Wal-Mart Cuts Orders 10 Percent Through Year’s End (Bloomberg)
Consumers have been spending less freely at Wal-mart this quarter than predicted and the global retail giant sees more of the same through the holiday season, so it’s cutting inventory orders by 10 percent through the remainder of the year. Sales through the holiday period are only projected to grow by 2.4 percent — the smallest percentage since 2009, according to ShopperTrak, the Chicago-based company. One supplier, who wished to remain anonymous, said that he couldn’t remember Wal-mart ever ordering reductions two quarters in advance. Wal-mart shares fell 1.5 percent on the news, its biggest decline since Aug. 4. How this pullback affects investors in the rest of the retail segment remains to be seen. Retail stock investors beware.
Jim Woods has over 20 years of experience in the markets from working as a stockbroker,
financial journalist, and money manager. As well as a book author and regular contributor to
numerous investment websites, Jim is the editor of:
Bob Carlson provides independent, objective research covering all the financial issues of retirement and retirement planning. In addition, Bob serves as Chairman of the Board of Trustees of the Fairfax County (VA) Employees’ Retirement System, which has over $2.8 billion in assets.
Hilary Kramer is an investment analyst and portfolio manager with 30 years of experience on Wall Street. Since 2010, Hilary's financial publications have provided stock analysis and investment advice to her subscribers:
Claim your free copy of Dr. Mark Skousen's and Tim Plaehn's new report:
High Yield Havens: 3 Dividend Plays To Safely Hold Forever
Access your free report below:
*By submitting your email, you'll receive this free report, along with complimentary access to Skousen CAFE' and Investors Alley, along with associated financial content and special offers. We value your privacy. You will not be spammed, ever. Period.