Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

3 Apparel Stocks to Buy on Upbeat U.S. Retail Sales

Published 07/28/2021, 05:25 PM
Updated 07/28/2021, 06:30 PM
© Reuters.  3 Apparel Stocks to Buy on Upbeat U.S. Retail Sales

As the economy continues to approve, many retail stores are following suit. Even with COVID cases rising again, people are out shopping for the latest clothing trends. That's why investors should consider apparel companies like Ross Stores (NASDAQ:ROST), TJX Cos. (NYSE:TJX), and Burlington Stores, Inc. (NYSE:BURL).Nationwide retail sales declined nearly 2% in May. However, U.S. retail sales increased more than half a percentage point this past month. This is a positive sign considering some top economists predicted a 0.4% decline.

It is clear the demand for goods is strong, although consumer spending has shifted toward services as opposed to products. Consumer spending is an important gauge of economic health as it accounts for nearly three-quarters of all activity throughout the country. An increase in consumer spending is a sign the economy is transitioning to a higher gear.

The jump in retail sales is significant for apparel companies as heightened retail activity bodes well for clothing sales. Add in the fact that society is reopening, meaning people will spend more time socializing with others while rocking stylish threads, and there is even more reason to invest in apparel stocks. Three such stocks are Ross Stores (ROST), TJX Cos. (TJX), and Burlington Stores, Inc. (BURL).

Continue reading on StockNews

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.