We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The Zacks Analyst Blog Highlights: Target, Walmart, Costco, Amazon and Gap
Read MoreHide Full Article
For Immediate Release
Chicago, IL – September 26, 2017 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Target Corp. (NYSE:(TGT - Free Report) – Free Report), Walmart (NYSE:(WMT - Free Report) – Free Report), Costco (NASDAQ:(COST - Free Report) – Free Report), Amazon (NASDAQ:(AMZN - Free Report) – Free Report) and Gap Inc. (NYSE:(GPS - Free Report) – Free Report).
Target Raising Minimum Wage to $15: Will Other Retailers Follow?
On Monday, big box leader and cheap chic extraordinaire Target Corp. (NYSE:(TGT - Free Report) – Free Report) announced that it will be upping its minimum hourly wage over the next few years, increasing it to $11 starting next month and committing to $15 by the end of 2020.
Target has previously raised its minimum wage to $10 last May, and before that to $9 an hour in April 2015. The federal minimum wage is $7.25 per hour, which has not increased since July 2009.
"Target has always offered market-competitive wages to our team members," CEO Brian Cornell said in prepared remarks. "With this latest commitment, we'll be providing even more meaningful pay, as well as the tools, training, and support ... that set Target apart."
The pay initiative is another part of Target’s reinvention strategy that includes remodeling stores, growing its smaller store footprint (dubbed City Targets), and expanding and bettering its online presence. The company also hopes to use a higher minimum wage to “recruit and retain” top-level team members.
Target said that the wage increase beginning in October will also apply to the 100,000 temporary employees the retailer plans to bring aboard ahead of the holiday season, a 43% increase from last year. The company also reiterated its sales and earnings outlook for the third-quarter and full year; this means that these new wage expenses “aren’t expected to impact the retailer's bottom line, as Target baked the wage hike into its $7 billion investment plan,” notes CNBC.
Cornell went on to say that Target will address any potential impacts to company profits from the $15 wage at the retailer’s next analyst day for Wall Street this upcoming winter.
Many other retailers have offered competitive minimum wages over the years. Rival Walmart (NYSE:(WMT - Free Report) – Free Report) recently increased its own minimum hourly wage, raising entry-level hourly pay to $10 last year; the company, which is the country’s largest private employer, also raised wages to $9 an hour in 2015. Additionally, Costco (NASDAQ:(COST - Free Report) – Free Report), Amazon (NASDAQ:(AMZN - Free Report) – Free Report)-owned Whole Foods, Swedish giant Ikea, and even apparel retailer Gap Inc. (NYSE:(GPS - Free Report) – Free Report) have all boosted their own hourly pay for workers.
But how many will follow in Target’s $15-an-hour footsteps? That number gained serious traction during the last presidential campaign, and Democrats recently introduced a $15 minimum wage bill that is backed by Sen. Bernie Sanders. And, the city of Seattle is gradually increasing its hourly pay to $15, with many cities across the nation proposing similar legislation.
However, it is much different for a private company to instill a minimum wage than it is for a city or a federal government. $15-an-hour, though, is hot right now, and there is no doubt Target is using it to help set it apart from other retailers.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana. Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look. See the pot trades we're targeting>>
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year.See these high-potential stocks free >>.
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
The Zacks Analyst Blog Highlights: Target, Walmart, Costco, Amazon and Gap
For Immediate Release
Chicago, IL – September 26, 2017 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Target Corp. (NYSE:(TGT - Free Report) – Free Report), Walmart (NYSE:(WMT - Free Report) – Free Report), Costco (NASDAQ:(COST - Free Report) – Free Report), Amazon (NASDAQ:(AMZN - Free Report) – Free Report) and Gap Inc. (NYSE:(GPS - Free Report) – Free Report).
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Monday’s Analyst Blog:
Target Raising Minimum Wage to $15: Will Other Retailers Follow?
On Monday, big box leader and cheap chic extraordinaire Target Corp. (NYSE:(TGT - Free Report) – Free Report) announced that it will be upping its minimum hourly wage over the next few years, increasing it to $11 starting next month and committing to $15 by the end of 2020.
Target has previously raised its minimum wage to $10 last May, and before that to $9 an hour in April 2015. The federal minimum wage is $7.25 per hour, which has not increased since July 2009.
"Target has always offered market-competitive wages to our team members," CEO Brian Cornell said in prepared remarks. "With this latest commitment, we'll be providing even more meaningful pay, as well as the tools, training, and support ... that set Target apart."
The pay initiative is another part of Target’s reinvention strategy that includes remodeling stores, growing its smaller store footprint (dubbed City Targets), and expanding and bettering its online presence. The company also hopes to use a higher minimum wage to “recruit and retain” top-level team members.
Target said that the wage increase beginning in October will also apply to the 100,000 temporary employees the retailer plans to bring aboard ahead of the holiday season, a 43% increase from last year. The company also reiterated its sales and earnings outlook for the third-quarter and full year; this means that these new wage expenses “aren’t expected to impact the retailer's bottom line, as Target baked the wage hike into its $7 billion investment plan,” notes CNBC.
Cornell went on to say that Target will address any potential impacts to company profits from the $15 wage at the retailer’s next analyst day for Wall Street this upcoming winter.
Many other retailers have offered competitive minimum wages over the years. Rival Walmart (NYSE:(WMT - Free Report) – Free Report) recently increased its own minimum hourly wage, raising entry-level hourly pay to $10 last year; the company, which is the country’s largest private employer, also raised wages to $9 an hour in 2015. Additionally, Costco (NASDAQ:(COST - Free Report) – Free Report), Amazon (NASDAQ:(AMZN - Free Report) – Free Report)-owned Whole Foods, Swedish giant Ikea, and even apparel retailer Gap Inc. (NYSE:(GPS - Free Report) – Free Report) have all boosted their own hourly pay for workers.
But how many will follow in Target’s $15-an-hour footsteps? That number gained serious traction during the last presidential campaign, and Democrats recently introduced a $15 minimum wage bill that is backed by Sen. Bernie Sanders. And, the city of Seattle is gradually increasing its hourly pay to $15, with many cities across the nation proposing similar legislation.
However, it is much different for a private company to instill a minimum wage than it is for a city or a federal government. $15-an-hour, though, is hot right now, and there is no doubt Target is using it to help set it apart from other retailers.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana. Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look. See the pot trades we're targeting>>
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year.See these high-potential stocks free >>.
Get the full Report on TGT - FREE
Get the full Report on WMT - FREE
Get the full Report on COST - FREE
Get the full Report on AMZN - FREE
Get the full Report on GPS - FREE
Follow us on Twitter: https://twitter.com/zacksresearch
Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
https://www.zacks.com/
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.