Like many industries, retail tends to get hit hard by a recession -- especially companies that sell higher-priced, higher-margin discretionary products.
But big box retailers like Target (NYSE: TGT) , Walmart (NYSE: WMT) , and Costco Wholesale (NASDAQ: COST) have lower margins and depend on higher volumes to make money. These companies will get hit during a recession. But thanks to their sophisticated supply chains and pricing power, they'll likely be relatively better off than many other companies in the industry.
Costco stock jumped over 7% on Jan. 6 after the company posted strong December sales numbers. But Target stands out as the best all-around retail stock to buy in 2023, especially for investors who want to buy shares of a company at a reasonable price and collect passive income through a reliable and growing dividend.
For further details see:
Best Blue Chip Retail Buy: Target, Walmart, or Costco?