Black Friday sales reflect prolonged supply chain issues and reduced foot traffic due to concerns about the newly identified variant of the Omicron coronavirus. Therefore, it may be best to avoid retail stocks with weak finances — Gap (GPS) and Nordstrom (NYSE :). Black Friday sales increased, but reflect supply chain challenges. According to data from Adobe (NASDAQ :) Analytics, customers spent about $ 8.9 billion online on Black Friday. This is slightly less than spending in 2020.
Black Friday traffic at retail stores fell 28.3% from 2019 levels due to the popularity of online purchases and shoppers’ spending on vacations throughout the season, according to Sensormatic Solutions data. In addition, a newly identified variant of the Omicron coronavirus has issued a global alert, with Black Friday stores selling the lowest levels of clearance products in five years.
Given this background, The Gap, Inc. is a fundamentally weak retail stock. (GPS) and Nordstrom, Inc. (JWN) is best avoided for now.
Fusion media Alternatively, anyone involved in Fusion Media will not be liable for any loss or damage resulting from reliance on the data, quotes, charts, trading signals and other information contained on this website. Be fully informed about the risks and costs associated with financial market transactions. This is one of the most risky forms of investment possible.
Two retail stocks to avoid after Black Friday traffic is disappointed by StockNews
https://www.investing.com/news/stock-market-news/2-retail-stocks-to-avoid-after-black-friday-traffic-disappoints-2695072 Two retail stocks to avoid after Black Friday traffic is disappointed by StockNews