Inflation bites into holiday shopping
U.S. retail earnings are considered an economic bellwether
As the biggest retailers in the United States reported their quarterly earnings, they gave a pulse of U.S. consumer health. While Walmart (WMT) raised its annual sales forecast, Target (TGT) forecast a drop in holiday quarter sales. This reaffirmed the shift in consumer behaviour where people are pulling back on discretionary spending and choosing cheaper alternatives to their daily groceries.
Top Stories
- Moderna gets a boost from COVID booster
- Macy’s lifts annual earnings forecast
- Cisco posts upbeat quarterly results
Moderna gets a boost from COVID booster
Vaccine maker Moderna (MRNA) said its new COVID booster triggers a higher number of antibodies against omicron subvariants than the old vaccines. Earlier this month, rival Pfizer (PFE) also shared positive results from its booster shot.
Moderna stock gained over 7% last week.
Snap Summary
- Analyst rating: The overall consensus on Moderna stock is a “Moderate Buy”, based on 13 analyst ratings, with a $198.58 average price target.
- Future outlook: Moderna sees 2022 COVID vaccine sales of $18 billion to $19 billion.
Macy’s lifts annual earnings forecast
While keeping its revenue guidance unchanged, Macy’s (M) raised its full year earnings forecast. The department store operator also posted better than expected topline and bottomline numbers.
Macy’s stock gained over 6% last week.
Snap Summary
- Analyst rating: The overall consensus on Macy’s stock is a “Moderate Buy”, based on 13 analyst ratings, with a $25.56 average price target.
- Future outlook: Excluding items, Macy’s expects earnings between $4.07 to $4.27 per share, for the year.
Cisco posts upbeat quarterly results
Cisco Systems’ (CSCO) quarterly revenue and earnings beat market expectations. Sales for the most recently reported quarter grew 6% from last year to $13.6 billion.
Cisco stock gained over 6% last week.
Snap Summary
- Analyst rating: The overall consensus on Cisco stock is a “Moderate Buy”, based on 14 analyst ratings, with a $54.50 average price target.
- Future outlook: Seeing an “easing supply situation”, the company raised its fiscal 2023 sales growth forecast to 4.5% to 6.5%.