Top Retail Stocks For 2016


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Stocks that are making large moves like these are favorites among short-term traders because they can jump into these names and try to capture some of that massive volatility. Stocks that are making big-percentage moves either up or down are usually in play because their sector is becoming attractive or they have a major fundamental catalyst such as a recent earnings release. Sometimes stocks making big moves have been hit with an analyst upgrade or an analyst downgrade.


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Top Retail Stocks For 2016: Groupon Inc (GRPN)

Groupon, Inc. (Groupon) is a local e-commerce marketplace that connects merchants to consumers by offering goods and services at a discount. Each day the Company e-mails its subscribers discounted offers for goods and services that are targeted by location and personal preferences. Consumers also access its deals directly through its Websites and mobile applications. The Company operates in two segments: North America, which represents the United States and Canada; and International, which represents the rest of its global operations. Customers purchase Groupons from the Company and redeem them with its merchants. As of September 30, 2011, the Company featured deals from over 190,000 merchants worldwide across over 190 categories of goods and services. Groupon primarily addresses the worldwide local commerce markets in the leisure, recreation, foodservice and retail sectors. In February 2012, the Company announced the launch of Groupon Thailand. In September 2012, it acqui red Savored.


In May 2010, the Company acquired CityDeal Europe GmbH (CityDeal). In August 2010, the Company acquired Qpod.inc (Qpod). In November 2010, the Company acquired Ludic Labs, Inc., a company that designs and develops local marketing services. During the year ended December 31, 2010, the Company acquired Mobly, Inc. In February 2011, the Company launched Deal Channels, which aggregates daily deals from the same category.

The Company distributes a featured daily deal by e-mail on behalf of local merchants to subscribers. It offers daily deals from more than 40 national merchants, including Bath & Body Works, The Body Shop, Hyatt Regency, InterContinental Hotels, Lions Gate, Redbox, Shutterfly and Zipcar across subsets of the North American market. Daily deals that do not appear as a featured daily deal appear as Deals Nearby. Each Deal Nearby is summarized in fewer than 20 words next to the featured daily deal. Deals Nearby often extends bey ond the subscriber’s closest market or buying preferences.


National merchants also have used the Company’s marketplace as an alternative to traditional marketing and brand advertising. On August 19, 2010, the Company e-mailed and posted a Groupon daily deal offering $50 of apparel at Gap for $25 to 9.2 million subscribers across 85 markets in North America. It sold approximately 433,000 Groupons in 24 hours. Of the consumers who purchased Groupons, approximately 200,000 were new subscribers. As of September 30, 2011, it had 142.9 million subscribers to its daily e-mails.

Groupon NOW is a deal initiated by a merchant on demand and offered instantly to subscribers through mobile devices and its Website. Subsequent to the year ended December 31, 2010, the Company launched Groupon NOW in 25 North American markets. Deal Channels aggregate daily deals from the same category and are accessible through its Website and through e-mail alerts that subscribers sign up to receive. It offers Deal Channels in home and g arden and event tickets and travel. Merchants can register their deals to be included in a Deal Channel. Subscribers can use Deal Channels to focus on deals that are of interest to them.


Self-Service Deals allows the Company’s merchants to use a self-service platform to create and launch deals at their discretion. The use of the platform is free and allows merchants to establish a permanent e-commerce presence on Groupon that can be visited and followed by subscribers. The Company receives a portion of the purchase price from deals sold through Self-Service Deals based on the extent to which it marketed the deal. In December 2010, it launched Self-Service Deals in selected North American markets.

Groupon Goods enables consumers to purchase vouchers for products directly from its Website. The Company e-mails deals for Groupon Goods weekly to a targeted subscriber base. The Company offers deals for a variety of product categories, including electro nics, home and garden and toys. In September 2011, the Compa! ny launch! ed Groupon Goods in select North American and International markets.


Groupon Rewards enables consumers to unlock special Groupon deals from local merchants through repeat visits. Consumers earn reward points at participating merchants by paying with the credit or debit card they have registered with the Company. Merchants set the amount the consumer must spend to unlock a reward deal, and once a consumer is eligible to unlock a deal, it automatically notifies them. The Company distributes its deals directly through several platforms: a daily e-mail, its Websites, its mobile applications and social networks.

