Plurimi Wealth's chief investment officer sees consumers holding back spending next year.
Shares of mass market retailers will fall as profit margins are squeezed, and consumers curtail spending next year, according to Plurimi Wealth's chief investment officer. Patrick Armstrong told CNBC's Pro Talks last week that he was betting against Japanese electronics retailer Rakuten , multinational clothing company H & M , and Canadian e-commerce platform Shopify by selling their shares short.
However, as interest rates have begun rising this year to combat soaring inflation, investors have begun favoring companies with stable earnings, strong balance sheets, and low debt. This has meant companies like Rakuten and H & M have already lost nearly half their values this year. Despite being a growth tech stock, the median analyst price target for Shopify is only 7.4% above the current share price, partly reflecting Armstrong's concerns, according to FactSet data.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Fleishman Is in TroubleSlate Money talks with Taffy Brodesser-Akner about wealth, class, and the finances of the media industry.
Read more »
Nico Hulkenberg Cautious to Keep F1 Dreams and Goals in Check with HaasMick Schumacher's replacement brings a wealth of experience to seven-year-old F1 team still seeking its first podium finish.
Read more »
Canadian banks count on loan growth as stormy markets dent profitsTop Canadian banks are expected to post a decline in fourth-quarter profits as choppy markets hurt wealth management and a slow deal pipeline dents income from investment banking, offsetting expected gains from business loans.
Read more »
Here Are the 7 Richest People in the World Who Haven't Signed the Giving Pledge—Jeff Bezos Is No. 3The pledge is a campaign that encourages billionaires from across industries to commit to giving away at least half of their fortunes to charity during their lifetimes. Here's who they are and what their philanthropic efforts have looked like.
Read more »
Grandmother and stranger she accidentally texted spend 7th Thanksgiving togetherAfter years of Thanksgiving dinners together, Wanda Dench says that Jamal Hinton is 'in my heart for life.'
Read more »