Chicago, IL – April 27, 2020 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Amazon AMZN, Alibaba BABA, J.C. Penney JCP, Macy’s M and Kohl’s KSS.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Here are highlights from Friday’s Analyst Blog: ” data-reactid=”21″>Here are highlights from Friday’s Analyst Blog:
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Pandemic Fans the Retail Apocalypse Flames” data-reactid=”22″>Pandemic Fans the Retail Apocalypse Flames
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="We are watching the ‘retail apocalypse’ unfold, as the pandemic accelerates the natural evolution of our digitalizing economy. The economy is evolving with consumption patterns, which are being driven by flexibility & convenience. These consumer values have moved the retail space online.” data-reactid=”23″>We are watching the ‘retail apocalypse’ unfold, as the pandemic accelerates the natural evolution of our digitalizing economy. The economy is evolving with consumption patterns, which are being driven by flexibility & convenience. These consumer values have moved the retail space online.
The laws of nature rule our global economy, and only those that are able to adapt to the evolving environment will survive.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="The Winners” data-reactid=”25″>The Winners
With America stuck at home, we have been relying on e-commerce and digital omnichannel solutions more than ever for our shopping needs. Retailers that have been able to encompass flexibility & convenience are thriving.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Amazon has been the driving force behind the ‘retail apocalypse’ and is an obvious winner of the evolving economy. The pandemic has given this e-commerce giant a tailwind that has propelled its share price to all-time highs. I am not recommending that you chase this rally. Considering the highly uncertain market conditions I would hold off on purchasing these shares until we see a pull back. Look for Amazon’s earnings Thursday April 30th for more clarity on outlook and performance.” data-reactid=”27″>Amazon has been the driving force behind the ‘retail apocalypse’ and is an obvious winner of the evolving economy. The pandemic has given this e-commerce giant a tailwind that has propelled its share price to all-time highs. I am not recommending that you chase this rally. Considering the highly uncertain market conditions I would hold off on purchasing these shares until we see a pull back. Look for Amazon’s earnings Thursday April 30th for more clarity on outlook and performance.
Alibaba, ‘the Amazon of East’, is my e-commerce pick for your portfolio of the future. This enterprise controls the e-com & cloud-computing market in the most populous country and soon to be the largest economy in the world, China. BABA is valued at roughly half the market cap of AMZN despite being more profitable, achieving wider margins, and having a stronger growth outlook. 14 out of 14 analysts are calling this stock a strong buy right now. I am bullish on BABA.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="The Losers” data-reactid=”29″>The Losers
This pandemic is cleaning house and uncovering feeble business models. The businesses that are failing, amid this pandemic, are those that had already been struggling.
Department stores, for example, have largely failed to adjust their business models to the shifting retail environment. Their lack of digital presence and the substantial overhead associated with oversized storefronts have been these businesses undoing.
J.C. Penney looks like it is going to be the first publicly traded retail casualty of the pandemic. The company is currently in a 30-day grace period after missing an interest payment to bondholders on April 15th.
Macy’s and Kohl’s credit ratings have been sinking deeper into junk bond territory as their risk of default grows the longer their doors are shut. Department stores are not the only victims of the retail apocalypse, as the once-bustling malls turn into ghost towns.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Take Away” data-reactid=”34″>Take Away
The retail space is shrinking as the biggest and most innovative companies drive ineffective businesses out of the marketplace. Advancing technology is the primary catalyst for the evolving retail space, and as technology continues to progress, so will consumers. The retailers that will thrive in the post-pandemic world are those that are able to quickly adapt and stay one step ahead of consumer demands.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="More Stock News: This Is Bigger than the iPhone!” data-reactid=”36″>More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don’t buy now, you may kick yourself in 2020.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Click here for the 6 trades >>” data-reactid=”39″>Click here for the 6 trades >>
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Amazon.com, Inc. (AMZN) : Free Stock Analysis Report
J. C. Penney Company, Inc. (JCP) : Free Stock Analysis Report
Macy’s, Inc. (M) : Free Stock Analysis Report
Kohl’s Corporation (KSS) : Free Stock Analysis Report
Alibaba Group Holding Limited (BABA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research” data-reactid=”50″>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Amazon.com, Inc. (AMZN) : Free Stock Analysis Report
J. C. Penney Company, Inc. (JCP) : Free Stock Analysis Report
Macy’s, Inc. (M) : Free Stock Analysis Report
Kohl’s Corporation (KSS) : Free Stock Analysis Report
Alibaba Group Holding Limited (BABA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
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