as it needs to further review its accounting. The company in a filing late Friday said the need for further review follows the recent adoption of the Financial Accounting Standards Board's new accounting standards regarding leases. The quarterly report in question is for Hibbett's fiscal first-quarter ended May 4, in which the company reported an adjusted profit, revenue and same-store sales that beat expectations, and raised its earnings and same-store sales guidance. The company does not expect any material changes in results. The stock has still climbed 8.1% over the past three months, while the SPDR S&P Retail ETF has lost 4.8% and the Dow Jones Industrial Average has gained 1.1%.
It's no secret that Amazon (NASDAQ:AMZN) shook up the retail sector, especially the brick-and-mortar boxes. That created a global trend to shift most shopping transactions online. This is not a fad and it is still in its infancy stage so it won't reverse anytime soon. All retail companies are either already present online or scrambling to get there, so the acceleration is exponential. There are a few winners but most are struggling, Most brick-and-mortar stores continue to suffer even after a decade of the AMZN shock. Some have perished along the way, and many outcomes are still in limbo.Source: Mike Mozart via Flickr (Modified)But there are clear winners like Target (NYSE:TGT), Costco (NASDAQ:COST) and Walmart (NYSE:WMT) who are still thriving. Today's write-up is to share an upside opportunity that could take Target stock to $120 per share.Year-to-date, Target stock is up 32%, which is at least 17% better than WMT and AMZN and almost double that of Costco. The SPDR S&P Retail ETF (NYSEARCA:XRT) is merely up 2% for the same period. Macy's (NYSE:M) and Kohl's (NYSE:KSS) are down 25% in 2019.InvestorPlace - Stock Market News, Stock Advice & Trading TipsClearly, Wall Street is in favor of Target's prospects. However, the next few upticks won't be easy as it is headed into resistance.Last year ended badly for stocks. The disaster started in October and TGT stock, like the rest of them, fell off a cliff on Oct. 2, but it fought hard a month before finishing the 33% correction from September top to December bottom. But since then, TGT rebounded hard and rallied 45% to recover the entire correction. * 7 Top-Rated Biotech Stocks to Invest In Today When a stock recovers from a massive accident and reaches the ledge from which it fell, usually it encounters selling. Investors who got stuck long TGT close to $90 will want out. Besides pivot zones, this usually creates congestion in price action, which translates into resistance. So, TGT will need time and a few pushes to breach through the October accident scene.The TGT rally was not sector-wide as only the stars have bounced well. The XRT, M, KSS and JC Penny (NYSE:JCP) did not recover. So clearly investor sentiment still favors owning TGT, WMT or COST in retail.This is not a coincidence since they have all used thin margins as a power pitch for a long time, even before Amazon. So this made it a fair fight among the four. WMT and COST compete the hardest in that area, but Target lies somewhere in the in the middle.Even though its stock is up more than the other three winners it is still the cheapest of them as well. TGT has a price-to-earnings ratio of 16, which is half that of WMT and COST and five times cheaper than Amazon.So why is Target the stock to buy? It's doing things right and it's still cheap. It's just a matter of picking the right entry point.Since it's coming into resistance, those who are looking to own Target shares for the long term can start with a partial position now thereby leaving room to build it up in the next few weeks.More active traders can chase the break out above the highs. TGT stock will attract buyers above $89.20 but then more at $90.50. It is important to note that it could already be in a breakout targeting $97 per share. Crossing the all-time high could raise the target to $120 per share. The bulls have been setting higher lows attacking necklines. They already crossed the one near $83 and the all-time high is the next. How to Approach Target Stock NowFundamentally, Target management found a few niches in technology and fashion and they have avoided many of the typical retail pitfalls. They've always been a bargain play but with style and they continue to build upon those tools. They've even skirted a few headlines in the past few years, so this team is competent enough to get the job done.I can say the same for Walmart and COST, but they are both too expensive right now from my taste. Wall Street is giving them too much love so they are vulnerable to negative headlines. Conversely, TGT has less froth to shed on bad news. Yes, it's more expensive than say Macy's, but for good reason -- cheaper is not always better.Critics say that Wall Street is too flippant in the face of many concerns. But this time, unlike like last year, the Federal Reserve are no longer raising rates, in fact consensus is that they are going to cut rates maybe as early as this week. So they will prop up stocks if they need to, even though we have full employment and a strong retail environment. * The 10 Best Index Funds to Buy and Hold This is pretty close to Utopia, where good and bad economic news are good for stocks. This is why the bears are unable to maintain selling pressure on the indices too long, unlike they did last fall. The buy-the-dip-gang is in full control … for now.Case in point, sellers tried to break the Target stock rally in April but they failed. Buyers successfully defended it and finished the rally job.In summary, there are few winners in the retail sector and among them TGT stock is most interesting now. But since we are still in the middle of a whirlwind of geopolitical headlines, it's best to start with a partial position thereby leaving room to add some more ever time. After all the equity markets are near all-time highs so they are vulnerable to corrections.Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. Join his live chat room free here. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * The 7 Best Tech Stocks to Buy for the Second Half of 2019 * 7 Top-Rated Biotech Stocks to Invest In Today * 4 Semiconductor Stocks to Sell Compare Brokers The post Target Stock Is Still One of the Best Retail Plays appeared first on InvestorPlace.
