Holiday Shopping With The Gurus

Many investors have been bearish on retail-related stocks, particularly after a mediocre start to the holiday shopping season. But Validea CEO John Reese says not to ignore what he thinks is a very attractive industry. “Wall Street always puts too much emphasis on short-term results, and analysts and the media have continually underestimated the American consumer throughout the recovery,” Reese writes in his latest column. “The reaction to the early results from this holiday season is a perfect example of both those trends.” Reese talks about the strong performance of his retailer portfolio, and looks at a handful […]

Consumers Show Resilience, and the Gurus Reap the Benefits

Throughout the Great Recession and the ensuing turnaround that began in mid-2009, many analysts and pundits have said not to expect the economy to get much help from the U.S. consumer. Hamstrung by debt and at the mercy of a weak job market, Americans are going to save more and spend less, the theory goes. And weak consumer spending — which makes up about 70% of the U.S. economy — will mean weak overall growth for the country. But in recent months, the U.S. consumer has shown surprising resiliency. According to the Census Bureau, retail sales have risen in each […]