• Today, 9:50 AM
    • The retail sector is taking notice of a comment made by Donald Trump in his interview with The Wall Street Journal posted late on Friday.
    • "Our companies can’t compete with them [China] now because our currency is too strong. And it’s killing us," said POTUS-elect Trump.
    • A strong U.S. dollar has been a wrecking ball to the bottom line of many U.S.-based multnationals.
    • Notable gainers include Wal-Mart (WMT +2.5%), PriceSmart (PSMT +1.8%), Target (TGT +1.4%), Nike (NKE +1.4%), Kate Spade (KATE +0.9%), Michael Kors (KORS +0.8%), Fossil (FOSL +1.7%), Coach (COH +2%), Ralph Lauren (RL +3.5%), VF Corp (VFC +1.9%), Kohl's (KSS +3.2%).
    • ETFs: IYK, PEJ, UGE, SZK.
    • The S&P Retail ETF (NYSEARCA:XRT) is up over 2%.
    Today, 9:50 AM | 9 Comments
  • Thu, Jan. 5, 12:52 PM
    Thu, Jan. 5, 12:52 PM
  • Thu, Jan. 5, 10:22 AM
    • A barrage of disappointing sales reports and guidance cuts from retailers is roiling the broad sector.
    • The department store sector is ground zero for the damage. Kohl's (KSS -18.1%), Macy's (M -14.5%), Nordstrom (JWN -8.9%), Dillard's (DDS -9.3%) and J.C. Penney (JCP -7.3%) are all down sharply.
    • Chains also bleeding include Cato (CATO -9.6%), Tailored Brands (TLRD -6.3%), L Brands (LB -7.5%), Ascena Retail (ASNA -5.7%), Francesca's (FRAN -6.5%), Stein Mart (SMRT -4.7%), Stage Stores (SSI -5.8%), Urban Outiffters (URBN -4.4%), DSW (DSW -3.8%), Express (EXPR -3.8%), Citi Trends (CTRN -4.3%).
    • Apparel makers Fossil (FOSL -6.5%), G-III Apparel (GIII -6.6%), Sequential Brands Group (SQBG -5.5%), Vera Bradley (VRA -4.2%) and Coach (COH -2.5%) are also getting punished.
    • If there's one warning to encapsulate the retail weakness it came from L Brands which cited an alarming drop in merchandise margins. It's hard to believe that Amazon (NASDAQ:AMZN) didn't have something to do with that development. By the way, Amazon is up 2.06% on the day.
    Thu, Jan. 5, 10:22 AM | 59 Comments
  • Thu, Jan. 5, 9:12 AM
    Thu, Jan. 5, 9:12 AM
  • Wed, Jan. 4, 5:39 PM
    • Top gainers, as of 5.25 p.m.: SGYP +2.8%. ACHC +2.7%. HLT +1.7%. FSC +1.1%. UAE +1.0%.
    • Top losers, as of 5.25p.m.: KSS -15.0%. M -9.7%. JWN -5.4%. JCP -4.0%. DDS -3.9%.
    Wed, Jan. 4, 5:39 PM | 14 Comments
  • Wed, Jan. 4, 5:06 PM
    • Shares of traditional department stores tumble after-hours as Macy's (NYSE:M) and Kohl's (NYSE:KSS) cut earnings estimates due to weak holiday sales (I, II); Macy's also added details on its previous announcement to close 100 stores, saying the moves will result in 10K job cuts and a $575M reduction in 2017 sales.
    • The news causes a ripple effect across the sector: JWN -5.9%, JCP -4.8%, DDS -3.4%, SHLD -2.5%, TGT -1.8%, ROST -1.5% AH.
    • Apparel and accessory companies with significant presences in big box retail also are lower: KORS -2.8%, COH -2.6%, KATE -1.1% AH.
    • ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, RCD, PMR
    Wed, Jan. 4, 5:06 PM | 56 Comments
  • Wed, Jan. 4, 4:48 PM
    • Kohl’s (NYSE:KSS) -13.2% AH after cutting FY 2017 earnings guidance below Wall Street expectations, after Q4 sales came in worse than expected.
    • KSS now sees EPS of $3.60-$3.65 from $3.80-$4.00 previously and below $3.93 analyst consensus estimate, as comparable sales fell 2.1% Y/Y in the fiscal months of November and December 2016 combined.
    • Total sales for the two months tumbled 2.7%, with the company citing lower than expected gross margins due to the mix and timing of the sales and the competitive promotional environment.
    • KSS says sales were volatile throughout the holiday season, with strong sales on Black Friday and during the week before Christmas offset by softness in early November and December.
    Wed, Jan. 4, 4:48 PM | 13 Comments
  • Wed, Jan. 4, 11:56 AM
    • December monthly performance was: +1.5%
    • AUM of $2.44B
    • 52-week performance vs. the S&P 500 is: +7%
    • $0.33 in dividends were paid in December
    • Top 10 Holdings as of 11/30/2016: ONEOK Inc (OKE): 3.0879%, Mattel Inc (MAT): 1.37485%, CenterPoint Energy Inc (CNP): 1.34938%, Coach Inc (COH): 0.99394%, Macquarie Infrastructure Corp (MIC): 0.98509%, Microchip Technology Inc (MCHP): 0.98384%, Helmerich & Payne Inc (HP): 0.96654%, Kohl's Corp (KSS): 0.90219%, Frontier Communications Corp Class B (FTR): 0.86794%, SCANA Corp (SCG): 0.84691%
    Wed, Jan. 4, 11:56 AM
  • Dec. 16, 2016, 1:06 PM
    • The department store sector is getting roughed up after a pair of analyst notes paint a gloomy picture.
