Nomura Securities on Retail/Home Improvement: Anyone Know BOPIS? Well You Should

June 19, 2012 9:48 AM EDT Send to a Friend
Get Alerts HD Hot Sheet
Price: $101.93 +1.25%

Rating Summary:
    9 Buy, 14 Hold, 1 Sell

Rating Trend: Down Down

Today's Overall Ratings:
    Up: 14 | Down: 28 | New: 51
Trade HD Now!
Join SI Premium – FREE
Nomura Securities on Retail/Home Improvement: Anyone know BOPIS?

Analyst, Aram Rubinson, said, "Over several weeks, we have used Home Depot's (NYSE: HD) and Lowe's (NYSE: LOW) Buy-Online Pick-up In-Store feature (BOPIS) to gain valuable insight into the merchandise strategies at the two retailers. In turn, this could illustrate differences that drive HD’s edge in sales and transactions per foot vs its competitor."

"During our survey period, with an average stock-out rate of 3.8%, HD seems to merchandise more purposefully. By not committing as fully to inventory, LOW leaves itself vulnerable to stock-outs (13% rate). This could illustrate differences that drive HD’s edge in sales and transactions per foot vs its competitor. Even though HD is out-executing LOW, time should be on LOW’s side, given its aggressive share repurchases and the potential for a rebound in the industry. Maintain Buy on LOW, Neutral on HD."


Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

Analyst Comments, Retail Sales

Related Entities

Nomura

Add Your Comment