Hot Retail Stocks For 2015


On July 5, the Pentagon’s ground-based midcourse defense program, or GMD, failed to intercept a ballistic missile fired from the Marshall Islands. Although the launch was only a test, the July 5 failure was the latest in a string of failures since successful runs in 2008. Now, some lawmakers are blaming that failure on President Obama and his administration, because of their decision to “drastically cut funding for the GMD program,” leaving it on “life support.”


But is this critique fair? More importantly, is this latest failure actually good news for defense contractors?

Source: U.S. Navy, via Wikimedia Commons. 

A world without nukes
In 2009, among other cuts to defense, President Obama cut $1.4 billion from the Missile Defense Agency’s budget, scaled back the MDA and Boeing’s (NYSE: BA  ) Airborne Laser program, reduced interception and flight tests, and cut ground-based interceptor deployment down to 30. These cuts were in line with his campaign promise to cut back on missile defense spending and bring the United States closer to the goal of a “world without nuclear weapons.” 

Hot Retail Stocks For 2015: Lowe’s Companies Inc.(LOW)


Lowe’s Companies, Inc., together with its subsidiaries, operates as a home improvement retailer in the United States, Canada, and Mexico. The company offers a range of products for maintenance, repair, remodeling, home decorating, and property maintenance. It provides home improvement products in the categories of appliances, lumber, paint, millwork, building materials, lawn and landscape products, flooring, rough plumbing, seasonal living, tools, hardware, fashion plumbing, lighting, nursery, outdoor power equipment, cabinets and countertops, home organization, rough electrical, and home fashion, as well as boards, panel products, irrigation pipes, vinyl sidings, and ladders. The company also offers installation services through independent contractors in various product categories. Lowe’s Companies serves homeowners and renters primarily consisting of do-it-yourself customers and do-it-for-me customers; and commercial business customers, who work in the construction, rep air/remodel, commercial and residential property management, or business maintenance professions. As of August 15, 2011, it operated approximately 1,725 home improvement stores in the United States, Canada, and Mexico. The company also offers its products through electronic product catalogs and Lowes.com. Lowe’s Companies, Inc. was founded in 1952 and is based in Mooresville, North Carolina.


Advisors’ Opinion:

  • [By Ben Levisohn]

    Balter says the sale of the Cupertino location and the sublease of others should be good news for Home Depot (HD) and Lowe’s (LOW), while its decision to reduce exposure to big-screen TVs could give a small benefit to Best Buy (BBY).

  • [By Ben Levisohn]

    Goldman Sachs’ Matthew Fassler and team are feeling more bullish on consumer willingness to spend on their homes, leading them to raise their price target on Neutral-weighted Home Depot (HD) and lift Lowe’s (LOW) to Buy.

  • [By Brian Nichols]

    To explain, Restoration Hardware’s most recent quarter’s comparable sales growth can be seen below, compared to home improvement competitors Lumber Liquidators (NYSE: LL  ) , Home Depot (NYSE: HD  ) , and Lowe’s Companies (NYSE: LOW  ) . In addition to the single-quarter performance, the same period for the previous two years is also included, further illustrating the degree of growth for Restoration Hardware long term.

Hot Retail Stocks For 2015: AutoZone Inc.(AZO)

AutoZone, Inc. retails and distributes automotive replacement parts and accessories. The company?s stores offer various products for cars, sport utility vehicles, vans, and light trucks, including new and remanufactured automotive hard parts, maintenance items, accessories, and non-automotive products. Its automotive hard parts product line includes A/C compressors, batteries and accessories, belts and hoses, carburetors, chassis, clutches, CV axles, engines, fuel pumps, fuses, ignition, lighting, mufflers, starters and alternators, water pumps, radiators, and thermostats. The company?s maintenance items include antifreeze and windshield washer fluid; brake drums, rotors, shoes, and pads; chemicals, including brake and power; steering fluid, oil, and fuel additives; oil and transmission fluids; oil, air, fuel, and transmission filters; oxygen sensors; paint and accessories; refrigerant and accessories; shock absorbers and struts; spark plugs and wires; and windshield wiper s. Its discretionary product line comprises air fresheners, cell phone accessories, drinks and snacks, floor mats and seat covers, mirrors, performance products, protectants and cleaners, sealants and adhesives, steering wheel covers, stereos and radios, tools, and wash and wax products. The company also offers commercial sales program that provides the delivery of parts and other products to local, regional, and national repair garages, dealers, service stations, and public sector accounts. In addition, it sells the ALLDATA brand automotive diagnostic and repair software through the Website, alldata.com; and automotive hard parts, maintenance items, accessories, and non-automotive products through the Website, autozone.com. As of May 7, 2011, the company operated 4,467 stores in the United States and Puerto Rico, and 261 stores in Mexico. AutoZone, Inc. was founded in 1979 and is based in Memphis, Tennessee.


