Walmart, Target to witness higher sales as U.S. schools start reopening
Category: #business |   By Pankaj Singh |   Date: 2021-08-18

Walmart, Target to witness higher sales as U.S. schools start reopening

U.S.  retailing giants Walmart and Target are anticipated to witness higher sales as parents shop for clothes and backpacks for children returning to school after the relaxation of COVID-19 restrictions.

Industry evaluations anticipate overall back-to-school expenditure to surpass USD 100 billion and increase 6.4% from the past year when colleges, schools, and office meetings were mainly confined to computer screens.

Founder of Retail Metrics, Ken Perkins, mentioned that consumers have a considerable amount of cash with increased savings rate during the pandemic, and there is significant demand for back-to-school products like school supplies, sneakers, and laptops including many more. 

U.S. President Joe Biden's administration’s stimulus checks and advance child tax credits are also expected to boost up sales in the back-to-school season in retail even though the Delta variant daunts to slow down economic recovery.

While increased costs, labor shortages, and industry-wide supply chain disturbances in the U.S. are likely to affect the margins this quarter, analysts speculate that profits made by Target and Walmart during the pandemic are foreseen to nullify some of those pressures.

Howard Meitiner, MD of consulting firm Carl Marks Advisors, stated that no retailer would have expected that the back-to-school season would be this strong. Walmart is in a notably strong position as it has invested significantly in its online business and is ready for the customers who want to shop from its stores, he added.

The world’s largest retailer witnessed an increase for the first time in 2021, with July visits increasing 2.9% in comparison to the same time in 2019, while Target store visits augmented 15.9% during the same timeframe.

Knowledgeable sources cite that the retailer is anticipated to post a 3.39% increase in U.S. same-store sales and adjusted gains of USD 1.57 per share when it reports second-quarter, while quarterly comparable sales and profit of Target is predicted to be around 8% and USD 3.49 per share, respectively.

Industry experts perceive strong back-to-school sales as a positive sign for the important holiday shopping season.

Source Credits –

https://www.investing.com/news/stock-market-news/walmart-target-to-see-sales-boost-as-kids-head-to-school-2590887

  • shareShare
  • Twitter
  • Facebook
  • LinkedIn


About Author

Pankaj Singh     Twitter

Pankaj Singh

With a commendable experience of content creation under his belt, Pankaj Singh, a qualified Post Graduate in Management, boasts of having worked as a freelance writer and an insurance underwriter. Additionally, Pankaj has also enriched his qualification portfolio with Read more...

More News By Pankaj Singh

Shaurrya Teleservices & Airwaive team up to expand 5G network in India

Shaurrya Teleservices & Airwaive team up to expand 5G network in India

By Pankaj Singh

Airwaive and Shaurrya Teleservices (STS) has reportedly announced an international strategic collaboration to jointly build 5G wireless network service in India, assisting telecom providers in advancing 5G technology throughout the nation. Notably...

Valneva looking to capitalize on growing prevalence of Lyme disease

Valneva looking to capitalize on growing prevalence of Lyme disease

By Pankaj Singh

French drugmaker Valneva SE is now reportedly betting on its vaccine VLA15 for treating climate change-induced Lyme disease, as it looks to capitalize on growing prevalence of tick-borne illnesses following the disappointing sales of its COVID-19 vac...

Reliance Jio becomes the largest buyer of India’s USD 19 Bn 5G sale

Reliance Jio becomes the largest buyer of India’s USD 19 Bn 5G sale

By Pankaj Singh

Reliance Jio Infocomm Ltd., owned by billionaire industrialist Mukesh Ambani, was found to be the most aggressive participant in the government-backed 5G auction in India where several telecom behemoths agreed to invest at least USD 19 billion. Jio w...