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Stock impact report

3 Consumer Stocks with Warning Signs [Yahoo! Finance]

MGM Resorts International (MGM) 
Last mgm resorts international earnings: 4/30 04:15 pm Check Earnings Report
US:NYSE Investor Relations: investors.mgmresorts.com
Company Research Source: Yahoo! Finance
Unfortunately, the industry's recent performance suggests demand may be slowing as discretionary stocks were flat over the past six months while the S&P 500 gained 11%. A cautious approach is imperative when dabbling in these companies as many also lack recurring revenue characteristics and ride short-term fads. With that said, here are three consumer stocks we're passing on. Carter's (CRI) Market Cap: $1.43 billion Rumored to sell more than 10 products for every child born in the United States, Carter's (NYSE:CRI) is an American designer and marketer of children's apparel. Why Do We Avoid CRI? Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new locations Low free cash flow margin of 6% for the last two years gives it little breathing room, constraining its ability to self-fund growth or return capital to shareholders Shrinking returns on capital from an already weak position reveal that neither pr Show less Read more
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