In December 2010, the Company partnered with Redbox to offer a daily deal to their user base and it acquired over 200,000 new customers through that offer and in March 2011, it partnered with eBay to offer a daily deal to their user base and it acquired over 290,000 new customers through that offer. The featured daily deal e-mail contains one hea dline deal with a full-description of the deal and often contains links to More Great Deals Nearby, all of which are available within a subscriber’s market.


Visitors are prompted to register as a subscriber when they first visit its Website and thereafter use the Website as a portal for featured daily deals, Deals Nearby, national deals, and where available, Deal Channels and Self-Service Deals. Consumers also access the Company’s deals through its mobile applications, which are available on the iPhone, Android, Blackberry and Windows mobile operating systems. It launched its first mobile application in March 2010. The Company publishes its daily deals through various social networks and its notifications are adapted to the particular format of each of these social networking platforms.


Groupon competes with Google, Microsoft, Eversave, BuyWithMe and LivingSocial.

Advisors’ Opinion:

  • [By WWW.DAILYFINANCE.COM]

    digitallife/Alamy After a few years of celebrating Groupon (GRPN) and LivingSocial, many bloggers seem to have turned on these sites. Lately, I’ve noticed a trend in people stating that one of the best ways to save money is to just stay away from coupon sites altogether. I couldn’t disagree more. Don’t get me wrong, if buy Groupons and LivingSocial coupons and never use them, then these sites are not for you, but for budget shoppers, Groupon and LivingSocial can save a lot of money and offer new experiences, too. Here are five reasons to reconsider group coupon sites: 1. If You’re New in Town Groupon and LivingSocial both have terrific coupons for local events, restaurants and activities. If you’ve just moved or are interested in getting to know your town better, these should be your first stops. With discounts topping out at over 75 percent, you can find coupons for activities like photography classes, karate classes, painting classes, comedy clubs, museums and more. It’s a great way to dip your toe into a new hobby or check out a new spot in town without fully committing your wallet, too. 2. If You’re Looking for Gifts If a friend moves to a new location, check out Groupon or LivingSocial for an affordable, local restaurant coupon. Groupon has done a good job of developing its image into a place that offers you new and exciting experiences. That can help make a coupon from the site feel like a welcome housewarming gift. Birthdays, holidays and thank you gifts can all be covered through these sites, as well. LivingSocial has a section dedicated to gifts, with a subsection called “under $25” for you frugal shoppers out there. 3. If You Like to Shop Groupon and LivingSocial can be fantastic places to shop for home furnishings and electronics. You can find things like a $90 sewing machine for $20, a $3,400 mattress for $1,300 and a $400 luggage set for $130. I also saw a $60 bathroom set for $18. These sites also have deals on clothing for men and wome

  • [By Roberto Pedone]

    Another technology player that insiders are jumping into here is Groupon (GRPN), which operates online local commerce marketplaces that connect merchants to consumers by offering goods and services at a discount worldwide. Insiders are buying this stock into strength, since shares have rallied higher by 19% over the last three months.

    Groupon has a market cap of $4.9 billion and an enterprise value of $4.2 billion. This stock trades at a premium valuation, with a trailing price-to-earnings of 49. Its estimated growth rate for this year is -54.5%, and for next year it’s pegged at 200%. This is a cash-rich company, since the total cash position on its balance sheet is $855.17 million and its total debt is zero.


    The CEO just bought 454,166 shares, or around $3.62 million worth of stock, at $7.85 per share.

    From a technical perspective, GRPN is currently trending just above both its 50-day and 200-day moving averages, which is bullish. This stock recently gapped up sharply higher from $5.70 to over $7.50 with strong upside volume flows. Shares of GRPN have now pulled back off its recent high of $8.28 a share and the stock is starting to approach both its 200-day and 50-day moving averages.

    If you’re in the bull camp on GRPN, then I would look for long-biased trades as long as this stock is trending above its 200-day at $7.03 or its 50-day at $6.77 a share and then once it breaks out above some key near-term overhead resistance levels at around $7.75 to $8.28 a share with high volume. Look for a sustained move or close above those levels with volume that registers near or above its three-month average action of 15.59 million shares. If that breakout triggers soon, then GRPN will set up to re-test or possibly take out its next major overhead resistance level at $9 a share. Any high-volume move above $9 will then give GRPN a chance to re-fill some of its previous gap-down-day zone from February that started near $11 a share.


