Do You Have These Top Consumer Stocks On Your Radar Now?
The past trading week has been exciting, to say the least. Despite all of the ups and downs, consumer stocks continue to make waves in the stock market today. If anything, the consumer-focused industry continues to hold strong now. This is evident as August’s retail sales figures smashed expectations, rising by 0.7% versus an estimated drop of 0.8%. Moreover, the current broad-based rebound in the stock market could indicate that investors’ sentiment on the economy is improving.
Evidently, we could look at the likes of Roku (NASDAQ: ROKU) right now. Just yesterday, Guggenheim analyst Michael Morris provided a positive update on the stock. Namely, Morris hit ROKU stock with a Buy rating and a price target of $395. Morris cites Roku’s aggressive expansion of its original content and penetration of international markets as core reasons for the upgrade.
At the same time, there is some interesting movement going on with Nike’s (NYSE: NKE) shares as well. Yesterday, the company posted its first-quarter earnings after the closing bell. In short, Nike reported an earnings per share of $1.16 on revenue of $12.25 billion for the quarter. This is against estimates of $1.11 and $12.46 billion. Investors appear to be focusing on Nike’s revenue miss which is mostly due to temporary supply chain pressures. Regardless, as one of the biggest names in the sports apparel industry globally, some could see opportunity in NKE stocks’ current weakness. With all this activity in the space now, could one of these consumer stocks be worth investing in?
Best Consumer Stocks To Buy [Or Sell] Today
- Beyond Meat Inc. (NASDAQ: BYND)
- Trip.com Group Ltd. (NASDAQ: TCOM)
- Vail Resorts Inc. (NYSE: MTN)
- Costco Wholesale Corporation (NASDAQ: COST)
- Stitch Fix Inc. (NASDAQ: SFIX)
Beyond Meat Inc.
Beyond Meat is a plant-based meat substitutes retailer with headquarters in California. The company offers plant-based options in the beef, poultry, and pork categories. In fact, it is one of the fastest-growing food companies in the U.S. as more people are increasingly alternating to plant-based options. Its products are designed to have the same taste and texture as animal-based meat while being the better option for the environment. BYND stock has almost doubled in valuation since its pandemic era low.
In August, the company reported its second-quarter financials. Diving in, net revenue for the quarter was $149.4 million, increasing by 31.8% year-over-year. Furthermore, gross profit for the quarter was $47.4 million. The company saw record net revenues and also continues to return to growth in the foodservice industry as its customers welcome consumers back to their venues. Not resting on its laurels, the company also continues to make substantial investments in its long-term growth in the U.S. and abroad. Given all of this, will you consider investing in BYND stock right now?
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Trip.com Group Ltd
Following that, we have multinational online travel company Trip.com, a leading one-stop travel platform globally. It integrates a comprehensive suite of travel products and services and differentiated travel content. It is the go-to destination for travelers in China and around the world. Impressively, it is currently one of the largest online travel agencies in China and also one of the largest travel service providers in the world.
After yesterday’s closing bell, Trip.com posted solid figures in its second fiscal quarter earnings report. In it, the company saw a total revenue of $912 million for the quarter. This marks a significant year-over-year jump of 86%. In terms of net income, the company saw a 43% increase over the same period. CEO Jane Sun cites Trip.com’s focus on the domestic market as a core contributor to this solid quarter for the company. Overall, given this piece of news, will you consider adding TCOM stock to your portfolio right now?
Vail Resorts Inc.
Vail Resorts is a leading global mountain resort operator. The company and its subsidiaries operate 37 destination mountain resorts and regional ski areas. In essence, it owns and/or manages a collection of casually elegant hotels under the RockResorts brand. It also has a development company that is in the real estate planning and development business. MTN stock is up by over 40% in the past year alone.
Recently, KeyBanc Capital Markets upgraded Vail Resorts to an Overweight rating from Sector Weight and hit it with a price target of $355. Analyst Brett Andreas says that demand for skiing vacations was exceeding expectations with some bookings already at record levels. Not to mention, the company continues to gain momentum on the financial front. In its fourth fiscal quarter earnings call, Vail reported a net income of $127.9 million, marking a sizable 29.4% year-over-year increase. After considering that pandemic-related factors still weigh on its key operations, the company’s fundamentals are admirable. Moreover, the company also declared a cash dividend of $0.88 per share, to investors’ delight. All things considered, will you buy MTN stock?
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Costco Wholesale Corporation
Next up, we will be taking a look at Costco. For the most part, the multinational consumer staples giant would be another player to consider in the stock market today. The main factor differentiating Costco from its retail competitors would be its membership-only big-box operations. Simply put, the company only caters to members and sells daily necessities in bulk. Amidst the ongoing pandemic and climate crises, Costco’s offerings could see greater demand from consumers.
By and large, with COST stock sitting on year-to-date gains of over 19%, could it be worth investing in? Well, for one thing, the company beat Wall Streets’ projections across the board in its latest quarterly earnings report. In detail, Costco posted an earnings per share of $3.76 on revenue of $62.7 billion for the quarter. For some perspective, consensus estimates suggest an earnings per share of $3.59 on revenue of $61.6 billion. All in all, would you consider adding COST stock to your portfolio?
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Stitch Fix Inc.
Another name to know in the consumer stock space now would be Stitch Fix. In brief, it is an online personal styling service. Through a combination of artificial intelligence and data science, Stitch Fix provides customers with personalized e-commerce experiences. Given the prevalence of online shopping throughout the pandemic, SFIX stock could be in focus among investors. In fact, the company’s shares are up by over 15% just this week on account of its solid earnings report.
Notably, Stitch Fix raked in a total revenue of $571.16 million for the quarter, marking a 28% year-over-year increase. Additionally, the company also reported massive year-over-year spikes of over 145% in both its net income and earnings per share. Despite beating analyst estimates on these fronts, Stitch Fix does not seem to be slowing down anytime soon. This appears to be the case as the company is expanding its services with Stitch Fix Freestyle, a “differentiated shopping experience”. This would give customers a more instant and flexible means of shopping on its platform. As such, could SFIX stock be a top pick in the stock market now?