Despite the capital markets getting racked by trade wars in May, retail sales grew 0.5 percent and data was revised higher in April to 0.3 percent, according to the Commerce Department. Economists polled by data company Reuters were forecasting a 0.6% in May, but compared to the previous time last year, retail sales actually increased 3.2 percent. ETF plays in the retail sector include the SPDR S&P Retail ETF (XRT).
On June 14, the U.S. Census Bureau announced the advance estimates for US retail and food services sales in May. According to the data, consumer spending increased. Did the economy breathe a sigh of relief?
Target (NYSE:TGT) stock has been red-hot in 2019 for one very simple reason: the big-box retailer is on fire. Over the past several months, TGT has fired off quarter after quarter off hugely positive comparable sales growth, second-to-none digital sales growth, profit-margin stabilization, and strong profit growth. As shown by the struggles of Nordstrom (NYSE:JWN), Macy's (NYSE:M), and J.C. Penney (NYSE:JCP), TGT has achieved all of those milestones all against the backdrop of a shaky retail environment.I Source: Mike Mozart via Flickr (Modified)Investors have celebrated Target's resilience and strength. That's why Target stock is up more than 30% this year. As for the rest of the retail sector, the SPDR S&P Retail ETF (NYSE:XRT) is up just 2% in 2019.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * The 7 Best Tech Stocks to Buy for the Second Half of 2019 This outperformance by Target stock will continue. That's because TGT has found a winning strategy that boils down to transforming into a low-cost, all-in-one, omnichannel retailer. There are only three other retailers of similar size that can compete with TGT in this low-cost, all-in-one, omnichannel game. Their names are Amazon (NASDAQ:AMZN), Walmart (NYSE:WMT), and Costco (NASDAQ:COST). In contrast to the other names in that group, Target has carved out a niche for itself by providing a higher-quality, physical-first shopping experience.So TGT has not just found a winning strategy in the retail sector, but it has also created a sustainable niche for itself. That means Target will remain red hot for the foreseeable future, so Target stock will continue to grind higher. Target Has Found a Winning StrategyFor a while, TGT was considered a left-for-dead retailer that would be gobbled up the e-commerce wave. But, over the past several years, two things have happened.Specifically, it became obvious that omnichannel, not e-commerce, is the future of retail, and Target's innovations enabled it to to become a second-to-none omnichannel retailer.On the first point, e-commerce is certainly where all the growth is happening in the retail world. But it's not entirely cannibalizing the physical channel. Consumers still like to go shop in stores, whether to try things on, see things first-hand, or simply relish in the physical shopping experience, or combinations of those. That's why e-commerce still represents just 10% of total retail sales, and why e-commerce growth rates are already slowing.Thus, the future of retail is not just online. It's a mix of physical and digital.As for the second point, the vibrancy of omnichannel naturally benefits large physical retailers because it costs significantly more money to build a physical store presence than to build an online one. TGT realized the advantage its large network of stores gave it, and it has run with its edge. The company has innovated left and right, rolling out things like buy-online, pick-up-in-store; same-day delivery; and automated checkouts. All of these things have helped Target become a low-cost, omnichannel retail giant.Importantly, TGT is different than its peers in the low cost, omnichannel game. Target offers a much higher quality shopping experience than Walmart, it doesn't require a membership like Costco, and it depends more on its physical stores than e-commerce, unlike Amazon. Target Stock Can Rise FurtherTGT's comparable sales growth has been 3%-plus for five straight quarters now, and roughly 5%-plus for four straight quarters. Its traffic growth has been 4%-plus for four straight quarters. TGT's digital- sales growth has run north of 30% for four straight quarters and north of 25% for five straight quarters. Its margins, which used to be under immense pressure, are starting to stabilize.Target's winning and defensible strategy has produced very strong numbers for the retailer.The company's growth will naturally slow over the next several years as its comparisons get harder and its omnichannel growth initiatives become less powerful. But its growth should remain healthy, as Target has proven that it can and will remain an important part of the U.S. retail world.As a result, 1%-3% comparable sales and revenue growth over the next several years seems doable. Its gross margins should