E-commerce stocks are down, but physical stores are resilient.
Earnings season is well under way, and e-commerce stocks have been crushed, from $Amazon(AMZN.US$ to $Shopify(SHOP.US$ and $Wayfair(W.US$ , as investors were spooked by the companies' downbeat commentary and guidance. Not only is inflation hurting Americans' spending power, but after two years of pandemic life, people are often choosing to use what little discretionary funds remain for experiences rather than goods.
No wonder then that investors are worried about the outlook for big traditional retailers, including $Walmart(WMT.US$ $Target(TGT.US$ $Home Depot(HD.US$ and $Lowe's Companies(LOW.US$ , which will usher in the next big wave of retailer earnings the week after next.
Part of the reason e-commerce stocks have been hit especially hard is that more consumers are returning to bricks-and-mortar locations.
No wonder then that investors are worried about the outlook for big traditional retailers, including $Walmart(WMT.US$ $Target(TGT.US$ $Home Depot(HD.US$ and $Lowe's Companies(LOW.US$ , which will usher in the next big wave of retailer earnings the week after next.
Part of the reason e-commerce stocks have been hit especially hard is that more consumers are returning to bricks-and-mortar locations.
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Giovanni Ayala :
MeltyyOP Giovanni Ayala:
Zerocool888 : Common sense why physical stores are up. Even a 6 year kid knows why. When you are cope too long at home, you do nothing but go online to buy stuffs. As time goes by, naturally human will be pressured during the lockdown few months ago. Everyone wants to be out and what better way then to visit physical stores and spend their money. It feels great spending money and able to feel the product instantly. However for me, I will still chose e-Commerce platform as it’s able to save me some money due to online discount only.
Giovanni Ayala MeltyyOP: Hi
MeltyyOP Zerocool888:
bananarama : e-commerce won't go away. pple go to physical stores to look at the goods, and then order then online. at least I do.
Giovanni Ayala : advertise so they don't go to local stores
MeltyyOP Giovanni Ayala: But the advertising industry seems to have taken a big hit this year
Giovanni Ayala MeltyyOP: That's true also