How COVID-19 Changes Are Actually Helping Some Retail Stocks
Oct 07, 2020
For many, 2020 is a year of big changes. For Barclays analyst Adrienne Yih, it is the first time in more than a decade that she’s bullish on specialty retailers, thanks to COVID-19. Yih upgraded her view of the retail sector to Positive from Neutral on Wednesday, the first time she has been upbeat about the space since before the global financial crisis. The oversupply of brick-and-mortar locations and product, along with the margin headwinds that often come with the shift to e-commerce, have long been “driving profits towards zero” in the sector, she writes. Yet COVID-19 has led to major changes, including reduced supply and store closures, which will ultimately benefit the survivors. Read more at Barron’s.
