I call this
seasonally investing. Black Friday, Christmas, summer...each event has its own
kings to observe.
Not surprisingly, retail stocks can be big performers during the Christmas season. According to Forbes, stocks that perform well during the holiday season range from big box retailers like Target and Wal-Mart to specialized retailers like Coach.
Additionally, with the prevalence of online shopping and convenience of e-commerce options, air, freight and ground shipping surge during the holidays, and can provide solid returns for investors who already own those stocks. UPS or Fedex, the Warren Buffet investment target, are two well knows companies from this field.
Not surprisingly, retail stocks can be big performers during the Christmas season. According to Forbes, stocks that perform well during the holiday season range from big box retailers like Target and Wal-Mart to specialized retailers like Coach.
Additionally, with the prevalence of online shopping and convenience of e-commerce options, air, freight and ground shipping surge during the holidays, and can provide solid returns for investors who already own those stocks. UPS or Fedex, the Warren Buffet investment target, are two well knows companies from this field.
Companies
such as American Express and PayPal are also big benefiters during the holiday
season. While credit cards are a common method of payment at retail
establishments, many shoppers opt for PayPal for e-commerce transactions.
Credit card use tends to increase as the economy improves, because Americans
begin to feel more comfortable with debt. If you previously purchased this type
of stock at a lower rate, you may see some healthy returns due to holiday
performance.
Attached are seven
companies worth considering right now. They have a great dividend yield, solid till
high earnings growth forecasts and a moderate forward P/E, which is one of the
most important criteria. You can only pay high multiples when a company has a
high change of structural growth.
Kohl's Corporation -- Yield: 4.00%
Kohl's Corporation (NYSE:KSS) employs 32,000 people, generates revenue of $19,023.00 million and has a net income of $867.00 million. The current market capitalization stands at $8.75 billion.Kohl's Corporation’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,575.00 million. The EBITDA margin is 13.54% (the operating margin is 8.88% and the net profit margin 4.56%).
Financials: The total debt represents 32.93% of Kohl's Corporation assets and the total debt in relation to the equity amounts to 79.25%. Due to the financial situation, a return on equity of 14.49% was realized by Kohl's Corporation.
Twelve trailing months earnings per share reached a value of $3.82. Last fiscal year, Kohl's Corporation paid $1.56 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 11.82, the P/S ratio is 0.46 and the P/B ratio is finally 1.51. The dividend yield amounts to 4.00%.
Stock Charts:
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| Long-Term Stock Price Chart of Kohl's Corporation (KSS) |
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| Long-Term Dividend Payment History of Kohl's Corporation (KSS) |
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| Long-Term Dividend Yield History of Kohl's Corporation (KSS) |
GameStop -- Yield: 3.34%
GameStop (NYSE:GME) employs 18,000 people, generates revenue of $9,296.00 million and has a net income of $393.10 million. The current market capitalization stands at $4.54 billion.GameStop’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $774.50 million. The EBITDA margin is 8.33% (the operating margin is 6.65% and the net profit margin 4.23%).
Financials: The total debt represents 8.38% of GameStop assets and the total debt in relation to the equity amounts to 17.20%. Due to the financial situation, a return on equity of 18.20% was realized by GameStop.
Twelve trailing months earnings per share reached a value of $3.64. Last fiscal year, GameStop paid $1.32 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.06, the P/S ratio is 0.49 and the P/B ratio is finally 2.24. The dividend yield amounts to 3.34%.
Stock Charts:
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| Long-Term Stock Price Chart of GameStop (GME) |
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| Long-Term Dividend Payment History of GameStop (GME) |
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| Long-Term Dividend Yield History of GameStop (GME) |
Wal-Mart Stores -- Yield: 3.27%
Wal-Mart Stores (NYSE:WMT) employs 2,200,000 people, generates revenue of $485,651.00 million and has a net income of $16,814.00 million. The current market capitalization stands at $192.45 billion.Wal-Mart Stores’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $36,320.00 million. The EBITDA margin is 7.48% (the operating margin is 5.59% and the net profit margin 3.46%).
Financials: The total debt represents 24.65% of Wal-Mart Stores assets and the total debt in relation to the equity amounts to 61.63%. Due to the financial situation, a return on equity of 20.40% was realized by Wal-Mart Stores.
Twelve trailing months earnings per share reached a value of $4.78. Last fiscal year, Wal-Mart Stores paid $1.92 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.41, the P/S ratio is 0.40 and the P/B ratio is finally 2.38. The dividend yield amounts to 3.27%.
