{
}
UBS has identified TPR, TJX, and ROST as the most crowded long positions in its Softlines coverage, with TPR, HBI, FL, GIII, and ONON seeing significant increases in crowding scores. Conversely, GAP, AS, KTB, LULU, and M have experienced notable declines in long positions. Currently, no Softlines stocks are exhibiting crowding short momentum, which historically has shown weak performance.
Off-price retailers are significantly outperforming department stores in sales and profitability, capturing 59.5% of total sales and 76.6% of profits, according to UBS. The firm rates TJX Companies and Burlington Stores as Buys, while maintaining Sell ratings on Macy’s, Dillard’s, and Kohl’s due to weaker growth prospects. Despite a valuation premium, UBS expects off-price retailers to continue their strong performance and gain market share.
Off-price retailers are significantly outperforming department stores in both sales and profitability, capturing 59.5% of total sales and 76.6% of profits, according to UBS. The firm maintains Buy ratings for TJX Companies and Burlington Stores, while remaining bearish on department stores like Macy’s and Kohl’s due to weaker growth prospects. Despite higher valuations for off-price stocks, UBS expects their strong fundamentals to sustain this trend.
UBS has downgraded its outlook on U.S. softline retail stocks to neutral, citing a decline in consumer sentiment and a weakening sales forecast. The bank noted three months of decreasing consumer willingness to spend and a 1.7% year-over-year drop in spending intentions for soft goods.Despite concerns about economic conditions, UBS believes that fear may be influencing sentiment more than actual financial stress, as most consumers are not personally worried about job loss. The firm highlights several buy-rated softline stocks, including AEO, ANF, and TJX, as potential long-term investment opportunities.
TJX Companies Inc
Companies
The information provided herein is generated by experimental artificial intelligence and is for informational purposes only.
investor crowding increases in retail stocks according to UBS analysis
13:37 02.04.2025
off-price retailers outperform department stores in sales and profitability trends
United States Dollar
Macy's, Inc.
Kohl's Corp
Burlington Stores, Inc.
Dillard's, Inc.
Nordstrom, Inc.
Ross Stores, Inc.
TJX Companies Inc
USA
Show more
20:04 31.03.2025
off-price retailers outperform department stores in sales and profitability trends
Macy's, Inc.
Kohl's Corp
Burlington Stores, Inc.
Dillard's, Inc.
Nordstrom, Inc.
Ross Stores, Inc.
TJX Companies Inc
USA
Show more
19:37 31.03.2025
ubs downgrades outlook on us softline stocks amid declining consumer sentiment
15:03 24.03.2025
Trending
Subcategory
Stock Market Updates
Corporate News
Industry Trends
Global Trade Developments
Global Financial Events
Retail and Consumer Goods
Banking Regulations
Startups & Entrepreneurship
Central Bank Actions
Finance Mergers & Acquisitions
Industry Mergers & Acquisitions
Inflation and Monetary Impact
Government Economic Policies
CEO Changes
Market Analysis and Predictions
Domestic Politics
Government Policies
Workplace Trends
GDP Growth & Recession Forecasts
Financial Scams and Security
Countries:
Companies:
Tesla, Inc.
Apple Inc.
Barclays PLC
JPMorgan Chase & Co.
Deutsche Bank Money Market PP
The Goldman Sachs Group, Inc.
Credit Suisse Strategic Income I
Banco Santander, S.A.
SpaceXCoin USD
Morgan Stanley
Berkshire Hathaway Inc.
Bank of America Corporation
UBS Group AG
BNP Paribas SA
NVIDIA Corporation
Lloyds Banking Group plc
Bank Frick AG
Citigroup Inc.
Amazon.com, Inc.
Wells Fargo & Company
Currencies:
United States Dollar
Euro
Japanese Yen
British Pound Sterling
Swiss Franc
Indian Rupee
Chinese Yuan
South Korean Won
Canadian Dollar
Vietnamese Đồng
Australian Dollar
Thai Baht
Indonesian Rupiah
Singapore Dollar
Mexican Peso
New Taiwan Dollar
Russian Ruble
Hong Kong Dollar
Offshore Chinese Yuan
New Zealand Dollar
People: