Retailers that were closed to foot traffic during the first round of stimulus checks last year could see more upside as more $1,400 payments hit bank accounts, Evercore ISI found.
The brokerage noted that while investors may be tempted to snap up stocks that outperformed in April and May of last year, they instead should consider investments in retailers with brick-and-mortar locations that had been shuttered in spring of 2020. Specifically, analyst Omar Saad recommended a collection of apparel retailers and some luxury brands that could be set for strong same-store sales growth in 2021 after the Covid-19 pandemic forced many to shutter locations last spring.
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