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CNBC's Courtney Reagan is joined by Richard Dickson, president and CEO of Gap, to discuss trends in consumer spending, the company's growth outlook and more.
The potential for interest rate cuts traditionally drives renewed investor interest in small-cap companies. However, the added risks of recession, inflationary impacts of tariffs, and more create a complex narrative this year.
Retail stocks are looking more attractive after a more subdued inflation data for February. Last week, the Bureau of Labour Statistics reported the consumer price index at 0.2% for the month and 2.8% for the year.
Gap stock has given up the majority of its post-earnings bump as investors have downgraded their view of retail, seemingly across the board. GAP's portfolio of brands, including Old Navy, Banana Republic and Athleta, offers stability and diversification. While revenues have been rangebound for more than a decade, recent margin progress has driven earnings.
Jim Cramer acknowledges that the trade wars could hurt retailers' profits. However, he has stock picks for companies in the sector that will survive the crisis well and flourish once the effects of high tariffs subside.
Columbia Banking System shares have appreciated over 25% since February 2024, yet still trade at a relative discount compared to peers. Near-term growth is likely to be modest, with low-single-digit pre-provision profit growth in FY'25 and FY'26 due to limited spread leverage and modest loan growth. Columbia's high-quality, low-cost deposit base and ongoing restructuring of the loan book offer long-term potential, despite contributing to near-term growth headwinds.
GAP's strong Q4 performance and raised FY25 outlook reinforce its momentum, signaling sustained growth and market leadership.
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Trading in shares of Skyworks Solutions, Inc. SWKS is quiet Monday. This follows Friday's move higher of 8.5%.
GAP's fourth-quarter fiscal 2024 results reflect gains from strength in brands and other strategic efforts. It has also been managing costs.
VistaShares launched its latest ETF, the VistaShares Target 15 Berkshire Select Income ETF OMAH, offering income investing and thematic equity exposures.