VCR News and Press, Vanguard Consumer Discretion From 05/04/22

While there are some issues like unionization, accumulation of debt, and the reemergence of Howard Schultz, Starbucks's growth and free cash flow generation remain strong. The macro-environment favors companies that generate cash now rather than later - Starbucks falls in the first ca...

Gentherm provides luxury thermal solution for cars. The company has been hit by inflation and component availability but has been doing alright given these conditions. I like the business, and moreover, the company announced a nice bolt-on deal of Alfmeier, though the first quarte...

After years of struggle, Haverty Furniture Companies, Inc. has more stable core operations today. Inflationary pressures and supply chain disruptions remain a challenge for the company. But, expansion continues with its increased inventories and fixed assets. It is in line with it...

Consumers continue to spend at a healthy pace. But will it last? Will consumer discretionary stocks get more love this year? Kim Parlee speaks to Jacky He, Global Consumer Discretionary Analyst, TD Asset Management, about the health of the consumer. For further details see: ...

We don’t see a wage-price spiral. Companies are actually paying less in labor per unit of output, we find. We think wages can rise more without adding to inflation. The S&P 500 plunged to new 2022 lows last week. We remain overweight equities in the inflationary backdrop bu...

Consumer discretionary exchange traded funds slumped early in Friday’s trading, pulled down by the earnings-inspired downdraft from e-commerce giant Amazon (AMZN), which is down 12%. As AMZN shares hit a near two-year trading low, ETFs like Vanguard Consumer Discretionary ETF (NYS...

Inflation and rising interest rates create an uphill journey for the consumer and the economy. Rising treasury yields, elevated inflation and slowing real economic growth are factors being watched by both equity and fixed income investors. Year-to-date, equity market volatility sp...

Netflix (NFLX) was the first of the FAANG names to report their financial results during this earnings cycle. Now, the Core Four are on deck, putting a handful of exchange traded funds on the radar for potential price swings. Earnings are due out next week from Alphabet (GOOG) (GOOGL), Meta P...

St. Louis Fed President James Bullard, in an interview with the FT last week, said it is a “fantasy” to believe that the Fed can bring down inflation sufficiently without raising key interest rates to a level where they will constrain economic growth. The good news is th...

The GICS sector classification system will be making significant changes to its Consumer Discretionary and Consumer Staples sectors. The Internet & Direct Marketing Retail subsector is being discontinued and alternative subsectors are assigned to stocks currently listed in that se...