Latest news with #ChristopherHorvers
Business Insider
3 days ago
- Business
- Business Insider
‘Buy Wayfair and Best Buy Stocks,' Says Five-Star Analyst
JPMorgan analysts, led by five-star rated Christopher Horvers, believe that Best Buy (BBY) and Wayfair (W) present a good balance of risk and reward, even if they aren't among the safest retail investments. Indeed, in a research note published on Monday, the firm said that both companies are 'worth the risk' and may offer solid upside potential despite current challenges facing the retail sector. As a result, JPMorgan has Buy ratings on both stocks. Confident Investing Starts Here: For Best Buy, the firm is expected to see a boost in June as pre-orders for the new Nintendo Switch (NTDOY) are recognized in its financials. Furthermore, this momentum is likely to continue into July due to back-to-school shopping, especially in categories like laptops, tablets, and phones. Interestingly, though, JPMorgan noted that while tariffs have already been factored into Best Buy's guidance, there's still some risk, particularly in non-computer categories. Nevertheless, the analysts believe that the stock is attractively priced at current levels. At the same time, Wayfair, which focuses on home goods through an online platform, is also seen as undervalued. In fact, JPMorgan believes that investors may be misjudging how tariffs will affect the company since Wayfair doesn't operate like a traditional brick-and-mortar retailer. Although its stock is trading just above $41 and is down nearly 7% in 2025, the bank suggests that there is the potential for a recovery as tariff concerns ease and sentiment improves. Which Retail Stock Is the Better Buy? Overall, out of the two stocks mentioned above, analysts think that BBY stock has more room to run than W. In fact, BBY's price target of $80.53 per share implies almost 18% upside versus W's 43.42%.
Yahoo
25-05-2025
- Business
- Yahoo
JP Morgan Keeps Neutral Rating on Target (TGT), Lifts PT
On May 22, JPMorgan analyst Christopher Horvers raised the firm's price target on Target Corp. (NYSE:TGT) to $109 from $105 and kept a Neutral rating on the stock. The update followed Target Corp.'s (NYSE:TGT) weaker-than-expected Q1 2025 earnings on May 21. While the analyst acknowledged TGT's position as a "relevant retailer" in the space, he opined that a better macro backdrop is essential to support goods purchasing. Ken Wolter / Fiscal Q1 2025 sales for the company showed a comparable sales drop of 3.8%, at the lower end of the forecast. EPS also fell to $1.30 compared to $2.03 last year, including around a $0.50 shrink recapture. The analyst told investors in a research note that share loss and discretionary weakness led to the Q1 comps miss. Target Corp.'s (NYSE:TGT) core merchandise margins were reported to have dropped by 125 basis points. The analyst pointed out that the company experienced a market share loss in several categories, including grocery and household essentials. These categories are a key part of the company's product mix and are essential for driving traffic. Despite the ongoing challenges, management expects to relieve supply chain and merchandising pressures, suggesting that its $8.00 to $10.00 GAAP earnings per share outlook provides a better and clearer picture of its core profitability. It also reflects an operating margin of around 5%. While we acknowledge the potential of TGT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TGT and that has 100x upside potential, check out our report about the . READ NEXT: and . Disclosure: None. Sign in to access your portfolio
Yahoo
25-05-2025
- Business
- Yahoo
JP Morgan Keeps Neutral Rating on Target (TGT), Lifts PT
On May 22, JPMorgan analyst Christopher Horvers raised the firm's price target on Target Corp. (NYSE:TGT) to $109 from $105 and kept a Neutral rating on the stock. The update followed Target Corp.'s (NYSE:TGT) weaker-than-expected Q1 2025 earnings on May 21. While the analyst acknowledged TGT's position as a "relevant retailer" in the space, he opined that a better macro backdrop is essential to support goods purchasing. Ken Wolter / Fiscal Q1 2025 sales for the company showed a comparable sales drop of 3.8%, at the lower end of the forecast. EPS also fell to $1.30 compared to $2.03 last year, including around a $0.50 shrink recapture. The analyst told investors in a research note that share loss and discretionary weakness led to the Q1 comps miss. Target Corp.'s (NYSE:TGT) core merchandise margins were reported to have dropped by 125 basis points. The analyst pointed out that the company experienced a market share loss in several categories, including grocery and household essentials. These categories are a key part of the company's product mix and are essential for driving traffic. Despite the ongoing challenges, management expects to relieve supply chain and merchandising pressures, suggesting that its $8.00 to $10.00 GAAP earnings per share outlook provides a better and clearer picture of its core profitability. It also reflects an operating margin of around 5%. While we acknowledge the potential of TGT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TGT and that has 100x upside potential, check out our report about the . READ NEXT: and . Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
15-05-2025
- Business
- Yahoo
CPI Undershoots But Core Inflation Stays Stubborn: JP Morgan