Advisors’ Opinion:

  • [By Jonas Elmerraji]

    Car parts retailer AutoZone (AZO) has been riding some big secular tailwinds for the last few years. As I write, the average passenger vehicle on the road in the U.S. today is 11.4 years old, the oldest average fleet age since automotive data firm Polk began collecting stats. With older cars on the road, costs to keep those cars running are climbing too – and that’s helping to drive sales at AutoZone.

    AutoZone owns close to 4,700 stores across the U.S., and the firm has been expanding its reach into Latin America in recent years, with another 300 locations in Mexico and four Brazilian locations. It’s not just do-it-yourselfers that frequent AutoZone’s stores; the firm has more than 3,000 commercial counters inside its retail stores, providing parts for repair shops and service stations. That double-pronged approach means that AZO is able to book part sales for smaller DIY jobs alongside repair jobs that need to be done at a shop.


    The decision to expand into Mexico provides some big growth opportunities at AZO, as does its much smaller position in Brazil. Both of those markets have large vehicle fleets that are older on average than those in the U.S., so as AZO’s ex-U.S. business scales up, it should begin to materially contribute to the larger firm.

    Right now, investors hate this stock. AZO’s short interest ratio comes in at 12.16.

    Read More: 3 Big-Volume Stocks to Trade for Breakouts

  • [By ovenerio]

    The company has a current ROE of 14.85% which is higher than the industry median. In general, analysts consider ROE ratios in the 15-20% range as representing attractive levels for investment. So for investors looking those levels or more, AutoNation (AN), CST Brands (CST), Lithia Motors (LAD) and AutoZone (AZO) could be the options. It is very important to understand this metric before investing and it is important to look at the trend in ROE over time.

Hot Retail Stocks For 2015: Dollar General Corporation(DG)


Dollar General Corporation operates as a discount retailer of general merchandise in the southern, southwestern, midwestern, and eastern United States. The company offers consumables, including paper towels, bath tissue, paper dinnerware, trash and storage bags, laundry, and other home cleaning supplies; packaged food and perishables; beverages and snacks, such as candies, cookies, crackers, salty snacks, and carbonated beverages; over-the-counter medicines and personal care products; and pet supplies and pet food products. It also provides seasonal products consisting of decorations, toys, batteries, small electronics, greeting cards, stationery, prepaid cell phones and accessories, gardening supplies, hardware, and automotive and home office supplies; home products comprising kitchen supplies, cookware, small appliances, light bulbs, storage containers, frames, candles, craft supplies, and bed and bath soft goods; and apparel products, such as casual everyday apparel for infants, toddlers, girls, boys, women and men, as well as offers socks, underwear, disposable diapers, shoes, and accessories. In addition, the company holds a license to Bobbie Brooks clothing, as well as the Fisher Price brand for various items of children’s clothing. As of May 25, 2011, it operates approximately 9,500 stores in 35 states. The company was formerly known as J.L. Turner & Son, Inc. and changed its name to Dollar General Corporation in 1968. Dollar General Corporation was founded in 1939 and is based in Goodlettsville, Tennessee.


Advisors’ Opinion:

  • [By Jayson Derrick]

    Dollar General (NYSE: DG) extended its tender offer to acquire Family Dollar (NYSE: FDO) until December 31. Shares of Dollar General gained 0.35 percent, closing at $62.67, while shares of Family Dollar gained 0.60 percent, closing at $78.29.

