Retail Stocks On A Tear: See Who's Leading The Race
Zacks Investment Research | Jun 04, 2018 09:35PM ET
Online retail sales continue to soar, with bellwether Amazon.com, Inc.’s (NASDAQ:AMZN) market cap topping $800 billion. But, their outsized gains haven’t hampered traditional retailers much. All of retailers have been part of a broad-based rally so far this year but hardly any of them are trading near peak levels. Obviously, they have more room to run and this growth narrative is well supported by strong fundamentals.
From e-commerce and comparable sales trends to profit margins and earnings to traffic, all have improved this year. Given this bullishness, investors should double down on the hottest retail stocks now.
Amazon’s Burgeoning Retail Business
Amazon is well positioned to cash in on the next wave of online retail. The interesting part is that retail accounts for 60% of its revenues. Amazon acquired Whole Foods Market (NASDAQ:WFM) last year and is aiming to expand its fresh food offerings. At the same time, it is trying to succeed in harder-to-deliver categories like apparels through its Prime Wardrobe segment. Such efforts are paying off.
Amazon’s share price went up 1.4% on Jun 4 and finished at a record for the sixth straight session. The e-commerce giant’s market capitalization is now at $801.3 billion. Amazon is just behind Apple Inc. (NASDAQ:AAPL) , which presently has the highest market cap of $943.7 billion (read more: Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.