stabilize during that stretch, as less steep discounts are offset by higher fulfillment costs. Its operating-spending rate should drop as it utilizes more automation and cuts some labor expenses. Target should report low-single-percentage-digit revenue growth and mid-to -high-single-digit-percentage profit growth over the next several years.I realistically think $8.50 is achievable by fiscal 2025. Based on a forward multiple of 16, which is average for the market, that implies a fiscal 2024 price target for Target stock of $136. Discounted by 7% per year (rather than 10%, because of the 3% yield of Target stock), that equates to a 2019 price target north of $95. The Bottom Line on TGT StockTGT is a winning retailer that has proven its staying power in the stable-growth, omnichannel retail world. As a result, it should be a slow and steady revenue and profit grower over the next several years. That slow and steady profit growth should keep TGT stock on a winning path, as long as the valuation of Target stock continues to remain in check.As of this writing, Luke Lango was long TGT, JWN, AMZN, and WMT. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 * 7 Value Stocks That Are Flying Under the Radar * 6 Mouth-Watering Fast Food Stocks for Growth Investors Compare Brokers The post Why Red-Hot Target Stock Can Rise Further appeared first on InvestorPlace.
The Amplify Online Retail ETF (NASDAQ: IBUY ), the first exchange traded fund dedicated to the e-commerce/online retail theme, has earned a five-star rating from Morningstar, the highest rating the research ...
Shares of Abercrombie & Fitch Co. rallied 2.3% in premarket trading Friday, after the apparel retailer announced a new stock repurchase program representing more than 10% of the shares outstanding. The company said it can now buy back up to 7.6 million shares, which at Thursday's closing price of $15.35 would be valued at $116.7 million. Based on about 65.7 million shares outstanding as of June 7, the company could buy back up to 11.6% of the total. "This new share repurchase program reflects our ongoing confidence in our long-term strategy," said Chief Executive Fran Horowitz. The stock, which had closed at a 19-month low on Wednesday, has tumbled 42% over the past three months, while the SPDR S&P Retail ETF has slipped 5.5% and the S&P 500 has gained 3.0%.
Big box retailer Target (NYSE:TGT) easily represents one of the surprising bulls of the year so far. Since January's opening price, Target stock has gained slightly over 38%. It's a similar story with Walmart (NYSE:WMT), which is up 20% year-to-date.Source: Mike Mozart via Flickr (Modified)However, the trajectory for TGT stock has been anything but linear, and that's also no surprise. Escalating tensions between the U.S. and China -- and the resultant trade war -- have clouded prospects for the broader retail segment. For instance, the benchmark exchange-traded fund SPDR S&P Retail ETF (NYSEARCA:XRT) is up less than 4% YTD.Moreover, last month, TGT absorbed significant volatility before streaking forward to its current lofty place. Naturally, the question on most investors' minds is where will Target stock head next?InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Stocks to Buy for the Coming Recession As with most tradable assets in this current environment, it's a tricky answer. Employee Benefits and Planned Raises Bring Questions for Target StockJust recently, TGT management dropped what I considered to be a bombshell: Target employees will receive expanded paid family leave and childcare benefits, as well as better elderly care options. This potentially impacts hundreds of thousands of workers across the U.S.That's because Target's plan is very comprehensive. It includes both hourly and salaried positions, which cover both part-time and full-time employees.Better yet, for those looking to wear those red vests, Target currently offers a baseline salary of $13 per hour. Management intends to drive that up to $15 by the end of 2020.On one hand, the big-box retailer should be commended for taking a leadership role in holistic employee compensation. Even Ivanka Trump, who probably isn't the most popular person right now, champions child-care benefits. But what does that mean for TGT stock?This is where the fluff hits the smelly stuff. While it's great to advocate "feel good" causes, someone has to pay for them. In this case, it's the stakeholders of Target stock.And I'm not sure if they'll really want to go for extending these benefits, despite the obvious PR victory. Here's the reality: over the past few years, net margins have been flat to declining. Only now are they starting to pick that back up. But that data came before the trade war mess.Take aside the trade war for a minute. As a big-box retailer, margins are usually tight. Because Target has moved into low-margin segments like groceries, this