     

  • [By Garrett Cook]

    Shares of Groupon (NASDAQ: GRPN) got a boost, shooting up 20.20 percent to $7.20 after the company reported stronger-than-expected third-quarter earnings and lowered its fourth-quarter forecast.

  • [By WWW.DAILYFINANCE.COM]

    Andy Wong/AP Alibaba (BABA) is the new belle of the dot-com ball in China. The e-commerce juggernaut pulled off a record initial public offering in September when it raised $25 billion on the way to becoming a public company. Analysts love Alibaba. They were able to initiate coverage on Wednesday, following the 40-day quiet period that follows an IPO’s debut. Only one of its underwriters — Goldman Sachs — failed to tap it as a buy recommendation. It’s easy to see the appeal. Alibaba helped 231 million active buyers place 11.3 billion orders totaling $248 billion in transactions last year, and it’s just getting started. However, the stock, with its nearly $250 billion market cap, isn’t cheap. Let’s look at some Chinese dot-coms that have been trading longer and could be more compelling bargains. Baidu (BIDU) China’s leading search engine posted another blowout quarter on Wednesday, just as analysts were gushing all over Alibaba. The company behind China’s largest search engine saw revenue soar 52 percent over the prior year’s third quarter. Earnings climbed just 27 percent, but that was twice as fast as analysts were expecting. Baidu is investing in low-margin online specialties including travel, video and mobile app storefronts, and that weighs on bottom-line growth. Baidu remains one of China’s biggest winners. It went public nine years ago at a split-adjusted price of $2.70, and now it trades north of $200. Baidu fulfills roughly two-thirds of all queries, and it is rocking at a time when its profitability is still suppressed. 51job (JOBS) Matching employees to potential hires started out with old-school tech for 51job. It got its start by inserting weekly job listings in more than two dozen leading Chinese newspapers. Then the Internet came along, allowing 51job to convert its thick Rolodex and respected brand into a leading online recruiter. It’s working: 51job is growing its revenue in the low double digits. It’s trading at a reasonable 22 time

Top Retail Stocks For 2016: WH Smith PLC (SMWH)


WH Smith PLC is a United Kingdom-based retail company. The Company has two businesses divisions: Travel and High Street. The Company’s Travel division sells a range of newspapers, magazines, books and impulse products for people on the move and a broader convenience range in hospitals and workplaces. The Company’s High Street sells a wide range of stationery, books, newspapers, magazines and impulse products, as well as a small range of entertainment products.The Company’s subsidiaries include WH Smith PLC, WH Smith Retail Holdings Limited, WH Smith High Street Holdings Limited, WH Smith Travel Holdings Limited, WH Smith High Street Limited, WH Smith Travel Limited and WH Smith Hospitals Holdings Limited. Advisors’ Opinion:

  • [By Sofia Horta e Costa]

    Hays Plc (HAS) climbed 2.2 percent after the recruitment company said quarterly fees increased in its European markets. WH Smith Plc (SMWH) jumped the most in six months after raising its final dividend and saying it plans to repurchase an additional 50 million pounds ($80 million) of shares. Melrose Industries Plc (MRO) added 1.8 percent after KKR & Co. said it will pay about $1 billion for two of its U.S. industrial-products companies.

Top Retail Stocks For 2016: Vitacost.com Inc (VITC)

Vitacost.com, Inc. (Vitacost), incorporated in May 20, 1994, is an online retailer of health and wellness products, including dietary supplements such as vitamins, minerals, herbs and other botanicals, amino acids and metabolites, as well as cosmetics, natural personal care products, pet products, sports nutrition and health foods. The Company sells these products directly to consumers primarily through its Website, www.vitacost.com. It offers its customers the selection of healthy living products. It offers its customers a selection of approximately 40,000 Stock Keeping Units (SKUs), from over 2,000 third-party brands, such as New Chapter, Nature’s Way, Twinlab, Source Naturals, Jarrow Formulas, Jason, Desert Essence, Atkins, Bob’s Red Mill, BSN, Optimum Nutrition, USP Labs and MuscleTech in addition to its own brands: Vitacost, Cosmeceutical Sciences Institute (CSI), Best of All, and Smart Basics. As of December 31, 2012, the Company had approximately 2.1 million cus tomers.


