Opportunities Among the Ruins of Retail

Updated

The following video is part of our "Motley Fool Conversations" series, in which analyst John Reeves and advisor David Meier discuss topics across the investing world.

Business Insider recently ran a great post about the 20 trends that will affect America. The first one was the end of the big box retailer. Here's what that means for investors.

As more and more commerce heads online, retailing is changing. Companies like Best Buy have found that it has too many big-box stores, and now needs to close them to open smaller ones. Sears Holdings will be closing between 100 and 120 Sears and K-Mart stores. And OfficeMax will continue to close stores, as well. David thinks there are two things investors should consider. First, investors should look for companies that can sell their own products, like Under Armour or Nike. That can provide them with leverage. Investors should also look for companies that can help businesses improve their online experience. BazaarVoice, for example, is an analytics company that helps businesses analyze what's being said about their products and services online.


To learn about two retailers with especially good prospects, we invite you to take a look at The Motley Fool's special free report: The Death of Wal-Mart: The Real Cash Kings Changing the Face of Retail. In it, you'll see how these two cash kings are able to consistently outperform, and how they're planning to ride the waves of retail's changing tide. You can access it by clicking here.

The article Opportunities Among the Ruins of Retail originally appeared on Fool.com.

David Meier has no positions in the stocks mentioned above. John Reeves has no positions in the stocks mentioned above. The Motley Fool owns shares of Best Buy and Under Armour. Motley Fool newsletter services recommend Under Armour. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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