The Consumer Price Index (CPI) was 2.3% higher than a year ago, the Bureau of Labor Statistics said Tuesday, below the economists' expectations of 2.4% and the previous reading. The monthly gain was 0.2%, rebounding from a prior decline of 0.1%, yet falling short of a 0.3% forecast. The core CPI rose to 2.8% on an annual basis, unchanged from both the previous and expected 2.8%. Month over month, it increased 0.2%, inching higher from the 0.1% uptick in March but below expectations of 0.3%. Trending: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Shelter remained a major contributor to inflation, rising 0.3% in April and accounting for over half of the monthly increase in the overall Consumer Price Index. Meanwhile, several categories posted price declines, including airline fares, used cars and trucks, communication services, and apparel. JP Morgan writes, 'Despite an overall cooler-than-expected report, the April CPI likely shows modest tariff pass-through with several hardlines retailers taking price ahead of costs.' On a quarterly basis, the most significant price drops compared to the fourth quarter were seen in TVs, sporting goods, auto parts (which moved from rising to falling prices), and motor oil/coolant/fluids (where prices are still rising but at a slower rate). Meanwhile, prices went up or dropped less sharply in categories like building products, which shifted to rising prices, toys/games/hobbies/playground equipment, helped by price increases noted by companies like Hasbro Inc (NASDAQ:HAS) and Mattel Inc (NASDAQ:MAT), pet food (smaller price declines), and home furnishings (prices increased).Inflation for food at home dropped by 0.4 percentage points from last month, now sitting just above 2% year-over-year. Grocery prices rose by about 0.4 percentage points during the recent retail quarter, and analyst Christopher Horvers expects more price increases in the second quarter. Pet food prices increased slightly, rising 0.3 percentage points from the previous month, though they're still down 0.6% compared to last year. Looking at two-year trends, food-at-home inflation dipped about 0.2 percentage points, while pet food prices fell by roughly 0.8 percentage points. Read Next: Hasbro, MGM, and Skechers trust this AI marketing firm — Invest before it's too late. Deloitte's fastest-growing software company partners with Amazon, Walmart & Target – Many are rushing to grab 4,000 of its pre-IPO shares for just $0.30/share! Photo via Shutterstock Send To MSN: Send to MSN UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article CPI Undershoots But Core Inflation Stays Stubborn: JP Morgan originally appeared on
Yahoo
28-01-2025
- Business
- Yahoo
Exclusive: The Container Store emerges from Chapter 11 bankruptcy
The Container Store is back from bankruptcy. The struggling home goods emerged from Chapter 11 bankruptcy on Tuesday, Yahoo Finance learned exclusively. In a release, the company said it "achieved the objectives it set for this process" in late December. That includes refinancing its short-term debt, reducing "previous long-term debt obligations," gaining access to $40 million in new money financing, and "modifying its asset-backed lending facility to add $40 million in upsized capacity." Throughout the process, the business operated as usual across stores, online, and in-home services. It was also able to "[meet] its obligations to vendors, employees and customers." No employees were let go, but the company did close down two stores since the bankruptcy filing. The closings were separate from the bankruptcy process. Formerly under the ticker TCSG, the company is now private after the restructuring process. For the quarter ended Sept. 28, 2024, The Container Store listed total liabilities of $836.4 million against $969 million in total assets. CEO Satish Malhotra — a former Sephora executive who took the top job in 2021 — called this a "new chapter" for the 46-year-old company, adding that it has a "healthier balance sheet that positions the company for profitable growth." It has been unprofitable for the past two fiscal years, with losses tallying about $10 million for the fiscal year ended Sept. 28, 2024. The bankruptcy did not include the company's Elfa home goods business in Sweden. The company operates 102 stores across 34 states. But it couldn't keep up with competition from Walmart (WMT), Amazon (AMZN), and Target (TGT) as a frenzy of demand from shoppers renovating their homes during COVID-19 passed. The company is among a string of retailers falling into bankruptcy, including Party City and Joann, which filed its second bankruptcy earlier this week. Big Lots also announced plans to close entirely at the end of last year. In a note ahead of the Container Stores' last earnings results as a public company, JPMorgan analyst Christopher Horvers said its results were "plagued by continued macro headwinds delaying a return to growth for the category." He added that the company "has yet to see green shoots" as consumers stocked up during COVID and said he expected "an increasingly promotional environment and event-driven consumer." Now, the company has "renewed energy and excitement to deliver for our customers,' Malhotra said in a statement about plans to optimize the business and enhance its offerings and the customer experience. — Brooke DiPalma is a senior reporter for Yahoo Finance. Follow her on Twitter at @BrookeDiPalma or email her at bdipalma@ Click here for all of the latest retail stock news and events to better inform your investing strategy Sign in to access your portfolio