  • [By Ted Cooper]

    On the other hand, the combination with Dollar Tree could ease competitive pressures as the company builds a larger store base to compete with Dollar General (NYSE: DG  ) and fend off Wal-Mart (NYSE: WMT  ) . The combined company will have more than 13,000 stores in the U.S. and Canada, leapfrogging Dollar General as North America’s largest discount chain. The additional scale – and operating synergies with Dollar Tree – could help boost Family Dollar’s bottom line.

  • [By Rich Duprey]

    Suburban sprawl
    With more than 8,200 locations stretched across 46 states, Family Dollar is the second-largest dollar store chain, behind industry leader Dollar General (NYSE: DG  ) , which boasts more than 11,300 stores, and firmly ahead of No. 3 player Dollar Tree’s (NASDAQ: DLTR  )  5,100 stores.

Hot Retail Stocks For 2015: Walgreen Co (WAG)

Walgreen Co. (Walgreens), incorporated on February 15, 1909, together with its subsidiaries, operates the drugstore chain in the United States. The Company provides its customers with access to consumer goods and services, pharmacy, and health and wellness services in communities across America. The Company offers its products and services through drugstores, as well as through mails, by telephone and online. The Company sells prescription and non-prescription drugs, as well as general merchandises, including household items, convenience and fresh foods, personal care, beauty care, photofinishing and candy. On August 2, 2012, it acquired 45% interest in Alliance Boots GmbH (Alliance Boots). In September 2012, the Company completed the purchase of a regional drugstore chain in the mid-South region of the United States that included 144 stores operated under the USA Drug, Super D Drug, May’s, Med-X and Drug Warehouse names. In September 2012, WP Carey & Co LLC acquired fiv e retail stores leased to Walgreen Co. In December 2012, the Company completed a transaction giving company a ownership stake in Cystic Fibrosis Foundation Pharmacy LLC.


The Company’s pharmacy, health and wellness services include retail, specialty, infusion and respiratory services, mail service, convenient care clinics and worksite health and wellness centers. These services help improve health outcomes and manage costs for payers including employers, managed care organizations, health systems, pharmacy benefit managers and the public sector. The Company’s Take Care Health Systems subsidiary is a manager of worksite health and wellness centers and in-store convenient care clinics, with more than 700 locations throughout the United States.


As of August 31, 2012, Walgreens operated 8,385 locations in 50 states, the District of Columbia, Guam and Puerto Rico. In 2012, the Company opened or acquired 266 locations for a net increase of 175 locations af ter relocations and closings. As of August 31, 2012, the Com! pany had 7,930 of Drugstores, 366 of Worksite Health and Wellness Centers, 76 of Infusion and Respiratory Services Facilities, 11 of Specialty Pharmacies and two of Mail Service Facilities. The Company’s drugstores are engaged in the retail sale of prescription and non-prescription drugs and general merchandise. General merchandise includes, among other things, household items, convenience and fresh foods, personal care, beauty care, photofinishing and candy.


The Company offers specialty pharmacy services that provide customers nationwide access to a variety of medications, services and programs for managing complex and chronic health conditions. In addition, the Company offers its customers infusion therapy services, including the administration of intravenous (IV) medications for cancer treatments, chronic pain, heart failure, and other infections and disorders which must be treated by IV. Walgreens provides these infusion services at home, at the workplace, in a physician’s office or at a Walgreens alternate treatment site. The Company also provides clinical services, such as laboratory monitoring, medication profile review, nutritional assessments and patient and caregiver education.


Customers can also access the Company’s e-commerce solutions, which extend the convenience to purchase most products available within its drugstores, as well as additional products sold exclusively online through its walgreens.com and drugstore.com Websites, including beauty.com and visiondirect.com. The Company’s Websites allow consumers to purchase general merchandise including beauty, personal care, home medical equipment, contact lenses, vitamins and supplements and other health and wellness solutions. The Company’s mobile applications also allow customers to refill prescriptions through their mobile device, download weekly promotions and find the nearest Walgreens drugstore. The Company also offers services through Take Care Heal th Systems, which manages its Take Care Clinics at select Wa! lgreens d! rugstores throughout the country.


