Consumer confidence neared an 18-year high last month. Now it looks like the 2018 holiday shopping season is shaping up to be a big one. So, let’s dive into three retailers that seem like strong buys right now that might also get a boost from a rise in holiday season spending.  

September’s Consumer Confidence Index closed in on an 18-year high and retailers from Target (TGT – Free Report) to Walmart (WMT – Free Report) proved they can thrive through e-commerce initiatives, improved stores, and new partnerships. And now that we have moved into October the holiday shopping period is on the minds of consumers, retailers, and investors.

The National Retail Federation announced earlier this week that it predicts that holiday retail sales in November and December, which excludes automobiles, gasoline, and restaurants, will jump between 4.3% and 4.8% this year. The NRF projects that total sales could climb as high as $720.89 billion. Investors should note that this comes after 2017’s sales popped 5.3% to $687.87 billion.

“With this year’s forecast, we continue to see strong momentum from consumers as they do the heavy lifting in supporting our economy,” NRF chief economist Jack Kleinhenz said in a statement. “The combination of increased job creation, improved wages, tamed inflation and an increase in net worth all provide the capacity and the confidence to spend.”

The firm also noted that its holiday shopping season forecast nearly matches its overall 2018 retail forecast. Now let’s look at three retail stocks that appear to be solid buys at the moment.

Canada Goose (GOOS – Free Report)

Canada Goose, which sells high-priced down jackets, is coming off a strong start to the year in its “smallest fiscal quarter,” with total revenues up 58.5% last period. The firm’s direct-to-consumer business shined as did in-store sales. Looking ahead, Canada Goose is projected to see its current quarter revenues jump by nearly 9%, based on our current Zacks Consensus Estimate. But the real growth looks like it will come during its fiscal third-quarter, which includes the holiday shopping period, with revenues projected to jump over 25% to $262.15 million.  

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