The Company offers products in a range of potency levels and dosage forms, such as tablets, capsules, vegi-capsules, softgels, gelcaps, liquids and powders. It offers products that encompass four main categories: Vitamins, Minerals, Herbs and Supplements; Sports Nutrition; Beauty; and Natural and Organic Food.

Vitamins, Minerals, Herbs and Supplements (VMHS)

VMHS products are taken to maintain or improve health and address specific health conditions. In its dietary supplements category, the Company offers its offer its Vitacost branded products as well as third-party brands such as Nature’s Way, Twinlab, Jarrow, Carlson and Rainbow Light. Vitamin and mineral products include multi-vitamins, lettered vitamins, such as Vitamin A, C, D, E and B-complex, along with minerals such as calcium, magnesium, chromium and zinc.


Herbal products include whole herbs, standardized extracts, herb combination formulas and teas. S upplements include essential fatty acids, probiotics, anti-o! xidants, phytonutrients and condition-specific formulas.

Sports Nutrition

Sports nutrition products are used in conjunction with cardiovascular conditioning, weight training and sports activities. Major categories in sports nutrition include protein and weight gain powders, meal replacements, nutrition bars, sport drinks and pre and post-workout supplements. The Company offers bodybuilding and sports products from third parties, such as Optimum Nutrition, CytoSport and BSN as well as our Vitacost branded sports nutrition products.


Beauty

Natural care products consist of a variety of natural products for skin, body, hair and oral health. The Company offers hundreds of natural personal-care products from companies, such as JASON, and Kiss My Face, as well as its CSI-branded products. These products appeal to allergen-conscious and environmentally-conscious consumers seeking products that are made without harsh chemicals and additives.

Natural and Organic Food

Natural and organic food products consist of organic and specialty products such as organic peanut butter, gluten free foods and low mercury tuna and salmon. The Company offers third-party brands, such as Kashi, Eden Foods and Amy’s Organic, as well as its Best of All natural food products.


Under its Vitacost brand, the Company offers over 900 products including multivitamins, minerals, herbs, amino acids, anti-oxidants and others. Under its CSI brand, it markets and sells health and beauty products such as facial cleanser, facial and body moisturizing creams and lotions, and other beauty and skincare products. Under its Best of All brand, it markets and sells organic food products such as banana chips, trail mix, almonds, cashews and more. Under its Smart Basics brand, it markets and sells organic fruit juices and extracts and related dietary supplements. Under its Walker Diet brand, it markets a nd sells low carb powders used to assist in weight loss and ! managemen! t.


Advisors’ Opinion:

  • [By Seth Jayson]

    Margins matter. The more Vitacost.com (Nasdaq: VITC  ) keeps of each buck it earns in revenue, the more money it has to invest in growth, fund new strategic plans, or (gasp!) distribute to shareholders. Healthy margins often separate pretenders from the best stocks in the market. That’s why we check up on margins at least once a quarter in this series. I’m looking for the absolute numbers, so I can compare them to current and potential competitors, and any trend that may tell me how strong Vitacost.com’s competitive position could be.

  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market’s best stocks, it’s worth checking up on your companies’ free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That’s what we do with this series. Today, we’re checking in on Vitacost.com (Nasdaq: VITC  ) , whose recent revenue and earnings are plotted below.

Top Retail Stocks For 2016: Kohl’s Corporation(KSS)

Kohl?s Corporation operates department stores in the United States. The company?s stores offer private and exclusive, as well as national branded apparel, footwear, and accessories for women, men, and children; soft home products, such as sheets and pillows; and housewares primarily to middle-income customers. As of January 29, 2011, it operated 1,089 stores in 49 states. The company also offers on-line shopping on its Web site at Kohls.com. Kohl?s Corporation was founded in 1962 and is headquartered in Menomonee Falls, Wisconsin.