Alliance Boots is a pharmacy-led health and beauty retailing and pharmaceutical wholesaling and distribution business. As of March 31, 2012, its fiscal year end, Alliance Boots had, together with its associates and joint ventures, pharmacy-led health and beauty retail businesses in 11 countries and operated more than 3,330 health and beauty retail stores, of which over 3,200 had a pharmacy. In addition, Alliance Boots had approximately 625 optical practices, approximately 185 of which operated on a franchise basis. Its pharmaceutical wholesale and distribution businesses, including its associates and joint ventures, supplied medicines, other healthcare products and related services to more than 170,000 pharmacies, doctors, health centers and hospitals from over 370 distribution centers in 21 countries.


Alliance Boots’s stores located in the United Kingdom, Norway, the Republic of Ireland, the Netherlands, Thaila nd and Lithuania and through its associates and joint ventures in Switzerland, China, Italy, Russia and Croatia. In addition, as of March 31, 2012, there were 58 Boots stores operated in the Middle East on a franchised basis. In its Health & Beauty Division, Alliance Boots has product brands such as No7, Soltan and Botanics, together with other brands, such as Boots Pharmaceuticals and Boots Laboratories. Through its Pharmaceutical Wholesale Division and several of its associates, Alliance Boots sells Almus, its line of generic medicines, in five countries and Alvita, its line of patient care products, in six countries.


Advisors’ Opinion:

  • [By WWW.DAILYFINANCE.COM]

    Paula Showen/Alamy Baby wipes being sold under 10 different brand names have been voluntarily recalled by the manufacturer, Nutek Disposables, according to a Food and Drug Administration press release. The concern is the possible presence of bacteria that could pose problems for people with weakened immune systems or chronic lung disease. Nutek has supposedly received “numerous reports” of complaints, including rashes, irritation, infections, fever, gastro-intestinal issues, and respiratory issues. However, there is no confirmation that the problems were caused by use of the wipes. The affected brand names are Cuties, Diapers.com, Femtex, Fred’s, Kidgets, Member’s Mark, Simply Right, Sunny Smiles, Tender Touch, and Well Beginnings. Nutek shipped the wipes before Oct. 21, 2014 to Diapers.com, Family Dollar (FDO), Fred’s, Sam’s Club (WMT), Walgreens (WAG), and various Internet sites and other retailers. Nutek had initially received a “small number” of complaints about discoloration and odor in wipes. Tests showed the presence of bacteria, , in some of the packages. The FDA explains:


    B. cepacia poses little medical risk to healthy people. However, people who have certain health problems like weakened immune systems or chronic lung diseases, particularly cystic fibrosis, may be more susceptible to infections with B. cepacia. If you believe you have a weakened immune system or chronic lung disease and you have used one of the affected wipe products, you should call your doctor promptly for medical advice.

  • [By WWW.DAILYFINANCE.COM]

    kurhan/Shutterstock The maker of a line of diet supplements sold at the nation’s largest pharmacies with the false promise that the pills would magically make users slender (they didn’t) was banned — at least, for now — from selling weight loss products under a just-finalized agreement, the Federal Trade Commission said on Friday. HealthyLife Sciences and its principal sold Healthe Trim supplements with the claim you could “get high school skinny.” Apparently, it only worked as advertised if its users had never gained weight after graduation. John Matthew Dwyer III (aka Matthew Dyer), the co-founder of the Atlanta-based company, agreed to stay out of the weight-loss industry under the terms of the settlement of deceptive advertising charges. Dwyer claimed the pills had ingredients that combined to burn fat, speed up the metabolism and suppress appetite. No Penalty, No Restitution The FTC said the company took in about $76 million between 2009 and 2013. Healthe Trim supplements were sold at CVS (CVS), Walgreens (WAG) and at GNC (GNC) stores. It cost consumers who bought into the spiel $50 to $65 for a month’s supply, the FTC said. The key to the sales were customer testimonials featuring claims that, for example, using the pills helped one user to drop 54 pounds and go from a size 12 dress to a size 2. “Losing weight is rarely easy, and it would be a miracle if a pill made it so,” Jessica Rich, director of the FTC’s Bureau of Consumer Protection, said in a statement. “Consumers should be skeptical when a product like this one claims to make weight loss easy.” The company itself (if it continues to operate without Dwyer) is barred from making a host of what the FTC describes as “scientifically infeasible” claims about its supplements. And it can no longer make any weight-loss-related claims at all about them until it has in hand two legitimate, scientifically rigorous human clinical-trial studies to support its statements. Unlike many settlements of this

