Lower Gas Prices Boost Consumer Confidence, Highlighting Four Retail Stocks

Industry
โดย Zacks Investment Research·Read original
Summary · why it matters

U.S. consumer confidence edged up to 91.2 in June from a downwardly revised 90.6 in May, supported by easing inflation as lower oil and gasoline prices reduced pressure on household budgets. The Present Situation Index declined 3 points to 116.4, while the Expectations Index advanced 3 points to 74.4, indicating mixed underlying sentiment. Zacks Investment Research identifies Five Below, Casey's General Stores, Ross Stores, and Dollar Tree as well-positioned to benefit from improved disposable income and selective consumer spending. Five Below and Casey's both carry a Zacks Rank of 1, or Strong Buy, with consensus estimates projecting double-digit sales and earnings growth for the current fiscal year. Ross Stores also holds a Zacks Rank of 1, while Dollar Tree carries a Zacks Rank of 2, or Buy.

Impact on stocks 4

Consumer Staples · 2 stocks
Dollar Tree Inc
DLTR
▲ PositiveDemandrelevance

Lower gas prices boost disposable income, benefiting Dollar Tree's discount retail sales.

Consumer Discretionary · 2 stocks
Five Below Inc
FIVE
▲ PositiveDemandrelevance

Lower gas prices boost disposable income, benefiting Five Below's discretionary spending.

Ross Stores Inc
ROST
▲ PositiveDemandrelevance

Lower gas prices boost disposable income, benefiting Ross Stores' off-price retail sales.