Walmart, Dollar Tree, and auto and home retailers stand to benefit from higher tax refunds

Yahoo Finance04-04

This tax season, Americans are ending with a few extra dollars in their pockets to spend. The average refund amount so far this year is $3,081, up 6% compared to last year. The extra cash may provide...

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The extra cash may provide...</p>\n\n<a href=\"https://finance.yahoo.com/news/walmart-dollar-tree-and-auto-and-home-retailers-stand-to-benefit-from-higher-tax-refunds-201259809.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Walmart, Dollar Tree, and auto and home retailers stand to benefit from higher tax refunds</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWalmart, Dollar Tree, and auto and home retailers stand to benefit from higher tax refunds\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-04-04 04:13 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/walmart-dollar-tree-and-auto-and-home-retailers-stand-to-benefit-from-higher-tax-refunds-201259809.html><strong>Yahoo Finance</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>This tax season, Americans are ending with a few extra dollars in their pockets to spend. \nThe average refund amount so far this year is $3,081, up 6% compared to last year. The extra cash may provide...</p>\n\n<a href=\"https://finance.yahoo.com/news/walmart-dollar-tree-and-auto-and-home-retailers-stand-to-benefit-from-higher-tax-refunds-201259809.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"KR","symbol_name":"克罗格","start_time":0,"source_url":"https://finance.yahoo.com/news/walmart-dollar-tree-and-auto-and-home-retailers-stand-to-benefit-from-higher-tax-refunds-201259809.html","article_id":"2424872594","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/LtAG4gme3qIYJALSsqt4Zg--~B/aD00MDAwO3c9NjAwMDthcHBpZD15dGFjaHlvbg--/https://s.yimg.com/os/creatr-uploaded-images/2024-03/fb624630-f130-11ee-85fe-069991f703ca"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2424872594","pubTimestamp":1712175226,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"This tax season, Americans are ending with a few extra dollars in their pockets to spend.The average refund amount so far this year is $3,081, up 6% compared to last year. The extra cash may provide a slight boost to low income consumers, benefitting discount retailers like Walmart , Dollar General  and Dollar Tree , says CFRA analyst Arun Sundaram.However, with rising household, credit card, and auto debt, there likely won't be a material shift in overall spending, as some consumers put the money to other uses.\"Tax refunds have a greater impact on lower income families, so if these lower income families are getting more tax refunds this year versus last year, that should benefit discount stores,\" Sundaram told Yahoo Finance over the phone.\"You could also potentially see a lift for specialty retailers like apparel or footwear stores ... consumers are using a portion of that refund to splurge on those kinds of items,\" Sundaram added.Companies that skew higher-income may not see an uptic","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"KR":"克罗格","HD":"家得宝","LOW":"劳氏","LU0234570918.USD":"高盛全球核心股票组合Acc Close","LU2430703095.HKD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4\" (HKD) INC","AZO":"汽车地带","BK4214":"汽车零售","LU0417517546.SGD":"Allianz US Equity Cl AT Acc SGD","LU0053666078.USD":"摩根大通基金-美国股票A（离岸）美元","BK4585":"ETF&股票定投概念","LU0823411888.USD":"法巴消费创新基金 Cap","LU2430703178.SGD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (SGDHDG) INC","LU2360032135.SGD":"ALLSPRING GLOBAL EQUITY ENHANCED INCOME \"A\" (SGDHDG) INC","LU2430703251.USD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4\" (USD) INC","LU0098860793.USD":"FRANKLIN INCOME \"A\" INC","ORLY":"奥莱利","BK4533":"AQR资本管理(全球第二大对冲基金)","LU1162221912.USD":"FRANKLIN INCOME \"A\" (USD) ACC","LU2125154778.USD":"ALLSPRING GLOBAL EQUITY ENHANCED INCOME \"A\" (USD) INC","DLTR":"美元树公司","BK4559":"巴菲特持仓","IE00BSNM7G36.USD":"NEUBERGER BERMAN SYSTEMATIC GLOBAL SUSTAINABLE VALUE \"A\" (USD) ACC","DG":"美国达乐公司","LU0234572021.USD":"高盛美国核心股票组合Acc","COST":"好市多","BK4113":"食品零售","LU2125154935.USD":"ALLSPRING (LUX) WF GLOBAL EQUITY ENHANCED INCOME \"I\" (USD) INC","BK4588":"碎股","LU2237438978.USD":"Amundi Funds US Pioneer A2 (C) USD","LU1093756168.USD":"FRANKLIN K2 ALTERNATIVE STRATEGIES \"A\" (USD) ACC","LULU":"lululemon athletica","LU0320765646.SGD":"FTIF - Franklin Income A MDIS SGD-H1","AAP":"Advance Auto Parts Inc","IE00BZ1G4Q59.USD":"LEGG MASON CLEARBRIDGE US EQUITY SUSTAINABILITY LEADER \"A\"(USD) INC (A)","DKS":"迪克体育用品","LU0106831901.USD":"贝莱德世界金融基金A2","WMT":"沃尔玛","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","BK4561":"索罗斯持仓","BK4581":"高盛持仓","LU0868494617.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) ACC","LU0965509283.SGD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"AD\" (SGDHDG) INC","BK4504":"桥水持仓","BK4200":"专卖店","SG9999001440.SGD":"United Global Dividend Equity Fund A SGD Dist","LU1585245621.USD":"EASTSPRING INV GLOBAL LOW VOLATILITY EQUITY FUND \"A\" (USD) ACC B","LU0965509101.SGD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"A\" (SGDHDG) ACC","LU1571399168.USD":"ALLSPRING GLOBAL LONG/SHORT EQUITY \"IP\" (USD) ACC","ASO":"Academy Sports & Outdoors, Inc."