  • [By WWW.DAILYFINANCE.COM]

    Richard Drew/APWalgreen opted against a well-publicized inversion. Corporate inversions — when a U.S. company buys or merges with a foreign firm and then technically moves the business to the other country — have become something all politicians can happily revile. With their two-targets-in-one opportunity to bash either corporate greed or traitorous antipatriotism, Democrats and Republicans alike have an easy target to take aim at. So, the media rails over corporations that seek to extricate themselves from their tax obligations even as the Obama administration cracks down on companies moving overseas, as The Associated Press has reported. But there’s a dirty secret: Much of what people think they know about corporate inversions is wrong and, in the grander scheme of things, inversions are small potatoes in the tax-avoidance world. “Inversions have been made into this political, moral issue, which sometimes clouds the reality,” tax attorney Elan Keller of the law firm Caplin & Drysdale told . “Companies invert for a number of reasons … having little to do with tax. It just so happens that in inverting they’ve been able to create a tax benefit. But there has to be [a bigger] underlying business reason to invert. Otherwise shareholders or the board aren’t going to agree to it.” ‘Misrepresentation’ of the Walgreen Case “The mega example that a lot of people had visceral reactions to was Walgreens (WAG),” said Martin Press, a tax attorney with the law firm Gunster, Yoakley & Stewart. “There’s been a lot of misrepresentation. If Walgreens had gone ahead and done this, it would not have affected the income tax liability of its U.S. operations. They would pay as much U.S. income tax as they would have before.” Any company operating in the U.S. has to pay taxes on the profits it makes here. In addition, domestic companies pay taxes on their global profits. They get a credit on the tax they pay foreign countries for profits from those regions, but with

  • [By Sure Dividend]

    Health care will be necessary until we find a cure for everything. There is a less than infinitesimal chance of us finding a cure for everything in the next several decades. The following companies are Dividend Aristocrats whose revenue is generated primarily in the health care sector:

    HCP, Inc. (HCP) AbbVie (ABBV) Johnson & Johnson (JNJ) Abbott Laboratories (ABT) Walgreen (WAG) Medtronic (MDT) Becton Dickinson (BDX) Cardinal Health (CAH) C.R. Bard (BCR)

    Not to be outdone by the food and beverage industry (or perhaps due to negative health effects from the food and beverage industry), the health care industry counts nine Dividend Aristocrats in its ranks. They operate in more diverse lines of business than the food companies. HCP is a REIT that focuses on health care properties. C.R. Bard, Medtronic, and Becton Dickinson manufacture and distribute health care devices and supplies. Abbott Laboratories and Johnson & Johnson (and to a lesser extent, Cardinal Health) are well-diversified health care businesses. AbbVie was recently spun-off from Abbott Laboratories (notice the vaguely similar names), and is a pharmaceutical company.

Hot Retail Stocks For 2015: Cato Corp (CATO)


The Cato Corporation (Cato) is a women’s fashion specialty retailer. As of January 28, 2012, the Company operated 1,288 fashion specialty stores in 31 states, principally in the southeastern United States, under the names Cato, Cato Fashions, Cato Plus, It’s Fashion, It’s Fashion Metro and Versona Accessories. It operates in two segments: stores and Credit. The Company’s stores offer a assortment of on-trend apparel and accessory items in primarily junior/missy, plus sizes, girls sizes 7 to 16, men’s and kids sizes newborn to seven. Its merchandise lines include dressy, career, and casual sportswear, dresses, coats, shoes, lingerie, costume jewelry, handbags, men’s wear and lines for kids and newborns. Its merchandise is sold under its private label and is produced by various vendors in accordance with the Company’s specifications.


