Ausbiz – Retail stocks worth putting on your shopping list
In my recent interview with Ausbiz, I discussed the complex landscape for Australian consumers and the retail sector. While higher income earners are driving spending, lower income groups are tightening their belts, focusing on essentials like utilities and mortgages. Data from UBS and Finder reveals consumer trends remain resilient despite economic uncertainty. Retailers like JB Hi-Fi (ASX:JBH) and Nick Scali (ASX:NCK) have shown strong performance by gaining market share, particularly through overseas expansion, whereas others, like Harvey Norman (ASX:HVN), have lagged. Looking ahead to Christmas and Black Friday sales, I expect steady spending from wealthier consumers, but a drop among lower-income households, highlighting the challenges ahead for the retail sector.
You can watch the full interview here: Ausbiz – Retail stocks worth putting on your shopping list
The Montgomery Small Companies Fund owns shares in Nick Scali, JB Hi-Fi and Harvey Norman. This article was prepared 20 September 2024 with the information we have today, and our view may change. It does not constitute formal advice or professional investment advice. If you wish to trade Nick Scali, JB Hi-Fi or Harvey Norman, you should seek financial advice.
Roger Montgomery is the Founder and Chairman of Montgomery Investment Management. Roger has over three decades of experience in funds management and related activities, including equities analysis, equity and derivatives strategy, trading and stockbroking. Prior to establishing Montgomery, Roger held positions at Ord Minnett Jardine Fleming, BT (Australia) Limited and Merrill Lynch.
This post was contributed by a representative of Montgomery Investment Management Pty Limited (AFSL No. 354564). The principal purpose of this post is to provide factual information and not provide financial product advice. Additionally, the information provided is not intended to provide any recommendation or opinion about any financial product. Any commentary and statements of opinion however may contain general advice only that is prepared without taking into account your personal objectives, financial circumstances or needs. Because of this, before acting on any of the information provided, you should always consider its appropriateness in light of your personal objectives, financial circumstances and needs and should consider seeking independent advice from a financial advisor if necessary before making any decisions. This post specifically excludes personal advice.