},"translate_title":"沃尔玛、美元树、汽车和家居零售商将从更高的退税中受益","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"AAP":1,"AZO":1,"WMT":1,"ORLY":1,"LULU":1,"LOW":1,"KR":1,"HD":1,"DLTR":1,"DKS":1,"DG":1,"COST":1,"ASO":0.9},"content_text":"This tax season, Americans are ending with a few extra dollars in their pockets to spend. \nThe average refund amount so far this year is $3,081, up 6% compared to last year. The extra cash may provide a slight boost to low income consumers, benefitting discount retailers like Walmart (WMT), Dollar General (DG) and Dollar Tree (DLTR), says CFRA analyst Arun Sundaram.\nHowever, with rising household, credit card, and auto debt, there likely won't be a material shift in overall spending, as some consumers put the money to other uses. \n\"Tax refunds have a greater impact on lower income families, so if these lower income families are getting more tax refunds this year versus last year, that should benefit discount stores,\" Sundaram told Yahoo Finance over the phone.\n\"You could also potentially see a lift for specialty retailers like apparel or footwear stores ... consumers are using a portion of that refund to splurge on those kinds of items,\" Sundaram added. \nThink Lululemon (LULU), which recently posted guidance that fell short of Wall Street's expectations. \n\nIn a note to clients, J.P. Morgan analyst Christopher Horvers said that tax refunds, combined with the potential child tax credit, could lead to retailers' ending the first quarter \"on a high note.\" He pointed to auto stores as one beneficiary, and others with higher exposure to low income shoppers. \nRead more: Everything you need to know about the child tax credit\nCompanies he identified include AutoZone (AZO), O'Reilly Automotive (ORLY), Advanced Auto Parts (AAP), Academy Sports and Outdoors (ASO), and Dick's Sporting Goods (DKS).\n\"Consumers will do one of two things with a large tax refund, they'll get caught up on credit card bills, or they'll go out and make a large durable goods purchase,\" S&P Global Market Intelligence economist Michael Zdinak told Yahoo Finance. \nThe purchase of durable goods, like a dishwasher or refrigerator, could benefit home improvement stores like Home Depot (HD) or Lowe's (LOW).\n\"A lot of people use these tax refunds for home improvement projects as well,\" Sundaram said. \n\n\n\n  HALLANDALE BEACH, FLORIDA - FEBRUARY 20: A customer shops in a Walmart Supercenter on February 20, 2024 in Hallandale Beach, Florida. (Photo by Joe Raedle/Getty Images)\n \n\n  Joe Raedle via Getty Images\n \n\nAs the tax filing period started a week later in 2024, more people are still waiting to get their refund. Year to date, the amount of tax refunds handed out is down 2%, or $3 billion. \nAnd people have been in less of a rush to file for taxes since the pandemic, per Zdinak, thanks to stimulus checks and a strong US labor market. \nEven though retailers could see a boost in Q1, Zdinak says the most spending will likely occur in April and May, as tax refunds become a lingering tailwind for retailers. \nCompanies that skew higher-income may not see an uptick, such as Costco (COST), which beat earnings last quarter. Its grocery rivals like Kroger (KR) probably won't get much of a lift either, as people tend to go for goods on their wishlist instead of everyday essentials with the extra dough. \n\"Most of those food retailers don't really sell much discretionary items, mostly just food and beverage and household products,\" said Sundaram. \nRead more: Expecting money back? Here are 5 smart ways to use your tax refund\nPaying down debt, boosting savings\nSome Americans are planning to stash this cash. \nAccording to a client note from Michelle Weaver of Morgan Stanley, 47% of consumers who already received their tax fund or expect to get it will put \"at least a portion\" to savings. For filers making over $100,000, the figure rises to 62%. \nAcross all income groups, 37% intend to use the money to pay off debt. In Q4 of 2023, credit card debt was up $143 billion year over year, according to the Federal Reserve Bank of New York. \nMortgage debt was up $329 billion, auto debt was up $55 billion, and student loans were up $6 billion, resulting in a total US household debt increase of $604 billion. \n\nZdinak said he is keeping a watch for if \"consumers [are] finally over leveraged.\" \n\"As long as the labor market remains as tight as it is ... people have jobs and wages are growing, those debt balances aren't really at a level where historically they should be a problem,\" he said. \nConsumers may pay down debt in the second quarter though, then use what's left to splurge on goods in the third quarter, he said. \nRead more: Here are 7 free tax filing options\n—\nBrooke DiPalma is a senior reporter for Yahoo Finance. Follow her on Twitter at @BrookeDiPalma or email her at bdipalma@yahoofinance.com.\nClick here for all of the latest retail stock news and events to better inform your investing strategy","kind":null,"is_publish_news":null,"is_publish_highlight":null,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.22.4","shortVersion":"4.22.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2424872594"}