Advisors’ Opinion:

  • [By WWW.DAILYFINANCE.COM]

    digitallife/Alamy After a few years of celebrating Groupon (GRPN) and LivingSocial, many bloggers seem to have turned on these sites. Lately, I’ve noticed a trend in people stating that one of the best ways to save money is to just stay away from coupon sites altogether. I couldn’t disagree more. Don’t get me wrong, if buy Groupons and LivingSocial coupons and never use them, then these sites are not for you, but for budget shoppers, Groupon and LivingSocial can save a lot of money and offer new experiences, too. Here are five reasons to reconsider group coupon sites: 1. If You’re New in Town Groupon and LivingSocial both have terrific coupons for local events, restaurants and activities. If you’ve just moved or are interested in getting to know your town better, these should be your first stops. With discounts topping out at over 75 percent, you can find coupons for activities like photography classes, karate classes, painting classes, comedy clubs, museums and more. It’s a great way to dip your toe into a new hobby or check out a new spot in town without fully committing your wallet, too. 2. If You’re Looking for Gifts If a friend moves to a new location, check out Groupon or LivingSocial for an affordable, local restaurant coupon. Groupon has done a good job of developing its image into a place that offers you new and exciting experiences. That can help make a coupon from the site feel like a welcome housewarming gift. Birthdays, holidays and thank you gifts can all be covered through these sites, as well. LivingSocial has a section dedicated to gifts, with a subsection called “under $25” for you frugal shoppers out there. 3. If You Like to Shop Groupon and LivingSocial can be fantastic places to shop for home furnishings and electronics. You can find things like a $90 sewing machine for $20, a $3,400 mattress for $1,300 and a $400 luggage set for $130. I also saw a $60 bathroom set for $18. These sites also have deals on clothing for men and wome

  • [By Gregory Wallace]

    Toys ‘R’ Us and Kohl’s (KSS) will be remain open all hours until Christmas eve.

    Shopping online: And you can also shop online at these same stores.

  • [By WWW.DAILYFINANCE.COM]

    #fivemin-widget-blogsmith-image-992380{display:none}.cke_show_borders #fivemin-widget-blogsmith-image-992380,#postcontentcontainer #fivemin-widget-blogsmith-image-992380{width:570px;display:block} We all know retailers use marketing tricks to get us to buy more. Everything from the music on the intercom to the scents in the air have been carefully orchestrated to maximize sales. Money Talks News has previously tackled the subject of grocery store tricks of the trade, and now we’ll check out something a bit more holiday-related: department stores. If you want to learn more and are up for some heavy reading, you could check out this 2001 report from Hong Kong detailing how store environments impact shopping behaviors. Otherwise, we’ll make it easy for you: Here are five ways department stores convince you to blow your budget. 1. Store layout means laying out more cash When it comes to a store’s layout, nothing is left to chance. At the mall, for example, the most appealing items may be placed front and center to convince you to walk in. Then, on your right, you’ll find some of the most profitable items in the store. For whatever reason, we are programmed to veer right when entering, and stores want the next thing we see to be something profitable. Of course, clearance racks will be in the very back so you need to pass everything else before you can reach the discounted merchandise. As a bonus, the long walk keeps you in the store longer. And the longer you’re in the store, the more purchase opportunities you can be presented with. If it weren’t bad enough stores are using human nature to manipulate us, it seems to be only a matter of time before your smartphone turns against you too. U.K. company Path Intelligence has developed technology that will pick up signals coming from mobile devices and use those signals to track shopping patterns and help businesses improve their layout and sales. 2. ‘Racetrack’ flooring for ‘pit stop’ purchasing The Hong Kong

  • [By Rich Duprey]

    3. It’s performance was actually better than the competition
    While Ullman didn’t come out and say so, the fact that same-store sales were flat compared to last year, but both Macy’s (NYSE: M  ) and Kohl’s (NYSE: KSS  ) saw comps decline in the same period, indicates that despite being in a weaker financial position than either rival it’s business is still holding up.

Top Retail Stocks For 2016: Firstin Wireless Technology Inc (FINW)

Firstin Wireless Technology, Inc., formerly Passionate Pet, Inc., incorporated on September 30, 2010, is a mobile service provider. The Company is a software-based mobile service provider that enables enterprises and business users to make affordable and business-quality international long distance and roaming calls over its hybrid mobile VoIP (HY-mVoIPTM) technology. Its service does not replace a user’s existing wireless service, it augments it with global communication capabilities. The Company’s application is free to download, and is available on Apple iPhone, Blackberry and Android smartphones.


