Consumer Cos Down As Investors Position For Reversal Of Pandemic Trends -- Consumer Roundup
|02/23/2021 | 05:21pm|
Shares of retailers and other consumer companies fell as investors bet a surge in demand for certain goods during the pandemic would soon wear off.
Shares of Home Depot tumbled despite a torrid 20% increase in fourth-quarter revenue, as executives warned that the home-improvement craze may wane later in the year. Executives at Home Depot also said consumer spending could shift in the second half of the year depending on the course of the health crisis. In contrast, shares of Macy's rose, even as the department-store chain said its fiscal fourth-quarter sales tumbled nearly 30% as consumers bought less apparel, reflecting the stay-at-home conditions of the pandemic. Investors positioned themselves for a reversal in the trends that helped Home Depot's business and hurt Macy's, as vaccine rollouts bear fruit later in the year. The U.S. housing market is in danger of overheating, warned Marriott International named Tony Capuano as its new chief executive officer, picking a longtime veteran of the world's largest hotelier by rooms to steer it through the brutal pandemic era.
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(END) Dow Jones Newswires