Seeking Alpha

Challenges abound for some U.S. retailers

  • U.S. retail is in for a challenging holiday season, according to Walter Loeb.
  • He sees the buildup of unsold inventory and new arrivals pressuring apparel sellers to become more promotional in order to clear their shelves.
  • The very early timing of Chanukah could cut typical late quarter buying momentum.
  • A seismic shift in the preferences of teens to save for electronic gadgets, instead of creating buzz over trendy fashion lines, is also working against the sector.
  • Related stocks: AEO, ANF, LTD, GPS, TLYS, BKE, URBN, GES, ARO, APP.
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