The Company provides international long distance and roaming services to enterprises and business travelers over smartphones. Business users need to download the Firstin application onto their smartphones to allow them to place and receive international long distance and roaming calls from anywhere in the world for a fixed monthly fee and unlimited usage. The Co mpany intends to revolutionize business mobile communications by spearheading the enterprise mobile VoIP revolution allowing for anywhere, anytime, business-quality and low-cost voice and data communications over smartphones.


Advisors’ Opinion:

  • [By Peter Graham]

    Small cap stocks Bonamour Inc (OTCBB: BONI), Firstin Wireless Technology Inc (OTCMKTS: FINW) and Microchannel Technologies Corp (OTCBB: MCTC) have been attracting attention from variosu investment newsletters lately with at least two of these stocks being the subject of paid promotions. Of course, there is nothing wrong with properly disclosed paid promotions or investor relation types of activities as its up to investors and traders alike to do their due diligence. So how hot are these small cap stocks? Here is a quick reality check that might cool your appetite:

  • [By Peter Graham]

    A look at SofTech, Inc’s financials reveals revenues of $1,375k (most recent reported quarter), $1,558k, $1,458k and $1,772k for the past four quarters along with net losses of $266k (most recent reported quarter), $51k and $14k and net income of $252k. At the end of August, SofTech, Inc had $828k in cash to cover $2,717k in current liabilities and $5,445k in total liabilities. Given the recent Asset Purchase Agreement and the deal with lenders, it would be good to wait for some more financials to see how SofTech, Inc’s balance sheet has improved.


    Firstin Wireless Technology Inc (OTCMKTS: FINW) Has Been Quiet Since February

    Small cap Firstin Wireless Technology is a mobile communications company that is leading the shift to the enterprise mobile VoIP revolution through its mobile telephony platform and apps, including a flagship Firstin solution that allows for anywhere, anytime mobile communications at significant cost reductions. On Friday, Firstin Wireless Technology closed at $0.255 for a market cap of $8.57 million plus FINW is down 3,087.5% over the past year and down 78.7% since August 2011 according to Google Finance.

Top Retail Stocks For 2016: Ross Stores Inc.(ROST)


Ross Stores, Inc., together with its subsidiaries, operates off-price retail apparel and home accessories stores under the Ross Dress for Less and dd?s DISCOUNTS brand names in the United States. Its Ross Dress for Less brand stores sell brand and designer apparel, accessories, footwear, and home fashions for the entire family at everyday savings of 20 to 60 percent off department and specialty store regular prices; and dd?s DISCOUNTS brand stores sell apparel, accessories, footwear, and home fashions for the entire family at everyday savings of 20 to 70 percent off moderate department and discount store regular prices. As of January 29, 2011, the company operated 1,055 stores, of which 988 were Ross Dress for Less brand stores in 27 states and Guam, and 67 were dd?s DISCOUNTS brand stores in 6 states. Its Ross Dress for Less brand stores primarily target middle income households and dd?s DISCOUNTS brand stores target moderate income households. Ross Stores, Inc. was found ed in 1957 and is headquartered in Pleasanton, California.


Advisors’ Opinion:

  • [By Chris Dieterich]

    What about apparel companies and retailers? Morgan Stanley likes companies that target brands that are most popular with “lower-income consumers,” who they deem as most likely to put the money they save into new purchases. Analysts like The Children’s Place (PLCE), Foot Locker (FL), Finish Line (FINL), Brown Shoe (BWS), and Skullcandy (SKUL). The same applies for retailers including Aeropostale (ARO) Burlington Stores (BURL) and Ross Stores (ROST).

  • [By Ben Levisohn]

    Off-price retailers, such as TJX/Ross Stores (ROST)/Burlington Stores, could have upside benefit on inventory dislocation. Delays are likely to increase availability of compelling product supply, given late product could yield excess inventory. Our favorite ideas are TJX and Burlington Stores. TJX keeps high open-to-buy levels given lean inventories (+3%/store @ end of 3Q vs. comps +2%), and their $23bn+ buying pencil provides ample flexibility to capitalize on advantageous product opportunities. We are raising our Burlington Stores price target to $54 (from $52) given structural tailwinds behind the Off-price group as it relates to inventory availability and Burlington’s already improving inventory position. Burlington’s recently opened west coast buying office should be helpful in acquiring inventory. We see upside to consensus merch margin estimates through next year given current inventory position.

