Ebeling Heffernan: Buying into Black Friday
This coming Friday, Black Friday, the day after Thanksgiving, will be watched closely with analysts and investors anxious for signs consumers will be opening up their wallets. Analysts are talking it down, they are using the reduced guidance from larger retails to point to early indicators that are negative. Not something I would be in agreement on, Black Friday numbers are only reflective of US consumers spending, they are not as important as they once were, but still II am banking on them not being as bad as the Analysts are calling, in fact, I will be buying into Black Friday with an exit plan for some during what I expect to be a Christmas Rally and others making their way into the long term portfoilio.
The term Black Friday is used by US retailers to refer to the start of the holiday period when their business moves into the black, or turns a profit.
Early data on shopper traffic and anecdotal evidence will give the first snapshot of the day’s performance and a clearer picture will emerge the following week when stores report November retail sales.
Recent statements from retailers as they reported quarterly earnings have signaled Wall Street shouldn’t get too carried away with their expectations for the holiday season. Discount retailers Target Corp (TGT) and Wal-Mart (WMT) both forecast holiday quarter profit that could miss expectations.
The two rivals have already announced deep discounts for the holidays.
You must be logged in to post a comment Login
Email Alerts
RSS |