Amazon.com Inc (NASDAQ:AMZN) will likely be the big winner from this year’s earlier than usual Prime Days shopping event that takes place June 23 through June 26. In perhaps a surprise, a report names other retailers as the potential names to watch as beneficiaries.
6 Retail Stocks to Watch
A report from Placer.ai says that six competing mostly physical retailers could be the names to watch during and after Prime Day, given a rise in physical store visits.
The report names Costco (NASDAQ:COST), Target (NYSE:TGT), Best Buy (NYSE:BBY), Walmart (NASDAQ:WMT), Home Depot (NYSE:HD) and Lowe’s (NYSE:LOW).
While macroeconomic concerns remain, the report says these six retailers "could reap benefits" from Prime Day.
The thesis revolves around retailers seeing strong physical visit growth and also hosting their own promotional events to compete with Prime Days.
"Consumer sentiment remains under pressure ahead of the early summer promotional events, but foot traffic data suggests that shoppers have not materially pulled back from physical stores," the report says.
Data shows that offline retail foot traffic was up 1.2% year-over-year in April and up 0.3% year-over-year in May.
The Winners
Of the six retailers named in the report, Placer.ai data shows strong visits growth for Target and Costco on a weekly basis over the last several months.
Walmart and Best Buy are next with mixed results and mostly growth.
Rounding out the list are Home Depot and Lowe’s, which have "more volatile foot traffic," according to the report.
Placer.ai says investors and consumers should watch to see which retailers roll out competing Amazon Prime Day offers in the coming weeks, which could suggest they are struggling more than others.
"Retailers already generating traffic momentum appear well positioned to capitalize on the season, while those facing softer visitation trends will be looking to promotions to reaccelerate growth."
Photo by amesteohart via Shutterstock
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