Top Retail Stocks For 2016: L Brands Inc (LTD)


L Brands, Inc., formerly Limited Brands, Inc, incorporated on March 16, 1982, operates in the specialty retail business. The Company is a specialty retailer of women’s intimate and other apparel, beauty and personal care products and accessories. The Company operates in two segments: Victoria’s Secret and Bath & Body Works. It sells its merchandise through Company-owned specialty retail stores in the United States, Canada and the United Kingdom, which are primarily mall-based, and through Websites, catalogue and international franchise, license and wholesale partners. The Company operates in brands, such as Victoria’s Secret, Victoria’s Secret Pink, Bath & Body Works, La Senza, and Henri Bendel. The Company’s business for both the Victoria’s Secret and Bath & Body Works segments is principally conducted from office, distribution and shipping facilities located in the Columbus, Ohio area.


As of February 2, 2013, it operated 255 retail stores located in leased facilities, primarily in malls and shopping centers, throughout the Canadian provinces. As of February 2, 2013, it operated two retail stores in London. As of February 2, 2013, it operated 2,619 retail stores located in leased facilities, primarily in malls and shopping centers, throughout the United States. As of February 2, 2013, it also had 339 licensed La Senza stores in 32 countries; 38 franchised Bath & Body Works stores in nine countries; three franchised Victoria’s Secret stores in two Middle Eastern countries, and 108 independently owned Victoria’s Secret Beauty and Accessories stores and various small-format locations in over 50 countries.


Victoria’s Secret, including Victoria’s Secret Pink, is a specialty retailer of women’s intimate and other apparel with fragrances and cosmetics, supermodels and runway shows. The Company sells its Victoria’s Secret products at more than 1,000 Victoria’s Secret stores in the United States, Cana da, United Kingdom and through the Victoria’s Secret catal! ogue and online at www.VictoriasSecret.com. Additionally, Victoria’s Secret brand products are also sold in stores operated by partners under a franchise or wholesale model throughout the world.

Bath & Body Works is a specialty retailer of home fragrance and personal care products, including shower gels, lotions, soaps and sanitizers. The Company sells its Bath & Body Works products at more than 1,600 Bath & Body Works stores in the United States and Canada and online at www.BathandBodyWorks.com. Additionally, Bath & Body Works brand products are available at franchise locations throughout the world.

La Senza is a specialty retailer of women’s intimate apparel. The Company sells its La Senza products at more than 150 La Senza stores in Canada and online at www.LaSenza.com. Additionally, La Senza has more than 330 stores in 32 countries operating under franchise and licensing arrangements. Henri Bendel sells upscale accessory products through its New York flagship and 28 other stores, as well as online at www.HenriBendel.com.

Advisors’ Opinion:

  • [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

  • [By Ben Levisohn]

    Shares of the Gap have jumped 8.9% to $41.12, while L Brands (LTD) has gained 1.6% to $62.77, Urban Outfitters (URBN) has risen 2.1% to $39.27 and Ann (ANN) has advanced 1.5% to $35.47.

  • [By Lauren Pollock]

    L Brands Inc.(LTD) expects its fiscal third-quarter earnings to come in at the high end of its previous guidance as the retailer posted stronger-than-expected same-store sales for October. Shares edged up 1.3% to $63.85 premarket.

  • [By Louis Navellier]

    Epsilon’s expertise is in direct marketing and advertising solutions, specializing in brand building, customer intelligence and predictive modeling. Finally, the company’s Private Label Services and Credit division offers credit card processing, billing and payment processing as well as collection services for private label retailers. Through these three units, the company serves clients in financial services, specialty retail, petroleum retail, automotive, hospitality, pharmaceuticals and a wide range of other markets. Its top clients include Merck (MRK), Ford (F), L Brands (LTD), FedEx (FDX) and Shell Oil (RDS.A, RDS.B).