Six Attractive and Six Unattractive Retail Stocks

Value Expectations submits: When managing clients' money, it is just as important for professional investors to be able to avoid potential torpedoes in the market, as it is to discover the next attractive investment opportunity poised to hit a return home run. The Applied Finance Group (AFG) has proven through its Buy-Sell list returns that it does a good job of both identifying winners in the market as well as avoiding potential torpedoes.

Value Expectations submits: The retail sector has got off to a good start in 2011, despite major headwinds from commodity costs inflation and rising gas prices. In February 2011, retail sales rose 1.0% following a 0.7% increase in January. This was the 8th straight month of increase in retail sales and the largest gain since October last year.

Value Expectations submits: With Black Friday kicking off this morning, we have focused our attention on retail stocks we find attractive. If you are a subscriber to our weekly newsletter, you can access our top 10 retail picks within the S&P 500, as well as get an understanding of the embedded expectations in the retail sector.

In a news release that would have been blamed on delayed tax refunds and "the weather" if it was a miss, but confirms a stronger consumer if it beat, and denies everything Wal Mart was warning about regarding February sales, today's retail sales just came stronger than expected in both the headline print (+1.1%, on expectations of a +0.5% rise), the Ex-Autos (+1.0%, Exp. 0.5%), and the Ex-autos and gas (0.4%, Exp. 0.2%). All of this of course was on a seasonally-adjusted basis (more on this shortly).

In a news release that would have been blamed on delayed tax refunds and "the weather" if it was a miss, but confirms a stronger consumer if it beat, and denies everything Wal Mart was warning about regarding February sales, today's retail sales just came stronger than expected in both the headline print (+1.1%, on expectations of a +0.5% rise), the Ex-Autos (+1.0%, Exp. 0.5%), and the Ex-autos and gas (0.4%, Exp. 0.2%). All of this of course was on a seasonally-adjusted basis (more on this shortly).

Value Expectations submits: In yesterday’s article on VE.com we provided our readers a list of the most attractive stocks from every major AFG sector (ex.

The market is entering a turbulent and dangerous environment for retail stocks.  A  deadly combination of higher input costs and weakening consumers has crimped margins and raised questions about further sales growth.

Retail Geeks submits: Retailers reporting monthly sales numbers generally beat expectations. We show 15 retailers beating their consensus comp store sales expectation for August 2010. We show 5 retailers meeting their consensus comp store sales expectation for August 2010. Only 5 retailers missed their consensus comp store sales expectations for August 2010.There was no mention of greater tax-free sales holiday days in August 2010 versus LY.