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A Statement About the Consumer?

scott
edited February 2013 in Off-Topic
Dollar Tree:
45.88 +4.80 (11.68%)

Target:
63.38 -0.67 (-1.05%)

11:21 AM ET Target: Feb Sales Softer Than Expected, But Some Improvement SeenDow Jones
10:52 AM ET Target: Fourth-Quarter Sales Strongest in Less-Discretionary AreasDow Jones
10:45 AM ET Target CEO: 'We Have Tempered View Of Near-Term Sales Environment'Dow Jones
10:44 AM ET Target CEO: U.S. Economy Growing at 'Painfully Slow Rate'
Dow Jones

Both came out with earnings today. Again, market may not care about any implication if this implies deeper issues with the consumer, but that's some move by Dollar Tree.

Edited to add:

Maybe not so much a statement about the consumer as about the business:

AH:

Groupon (GRPN)

4.65-1.33‎ (-22.24%‎)

EDITED TO ADD #2::

JCP Penney
AH
18.10-3.06 (-14.46%)

Comments

  • [Deleted User]
    The user and all related content has been deleted.
  • scott
    edited February 2013
    Reply to @Maurice: I don't buy that much from Target either, although their Archer Farms chips (7 Layer Dip, Spring Roll, Baked Potato, all manner of other, similar flavors - Grilled Cheese and Tomato) are really phenomenal. I suppose there's an aspect of Target that offers fond memories of Venture from the '80's (sort of a previous generation of Target, and some of the people behind Venture went on to create Target.) Thanks for your comments.

    Also after hours:

    JCP Penney
    AH
    18.10-3.06 (-14.46%)

    " J.C. Penney Co Inc reported that sales at stores open at least a year fell 31.7 percent in the fourth quarter, even steeper than the sharp drop analysts expected for the struggling department store chain."

    Yikes! I guess that turnaround is not looking likely.
  • MarkMark
    Reply to @Maurice: Interesting. In my neck of the woods it's pretty much just the opposite wherein folks drive by Walmart to shop at Target. On department store items we really don't see much of a price difference, some more or less at each outlet but there can be a huge quality difference. I guess it all depends on what the shopper is looking for. Target stores here all tend to be spacious, extremely clean and orderly while Walmart stores tend to be crowded or cramped and often messy. Not all are the same but for the most part. On the grocery side Walmart typically beats many of our local grocery outlets including Target on prices for name brand goods but their store brand items are inferior in many ways. Again, what does ones budget allow and what are you willing to pay for it. Also Walmart stores here do not have in-store produce and meat departments. The goods offered are shipped in pre-packaged which can be a huge negative for a lot of shoppers.

    I don't know anything about Dollar Tree, never been in one. For whatever reason I tend to think of them as appealing to those who don't mind the seemingly low quality and matching low prices that many imported goods suggest.
  • scott
    edited February 2013
    Rather than start a new thread, more re: retail -

    http://online.wsj.com/article/SB10001424127887323478304578332761320845552.html
    Best Buy Founder Ends Talks Re: Buyout (earnings tomorrow AM)

    http://www.businessweek.com/news/2013-02-28/barnes-and-noble-has-6-dot-06-million-loss-as-nook-sales-slow
    B & N
    Barnes & Noble Loss Seen Accelerating Selling of Stores

    Sears:
    45.00-2.47‎ (-5.20%‎)
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