Nordstrom’s Off-Price Rack Business Delivers Again in Fiscal 2Q16
Nordstrom’s off-price Rack business continued to display strength in fiscal 2Q16 ended July 30, 2016.
Retail & Wholesale
Market Realist tracks the latest news on stock performance, acquisitions, and earnings in the retail and wholesale sectors.
What Caused a Decline in Macy’s 2Q16 Margins?
Macy’s (M) gross margin remained flat in fiscal 2Q16 ended July 30, 2016. However, the company’s operating margin declined on a year-over-year basis.
Stock Market Performance and Valuations Summary: SFM versus Peers
Of the 18 analysts who have rated SFM, 12 have recommended a “buy,” and 6 have recommended a “hold.” None of the analysts have a “sell” rating on the stock.
2Q16 Earnings Overview: SFM Beats on Earnings, Misses on Revenue
Sprouts Farmers Market (SFM) reported results for fiscal 2Q16 on August 4, 2016. The value-oriented organic and natural food retailer reported a 14% year-over-year increase in adjusted diluted EPS, beating the consensus by 1 cent.
Why Macy’s Earnings Are Expected to Fall in 2Q16
Macy’s adjusted EPS (earnings per share) fell by 28.6% on a year-over-year basis in 1Q16. Analysts expect Macy’s earnings to fall in 2Q16 also.
How Does Cabela’s Compare to Its Peers after 2Q16 Earnings?
Cabela’s (CAB) has been outperformed by its peers based on PBV (price-to-book value) ratio. However, Cabela’s has mostly outperformed its peers based on PE (price-to-earnings) and price-to-sales ratios.
Inside the Key Financials Involved in the SoftBank-ARM Deal
In the biggest YTD semiconductor acquisition of 2016, SoftBank has offered to acquire UK-based designer ARM for a cash consideration of $32 billion.
SuperValu’s Stock Market Performance: A Peer Comparison
SuperValu’s stock is currently trading at $5.36, which is 42% below its 52-week high.
Can Walmart Deliver Operating Margin Expansion amid Headwinds?
In fiscal 1Q17, Walmart’s operating margin declined by about 40 basis points to 4.6% mainly due to a rise in expenses associated with the planned wage rate increase in the Walmart US and Sam’s Club segments.
How Amazon Compares to Its Peers
In this part of the series, we’ll discuss why investors shouldn’t worry about Amazon’s (AMZN) lofty valuations compared to those of its peers.
Can Best Buy’s Margins Improve amid Challenging Conditions?
Despite lower sales, Best Buy’s gross margin improved from 23.7% in fiscal 1Q16 to 25.4% in fiscal 1Q17.
Introducing 3M Company: A Jack of All Trades
Few companies have the kind of ubiquitous presence that 3M Company (MMM) likely does in your everyday life.
Understanding Old Dominion Freight Line’s Domestic Services
Old Dominion Freight Line has 224 shipping service centers and 32 transfer points. ODFL serves nine major regions and thousands of direct points in the US.
What China Has to Do to Get in the MSCI Emerging Markets Index
There have been significant steps toward the eventual inclusion of China A shares in the MSCI Emerging Markets Index.
How Amazon Web Services Has Expanded Globally
Amazon (AMZN) currently dominates the cloud infrastructure space. AWS (Amazon Web Services) is used by more than 1 million customers.
How Do Casey’s Valuations Stack Up against Its Peers’?
After Casey’s General Stores’ double-digit earnings growth over the last three fiscal years, Wall Street expects a slowdown in its earnings per share growth.
How Amazon Has Consistently Grown Its Revenue
In the last five years, Amazon’s revenue has risen at a compound annual growth rate of 22% thanks to its flourishing e-commerce sales.
What Does a Typical Smart & Final Store Look Like?
Smart & Final stores have a smaller physical footprint than other warehouse clubs and grocery chains, but they offer a larger SKU selection.
What Key Strategies Does Smart & Final Follow?
Let’s discuss Smart & Final Stores’ (SFS) main strategies regarding pricing, private labels, expansion, distribution, and merchandising.
Best Buy Wants to Improve Sales: What’s It Got up Its Sleeve?
Best Buy plans to improve its sales through a series of initiatives across merchandising, marketing, online channels, stores, supply chain, services, and customer care.
PVH Delivered a Solid 4Q15 on Strong Calvin Klein Performance
PVH Corp. (PVH) registered a 2.1% year-over-year increase in its top line in fiscal 4Q15, which ended January 31, 2016, to $2.1 billion.
When China Sneezes, the World Catches a Cold!
China is the world’s second-largest economy. Its economy started going downhill due to sluggish global demand. This impacted its trading partners.
How Icahn Enterprises Turned Its Home Fashion Segment Around
Icahn Enterprises (IEP) conducts its Home Fashion business through its indirect wholly owned subsidiary, WestPoint Home.
Why Is Time Warner Increasing Its Focus on China?
Time Warner stated at a Deutsche Bank (DB) investor conference early last month that it expects the number of movie screens in China to increase by about 30% in the next two years.