    • JPMorgan is out with a harsh assessment on Nordstrom (JWN -8.2%)  (Underweight/$48 PT) and Evercore ISI warns on Trump-led border adjustment taxes for materials sourced outside the U.S.
    • J.C. Penney (JCP -5.3%), Kohl's (KSS -5.1%), Macy's (M -4.9%) and Dillard's (DDS -1.7%) are all lower.
    • Previously: Nordstrom lower after JPMorgan loses faith (Dec. 16)
    Dec. 16, 2016, 1:06 PM | 36 Comments
  • Dec. 14, 2016, 12:04 PM
    • Retail transactions with a discount as part of the sales price increased 79% Y/Y, according to tracking by DynamicAction.
    • Separate tracking by Noumra Instinet showed 19 of 21 retailers discounted more this year during the first weekend of December, with Ulta Salon (NASDAQ:ULTA) and Athleta (NYSE:GPS) the two expections. Higher promotional activity was observed at Urban Outfitters (NASDAQ:URBN), Michael Kors (NYSE:KORS) and Coach (NYSE:COH).
    • The poor read on discounting cuts into the argument that the tighter inventory levels in retail would help pricing. Kohl's (NYSE:KSS), Nordstrom (NYSE:JWN) and Wal-Mart all increased sales at a faster clip than inventory piled up in Q3.
    • ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, RCD, PMR, CNDF, FTXD, JHMC.
    Dec. 14, 2016, 12:04 PM | 2 Comments
  • Dec. 14, 2016, 9:01 AM
    • Retail sales rose 3.8% on a year-over-year comparison.
    • A 12% increase in nonstore retailer sales and 6% rise in sales churned up by health and personal care stores (ULTA, SBH) , helped to offset the 6% drop in department store sales (KSS, JCP, [[DDS], M, JWN) and 4% tailoff in electronics and appliance store (BBY, HGG, CONN) sales.
    • Price deflation cut into grocery store (KR, SVU, IMKTA) sales growth. The category was up 0.1% M/M and 2.6% Y/Y.
    • Previously: Retail sales light for November (Dec. 14)
    Dec. 14, 2016, 9:01 AM | 6 Comments
  • Nov. 30, 2016, 3:21 PM
    • Data from comScore indicates that Kohl's (KSS -0.4%) ranked 4th in Cyber Monday website traffic.
    • The department store fell behind heavyweights Amazon, eBay and Wal-Mart -- while finishing just ahead of Target.
    • Source: Press Release
    Nov. 30, 2016, 3:21 PM | 6 Comments
  • Nov. 29, 2016, 9:20 AM
    • The latest read from Redbook on retail store sales indicates that sales are up 1.2% Y/Y through the first 26 days of the month. Redbook expects a 1.4% gain for the month.
    • Department stores reported strength in gift merchandise, including small appliances, accessories and cold weather apparel. The level of discounting in the sector will have a large impact on how Q4 earnings play out.
    • Related stocks: DDS, M, SSI, BONT, SHLD, JCP, KSS, JWN.
    • Previously: Redbook Chain Store Sales: +2.2% (Nov. 29)
    Nov. 29, 2016, 9:20 AM | 17 Comments
  • Nov. 15, 2016, 10:56 AM
    • Kohl's (KSS -0.8%) began selling the Apple Watch today at 400 stores and online.
    • The company has sizable Apple stands in the participating stores amid other active and wellness products.
    • Kohl's has a broader Apple presence than many of its department store rivals, including Macy's which only sells the Apple Watch at 180 stores.
    • Kohl's Apple Watch page
    Nov. 15, 2016, 10:56 AM
  • Nov. 14, 2016, 10:33 AM
    • Department store stocks are rallying right along with other mall names on a boost in confidence from investors and analysts that consumer spending will perk up and GOP tax policy will help lift profits across the sector.
    • Sears Holdings (SHLD +4.3%), J.C. Penney (JCP +3.8%), Kohl's (KSS +5.1%), Bon-Ton Stores (BONT +6.7%), Nordstrom (JWN +5.7%) and Dillard's (DDS +4.8%) are all solidly higher.
    • An interesting case is Macy's (M +5.2%) which drew the ire and Twitter hostility from Donald Trump during the primaries. Shares of Macy's are up 18% since the election as investors assume that the Trump-Macy's feud is a non-factor.
    • Previously: Vibrant rally for clothing and footwear stocks (Nov. 14)
    • Previously: Investors see upside with apparel store stocks (Nov. 14)
    Nov. 14, 2016, 10:33 AM | 7 Comments
  • Nov. 14, 2016, 8:00 AM
    • Barron's points to a handful of companies which could benefit significantly from a lower corporate tax rate in the future as a result of the GOP election sweep last week.
    • Altria Group (NYSE:MO), CSX (NYSE:CSX), Dollar General (NYSE:DG), Kohl's (NYSE:KSS) and CVS Health (NYSE:CVS) all paid out effective tax rates of over 36% during the last five years.
    Nov. 14, 2016, 8:00 AM | 42 Comments