Stock Charts:
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| Long-Term Stock Price Chart of Wal-Mart Stores (WMT) |
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| Long-Term Dividend Payment History of Wal-Mart Stores (WMT) |
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| Long-Term Dividend Yield History of Wal-Mart Stores (WMT) |
Target Corporation -- Yield: 2.94%
Target Corporation (NYSE:TGT) employs 347,000 people, generates revenue of $72,618.00 million and has a net income of $2,449.00 million. The current market capitalization stands at $47.89 billion.Target Corporation’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $6,665.00 million. The EBITDA margin is 9.18% (the operating margin is 6.25% and the net profit margin 3.37%).
Financials: The total debt represents 30.91% of Target Corporation assets and the total debt in relation to the equity amounts to 91.42%. Due to the financial situation, a return on equity of 16.20% was realized by Target Corporation.
Twelve trailing months earnings per share reached a value of $4.52. Last fiscal year, Target Corporation paid $1.99 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 16.63, the P/S ratio is 0.66 and the P/B ratio is finally 3.49. The dividend yield amounts to 2.94%.
Stock Charts:
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| Long-Term Stock Price Chart of Target Corporation (TGT) |
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| Long-Term Dividend Payment History of Target Corporation (TGT) |
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| Long-Term Dividend Yield History of Target Corporation (TGT) |
Apple -- Yield: 1.89%
Apple (NASDAQ:AAPL) employs 92,600 people, generates revenue of $182,795.00 million and has a net income of $39,510.00 million. The current market capitalization stands at $628.50 billion.Apple’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $60,503.00 million. The EBITDA margin is 33.10% (the operating margin is 28.72% and the net profit margin 21.61%).
Financials: The total debt represents 15.22% of Apple assets and the total debt in relation to the equity amounts to 31.64%. Due to the financial situation, a return on equity of 33.61% was realized by Apple.
Twelve trailing months earnings per share reached a value of $8.66. Last fiscal year, Apple paid $1.82 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.92, the P/S ratio is 3.44 and the P/B ratio is finally 5.80. The dividend yield amounts to 1.89%.
Stock Charts:
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| Long-Term Stock Price Chart of Apple (AAPL) |
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| Long-Term Dividend Payment History of Apple (AAPL) |
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| Long-Term Dividend Yield History of Apple (AAPL) |
Walt Disney -- Yield: 1.25%
Walt Disney (NYSE:DIS) employs 180,000 people, generates revenue of $48,813.00 million and has a net income of $8,004.00 million. The current market capitalization stands at $178.46 billion.Walt Disney’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $13,863.00 million. The EBITDA margin is 28.40% (the operating margin is 23.43% and the net profit margin 16.40%).
Financials: The total debt represents 17.63% of Walt Disney assets and the total debt in relation to the equity amounts to 33.01%. Due to the financial situation, a return on equity of 16.60% was realized by Walt Disney.
Twelve trailing months earnings per share reached a value of $4.82. Last fiscal year, Walt Disney paid $0.86 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 22.41, the P/S ratio is 3.66 and the P/B ratio is finally 4.00. The dividend yield amounts to 1.25%.
Stock Charts:
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| Long-Term Stock Price Chart of Walt Disney (DIS) |
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| Long-Term Dividend Payment History of Walt Disney (DIS) |
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| Long-Term Dividend Yield History of Walt Disney (DIS) |
Costco Wholesale -- Yield: 1.07%
Costco Wholesale (NASDAQ:COST) employs 117,000 people, generates revenue of $116,199.00 million and has a net income of $2,409.00 million. The current market capitalization stands at $65.62 billion.Costco Wholesale’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,751.00 million. The EBITDA margin is 4.09% (the operating margin is 3.12% and the net profit margin 2.07%).
Financials: The total debt represents 18.41% of Costco Wholesale assets and the total debt in relation to the equity amounts to 57.99%. Due to the financial situation, a return on equity of 20.74% was realized by Costco Wholesale.
Twelve trailing months earnings per share reached a value of $5.37. Last fiscal year, Costco Wholesale paid $1.51 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 28.27, the P/S ratio is 0.56 and the P/B ratio is finally 6.18. The dividend yield amounts to 1.07%.
Stock Charts:
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| Long-Term Stock Price Chart of Costco Wholesale (COST) |
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| Long-Term Dividend Payment History of Costco Wholesale (COST) |
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| Long-Term Dividend Yield History of Costco Wholesale (COST) |