What to Expect from Whole Foods Market in Fiscal 2016
Whole Foods Market (WFM) is likely to see a slowdown in its top line during fiscal 2016. The organic and natural foods retailer could register sales growth of 3%–5%, according to the company’s guidance.
Casey’s Strengths, Weaknesses, Opportunities, and Threats
Casey’s has a strong, differentiated, low-risk business model. In fiscal 2015, 82% of its stores were in areas with populations of fewer than 20,000 people.
Understanding SolarCity’s Business Strategy
Business expansion is crucial for companies like SolarCity, which intends to expand its presence via partnerships with homebuilders and industry leaders.
An Overview of Casey’s Business Strategies
Casey follows both organic and inorganic expansion strategies for its growth. In fiscal 2015, the company opened 45 new stores and acquired 36 stores.
A Quick Look at Casey’s Business Model
Casey’s business model focuses on opening stores in smaller towns, where the population is lower and competition is minimal.
Company Overview: An Introduction to Casey’s General Stores
Casey’s General Stores’ strong and differentiated business model has resulted in the company’s delivering total returns of 27% in the last year.
Why Did China’s GDP Grow in 1Q16?
According to the NBS (National Bureau of Statistics of China), China’s GDP grew 6.7% in 1Q16.
Why Is China Such an Important Market for Disney?
Disney’s Zootopia earned $23.5 million at the Chinese box office between February 29 and March 6, 2016, and was ranked second at the box office in China.
Estée Lauder’s Aveda Haircare Brand’s Healthy Growth in 2Q16
Estée Lauder’s (EL) haircare segment’s revenue increased 8.7% in reported terms and 14% on a constant-currency basis to $0.15 billion in fiscal 2Q16.
What’s the Valuation of The Fresh Market Deal?
The transaction value of the deal between Apollo and The Fresh Market stands at $1,334 million. Apollo is paying 7.9x the EBITDA.
What Are Analysts’ Recommendations for Alibaba?
As of March 4, 2016, Alibaba (BABA) has generated returns of -16.1% for the trailing 12 months and -15.3% in the trailing-one-month period.Macroeconomic Analysis NCEAX: Robust 4Q15 but Dismal YTD Performance
The Neuberger Berman Greater China Equity Fund – Class A (NCEAX) adopts the value-bias strategy, and its objective is to seek long-term capital return in up and down markets.
What’s the Key to The Fresh Market’s Profitability?
Compared with other food retail chains, The Fresh Market’s performance in terms of profitability has been best-in-class.
Dollar Tree: A Positive Mix of Organic and Inorganic Growth
Dollar Tree (DLTR) (XRT) (XLY) is pretty consistent for extracting organic growth from its business, seeing growth in the mid-single digits over the years.
Where Is the US Food Retail Industry Headed? A Look at Trends
The US food retail industry comprises of store formats that range from small grocery shops and convenience stores to large supermarkets and club stores.
Strategic Overview: Understanding The Fresh Market’s Strategies
The Fresh Market follows both competitive and differentiated pricing strategies.
Looking Ahead: Kroger Continues Its Aggressive Acquisition Strategy
Taking The Fresh Market (TFM) under its fold would enhance Kroger’s (KR) expansion in Florida and North Carolina, where TFM has 40 and 20 stores, respectively.
Possible Acquisition: Why Is Kroger Interested in The Fresh Market?
The Kroger Company (KR) might be seeking to acquire The Fresh Market (TFM). The Fresh Market’s (TFM) stock rose ~22% on Thursday, February 11, 2016, after the news of Kroger’s bidding hit the market.
Where Is The Fresh Market Based and Where Is It Expanding?
The Fresh Market believes that it can achieve better returns by expanding in markets within or closer to its existing markets.
How Do The Fresh Market’s Stores Compare with Those of Its Peers?
As of October 25, 2015, The Fresh Market had 180 stores across 27 states.
What Initiatives Is Whole Foods Taking to Stay Competitive?
Whole Foods has developed the 365 format in order to compete with value-based organic food retailers like Trader Joes and mainstream retailers Wal-Mart.
Upcoming Opportunities and Potential Threats for Walgreens Boots
In this part, we’ll discuss the company’s upcoming opportunities and potential threats.
An Analysis of Walgreens Boots Alliance’s Stock Returns
Walgreen Boots Alliance’s (WBA) common stock trades on the NASDAQ under the symbol “WBA.”
Comparing the Pharmacy Giants: Walgreens versus CVS Health
Walgreens Boots Alliance (WBA) and CVS Health (CVS) largely dominate the US drug store market.
Disney’s Business Segments: Expectations for Fiscal 2016
Disney’s Media Networks segment was the biggest contributor to its revenue at 44% with segment revenues of $23.3 billion in fiscal 2015.
What Are Lowe’s Opportunities and Key Threats?
The greatest opportunity for Lowe’s (LOW) perhaps lies in fully leveraging the omni-channel (XLY) model.