From Nasdaq: 2025-02-28 19:23:00

This week, retail giants like Target, Best Buy, Costco, and Macy’s are set to report earnings. Recent releases show stable consumer spending trends despite a slight pullback in confidence. Inflation has impacted spending, with consumers focusing on essentials. Target faces expectations of lower earnings and revenues due to softer demand trends.

Target and Best Buy shares have experienced fluctuations following previous quarterly releases. Best Buy is expected to show a sequential improvement in Q4 results, with demand for computers and smartphones remaining strong. Costco continues to thrive with loyal customers. Their January same-store sales data reflects positive growth trends.

The Retail sector’s Q4 earnings season has been strong, with 73.1% of retailers beating EPS estimates. However, most of the growth is attributed to Amazon. Excluding Amazon, the rest of the sector has shown modest growth. Overall, the Retail sector is experiencing headline inflationary trends, leading to decent top-line growth.

Q4 Earnings season has seen a 14.9% increase in earnings and a 5.9% rise in revenues for S&P 500 companies. 76.3% of companies beat EPS estimates, showing overall positive performance. The Earnings Big Picture shows expectations for continued growth in 2025 and 2026. The Retail sector remains a key focus for investors.

For more in-depth analysis and recommendations on retail earnings, check out the latest report from Zacks Investment Research. The report highlights 7 elite stocks with strong potential for early price pops. The Retail sector continues to offer opportunities for investors looking for growth and value in the market.



Read more at Nasdaq:: Q4 Earnings Cycle Continues: Retail Results in Focus