Retailers have begun releasing the results of their holiday season. Normally we would see some clear winners and some clear losers based on holiday gift giving trends or who had the best promotions. This year however investors have been shocked by the additional news that retailers have been offering.
As the first full week of the new year begun the markets have all been excited at the possibilities of another great year...Except the retail sector. Countless number of stores have come out with horrible holiday shopping numbers AND in addition have announced new store closings. Some of these companies were already in the process of closing stores.
Macy's
Kohl's
These are just the names that were in focus this week. The truth is that there are eight other names that are either closing stores or taking some kind of evasive action to try and stay profitable. So whats going on? Amazon
Its no secret that Amazon has been clawing their way into the traditional retail consumers customer base and they have been doing a great job at it. It seems that Amazon can do no wrong by consumers and is slowly becoming the only major player.
So does this mean that all retail stocks are bad? Of course not. There are a group of stocks that investors are calling Amazon "resistant". Costco