A rapid rollout of COVID-19 vaccines and rising consumer spending are projected to drive the growth of the retail industry. With schools reopening this fall and more people engaging in outdoor activities, retail industry giants Walmart (NYSE:WMT), Target (TGT), and Kohl’s (KSS) have raised their sales forecasts. Therefore, we think the shares of these companies could be great bets now. Read on.Most retailers have strengthened their online presence and delivery networks to capitalize on the remote lifestyle triggered by the COVID-19 pandemic. Furthermore, with the vaccination rollout in full swing and more people engaging in outdoor activities, brick-and-mortar retail stores have been witnessing increasing foot traffic of late.
Even though the COVID-19 Delta variant threatens to delay economic recovery, stimulus packages and advance child tax credits from the Biden administration are expected to boost retail sales in the coming months. Furthermore, with schools reopening this fall, the retail industry expects total back-to-school spending to cross $100 billion and rise 6.4% year-over-year.
So, as shoppers head back to brick-and-mortar stores, major retailers Walmart Inc. (WMT), Target Corporation (NYSE:TGT), and Kohl’s Corporation (KSS) have raised their sales forecasts, and we think these stocks are well-positioned to deliver significant upside in the near term.