There Are 7 ‘Sins’ The Retail Industry Keeps Committing And It’s Killing The Stocks
Credit Suisse has released a list of “seven retail sins,” highlighting some problems faced by retailers that the firm’s analysts saw emerge in a slew of earnings reports over the past few weeks. “Results last week, particularly in the sporting goods space, serve as a reminder of some of the key issues impacting the retail sector,” wrote Credit Suisse analyst Seth Sigman in Monday’s note to clients. “Our view is that retail is not dead, but needs to change, and take the pain.” Major retail stocks including Dick’s Sporting Goods and Foot Locker plunged last week after reporting feeble sales, pulling down other retailers in their wake. After Foot Locker’s report, shares of Nike fell in response, down more than 5 percent since last Thursday. As fears of Amazon dominance drag on the retail industry, Credit Suisse analysts will be looking for retailers that can tackle these seven “sins” to better protect themselves against gloomy sales. See the seven “sins” at CNBC.