The Company offers its own credit card and a layaway plan to make the purchase of its merchandise convenient for its customers. The Company’s stores are located in the southeastern United States in a variety of markets ranging from small towns to metropolitan areas with trade area populations of 20,000 or more. Stores average approximately 4,500 square feet in size. The Company offers its own credit card, which accounted for 4.8% of retail sales during the fiscal year ended January 28, 2012 (fiscal 2012).

Advisors’ Opinion:

  • [By Jake L’Ecuyer]

    The Cato (NYSE: CATO) was down, falling 11.89 percent to $26.52 on Q4 results. Cato reported its Q4 earnings of $0.13 per share, versus analysts’ estimates of $0.13 per share. Cato Corporation expects FY14 earnings of $1.47 to $1.66 per share, versus estimates of $1.86 per share.

  • [By Jake L’Ecuyer]

    The Cato (NYSE: CATO) was down, falling 6.35 percent to $28.19 on Q4 results. Cato reported its Q4 earnings of $0.13 per share, versus analysts’ estimates of $0.13 per share. Cato Corporation expects FY14 earnings of $1.47 to $1.66 per share, versus estimates of $1.86 per share.

  • [By Reuters]

    Julio Cortez/AP NEW YORK — Many U.S. retailers had to ramp up promotions last month as shoppers continued to watch their spending during the holiday season, hitting profits at several chains. L Brands (LB) cut its earnings forecast for the holiday quarter Thursday after reporting disappointing December sales at its Victoria Secret and La Senza chains. The company said it had to offer more deals than expected, the second month in a row it has had to do so. Family Dollar Stores (FDO) and teen retailer Zumiez (ZUMZ), which both reported sales declines for December, also slashed their profit forecasts. Even retailers that saw big sales gains, such as Kay Jewelers parent Signet Jewelers (SIG), weren’t spared. “Additional discounting was necessary in a highly promotional retail environment,” Signet Chief Executive Officer Mike Barnes said in a statement. A group of nine U.S. retailers in the Thomson Reuters same-store sales index are expected Thursday to report a sales rise of 1.9 percent in December at stores open at least a year, well below the 7.2 percent increase of a year earlier. Including drugstore chains Walgreen (WAG) and Rite Aid (RAD), analysts estimate the rise at 2.7 percent. Gap (GPS) will report after the markets close Thursday. Faced with reticent shoppers worried about their job prospects and modest economic growth, retailers offered more discounts during the holiday season than a year earlier. Between Nov. 3 and Jan. 4, eight retailers, including Walmart Stores (WMT), Target (T) and Macy’s (M) , increased the number of circulars published by 6 percent and sent 57 percent more promotional emails, according to data prepared for Reuters by MarketTrack. Retailers also had to deal with shoppers who were less willing to go into stores: Data firm ShopperTrak this week said foot traffic had dropped 14.6 percent this holiday season. Walgreen, whose comparable sales of general merchandise rose 2.5 percent in December, said fewer shoppers had com

  • [By Reuters]

    Joshua Lott/Getty Images NEW YORK — Several major U.S. retailers posted disappointing sales for November after cautious shoppers pinched their pennies at the start of a shorter holiday season. Some of the companies that reported sales gains ramped up bargains to bring in shoppers who appeared hesitant to splurge. Costco Wholesale (COST) said Thursday that sales at stores open at least a year rose 2 percent, below the 3.3 percent increase analysts were looking for, according to Thomson Reuters. The warehouse club chain said consumer electronics sales fell. Same-store sales at L Brands (LTD), owner of the Victoria’s Secret lingerie chain, also came in below expectations. Its drop of 5.5 percent was far deeper than the 1.1 percent decline analysts were projecting. Wall Street analysts are expecting 11 top retailers to report a 2.7 percent increase in same-store sales for November, according to Thomson Reuters. Excluding drugstore operators, which get two-thirds of revenue from prescriptions, that gain is estimated at 2.3 percent. Gap (GPS) will report its November sales after U.S. markets close. Retailers have been contending with low consumer confidence and the need to prod shoppers with bargains this holiday season, which has six fewer days because of a late Thanksgiving. The National Retail Federation on Sunday said U.S. shoppers had spent 2.9 percent less this year over the Thanksgiving weekend, the kickoff to the holiday season. The Conference Board, an industry group, said last week that U.S. consumer confidence fell in November after a sharp drop in October as Americans worried about their future jobs and earnings prospects. Earlier this week, J.C. Penney (JCP) reported a 10.1 percent comparable sales increase, partially reversing a disastrous decline in 2012, but the department store chain had to resort to aggressive bargains. The “environment will remain as competitive” through the holiday season, Chief Executive Officer Myron Ullman said. I

