If you’re in the market for patio furniture, appliances, large electronics, or other expensive household items you might be in luck. Big retail’s loss might become your gain.
America’s biggest retailers, Walmart and Target, have a new problem to go along with supply chain issues and a tight labor market—too much inventory. Target announced this week that it was holding a lot of inventory that has gone out of favor as consumers have switched their spending to travel, entertainment, and less expensive consumer items. And as taught in Econ 101, the only real way to move huge volumes of merchandise that is no longer in demand is to discount the heck out of it.
So, if you’re in the market for any of these items, it’s likely your local Target or Walmart will have it on sale soon.
Unfortunately for shareholders, there’s been a big sale on retailer stock as well. The big ones are down 15-30%. (Chart by chartr.co)