metric is even more significant for TGT stock. Significantly enhancing the scope of benefits and salaries isn't what you want to see as an investor. Curious Decision Could Erode Enthusiasm for TGT StockOf course, valid arguments exist for raising employee salaries and other benefits. Among them, stress mitigation is a huge one.Both mentally and physically, most American workers are stressed out. They have demanding jobs in demanding industries. For those with families, the real work begins after they've clocked out of the office. Thus, the theory goes that if you de-stress your workers, you'll increase their productivity, which in turn benefits the business. * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 Naturally, the best ways to de-stress your workers is through pay raises or financially meaningful benefits. And that's the narrative TGT management would push if you're considering Target stock. Moreover, the labor market has tightened considerably over the years. Simply put, retailers are fighting for the best talent.I understand these arguments. However, I don't find them compelling for Target stock. Primarily, this is because most Target jobs are transient by default: you are not supposed to make a career out of pushing boxes around.Therefore, I question whether the pros outweigh the cons here for TGT stock. Sure, it's great to provide raises and additional benefits. But even at $15 per hour, that pay is nowhere near enough in most metropolitan areas to survive independently.What I'm saying is that eventually, most Target workers will leave to greener pastures anyways. Therefore, it's better to save the margins for those who own Target stock. Those are the folks you don't want leaving.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy for the Coming Recession * 10 Smart Dividend Stocks for the Rest of the Year * 5 Tech Stocks That Are Far Too Risky Right Now Compare Brokers The post Tugging at Heartstrings Wonat Benefit Target Stock appeared first on InvestorPlace.
Target Corp. said Thursday it was raising its quarterly dividend by 3.1%, to 66 cents a share from 64 cents. The new dividend will be payable Sept. 10 to shareholders of record on Aug. 21. Based on Wednesday's stock closing price of $88.26, the new annual dividend rate implies a dividend yield of 2.99%, compared with the dividend yield on rival Walmart Inc.'s stock of 1.95% and the implied yield for the Dow Jones Industrial Average of 2.08%. Target said 2019 would be the 48th consecutive year that the dividend was increased. Target's stock has gained 13.1% over the past 12 months, while Walmart shares have rallied 29.4%, the SPDR S&P Retail ETF has lost 16.0% and the Dow has edged up 3.2%.
Shares of Chico's FAS Inc. slumped 6.2% toward a 10 1/2-year low in premarket trade Tuesday, after the women's apparel retailer reported fiscal first-quarter profit and net sales that topped expectations, but missed on same-store sales and lowered its full-year guidance. Net income for the quarter to May 4 fell to $2.03 million, or 2 cents a share, from $29.0 million, or 23 cents a share, in the year-ago period. Excluding non-recurring items, adjusted earnings per share came to 5 cents, above the FactSet consensus of 3 cents. Net sales fell 7.8% to $517.7 million, just above the FactSet consensus of $517.6 million, while the 7.0% decline in same-store sales missed expectations of a 6.5% decline. Gross margin fell to 36.9% of net sales from 40.4%. For fiscal 2019, the company cut its outlook for net sales and same-store sales to a decline in the "low-to-mid-single-digit" percentage range from a "low-single-digit" decline, and lowered its gross margin as a percent of sales guidance to be down 50 to 100 basis points (0.50 to 1.00 percentage points) from flat to down 50 basis points. The stock, on track to open at the lowest price seen during regular session hours since December 2008, has lost 33% over the past three months, while the SPDR S&P Retail ETF has fallen 8.2% and the S&P 500 has gained 3.7%.
Why Stanley Druckenmiller Is Concerned about US Economy(Continued from Prior Part)Druckenmiller’s favorite predictorsStanley Druckenmiller tracks a lot of indicators to gauge the health of the economy. While speaking at the Economic Club on June
In an economic climate where the retail sector has constantly been dragged through the mud, many investors have opted to steer away from the sector.
Consumer confidence, a primary indicator of U.S. economic health and one widely watched by equity market participants, remains healthy. While consumer confidence looks sturdy, some market observers remain concerned the health of the U.S. consumer could surprise to the downside, putting some brick-and-mortar retailers at risk. The ProShares Decline of the Retail Store ETF (NYSE: EMTY) is an exchange traded fund to consider should consumer confidence become shaken.