Hot Retail Stocks For 2015: Big Lots Inc (BIG)


Big Lots, Inc., incorporated in May 2001, through its wholly owned subsidiaries, is a North America’s closeout retailer. At January 28, 2012, the Company operated a total of 1,533 stores in two countries: the United States and Canada. The Company operates in two segments: U.S. and Canada. The merchandising categories include Consumables, Furniture, Home, Seasonal, Play n’ Wear, and Hardlines & Other. The Consumables category includes the food, health and beauty, plastics, paper, chemical, and pet departments. The Furniture category includes the upholstery, mattresses, ready-to-assemble, and case goods departments. The Home category includes the domestics, stationery, and home decorative departments. The Seasonal category includes the lawn and garden, Christmas, summer, and other holiday departments. The Play n’ Wear category includes the electronics, toys, jewelry, infant accessories, and apparel departments. The Hardlines & Other category includes the appliances, tools, p aint, and home maintenance departments. On July 18, 2011, the Company acquired Liquidation World Inc. During the fiscal year ended January 28, 2012 (fiscal 2011), the Company opened 92 stores, acquired 89 stores and closed 46 stores.

All of the Company’s stores are located in North America and has an average store size of approximately 29,900 square feet, of which an average of 21,600 square feet is selling square feet. The 54 owned stores are located in Arizona, California, Colorado, Florida, Louisiana, New Mexico, Ohio and Texas. At January 28, 2012, the Company owned or leased approximately 9.4 million square feet of distribution center and warehouse space. The Company leases and operates two regional distribution centers in Canada located in British Columbia and Ontario. Of its 1,533 stores, 33% operate in four states California, Texas, Ohio, and Florida, and net sales from stores in these states represented 36% of its fiscal 2011 net sales.

Advisors’ Opinion:

  • [By rusticnomad]

    There are a variety of eye-catching discount retail stores such as Big Lots (BIG), Family Dollar and Dollar General (DG) that are delivering impressive performance amid a tight economic environment. Let us see if they are good bets for investors.

  • [By Rich Bieglmeier]

    Big Lots, Inc. (NYSE:BIG) will announce its first-quarter, 2014 financial results on Friday, May 30, 2014 prior to the market open. On the same day, executives will discuss the financial results on a conference call at 8:00 a.m. Eastern Time.

  • [By Laura Brodbeck]

    Notable earnings released on Friday included:

    W&T Offshore(NYSE: WTI) reported a fourth quarter loss of $0.09 per share on revenue of $244.90 million, compared to last year’s EPS of $0.26 on revenue of $237.15 million. Footlocker(NYSE: FL) reported fourth quarter EPS of $0.82 on revenue of $1.79 billion, compared to last year’s EPS of $0.73 on revenue of $1.71 billion. Big Lots(NYSE: BIG) reported fourth quarter EPS of $1.39 on revenue of $1.64 billion, compared to last year’s EPS of $2.09 on revenue of $1.75 billion.

    Pre-Market Movers

  • [By Jayson Derrick]

    This morning, Big Lots (NYSE: BIG) reported its fourth quarter results. The company announced an EPS of $1.45, beating the consensus estimate of $1.42. Revenue of $1.64 billion beat the consensus estimate of $1.62 billion. Net income fell to $84.35 million from $120.28 million in the same quarter last year. Big Lots said that it will completely exit the Canadian market in the first quarter and losses in the fourth quarter were lower than expected. The company announced that it will add freezers and coolers to hundreds of stores given the fact that stores already equipped with refrigeration units out-performed other stores in the quarter. Shares surged 22.97 percent, closing at $35.97.