2 Discount Retailers To Buy This Holiday Season
With the holiday season in full swing, it's a good time for investors to take a closer look at companies that benefit from the end-of-year surge in consumer purchases. After all, holiday sales -- transactions taking place between November and December -- represent about 20% of annual retail sales.
But just because retail sales are picking up -- recently demonstrated by record-setting Black Friday weekend purchases -- doesn't mean that all retailers are a good bet for investors this season. In fact, industry heavyweights Macy's (NYSE: M) and Kohl's (NYSE: KSS) both missed earnings estimates in the third quarter and lowered full-year guidance. On the trading day following each retailer's weak report, Macy's stock fell 10% and Kohl's stock fell 19%.
Clearly, some traditional retailers are having trouble delivering on earnings, but that doesn't mean all retail stocks are dead money.
Source Fool.com
