Macy’s (M) is dying can Facebook save it?

Small-box concepts like Nordstrom Local and Home Goods also have lower real estate and labor costs. They could easily use such small-box concepts as pickup locations for online orders.

Popup stores; like The [email protected]’s, are a classic solution for this dilemma. For instance, Macy’s could rent or lease space to pop up store operators.

Macy’s (M) might interest electronics, auto and other brands in pop-up stores. For example, Tesla (NASDAQ: TSLA) operates auto showrooms in some Nordstrom locations.

Obvious brands for Macy’s to tap for pop-ups include Apple (NASDAQ: AAPL), Toyota (NYSE: TM), Ford (NYSE: F), General Motors (NYSE: GM), The Walt Disney Company (NYSE: DIS), Amazon, and clothing makers. A fascinating idea for Macy’s to consider is Amazon Go in Macy’s.

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Is Lowe’s Losing Money?

America’s home improvement crisis is hurting the home-improvement business. Logically, this will cause values investors to ask is Lowe’s making money?

Interestingly, the changing economy benefits Lowe’s by speeding up the transition to rentals. A long-term opportunity for Lowe’s is the huge number of homes owned by Baby Boomers (persons between 53 and 72 years of age).

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Will Best Buy Die?

By acquiring Great Call, Best Buy is competing directly with Apple, Amazon, and indirectly with Alphabet. I cannot see how Best Buy can win that battle.
I see two big problems with Great Call that can make it a drain on Best Buy’s bottom line.
Great Call is a direct marketing company. It sells specific products directly through various channels. Best Buy is a general-purpose retailer that sells a wide variety of products and services through brick and mortar stores. I do not see the synergy there.

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The Incredibly Shrinking McDonald’s

By my calculations, McDonald’s annual revenue fell by $5.285 billion between December 2013 and December 2017. McDonald’s reported $28.105 billion in revenues on 31 December 2013, and $22.82 billion in revenues on New Year’s Eve 2017.

The implications are obvious McDonald’s is suffering permanent revenue shrinkage that is increasing dramatically. If McDonald’s 2018 financial performance is a repeat of 2017, revenues might drop by 14% or more.

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Here’s why you should be afraid of a Baby Boomer Real Estate Sell-Off

The bottom line is that the real estate market in the United States will be a slow-moving train wreck for the next two decades. Expect a lot of people to lose a lot of money in real estate as the Baby Boomers’ age. Those who stay out of the real estate market for the foreseeable future – might be playing it smart.

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The Sears Horror Gets Worse

Highlights of the latest round of the Sears horror show include:

Year-to-Year revenues fell by nearly one third (-31.15%) in 2nd Quarter 2018.

Sears achieved an “operating income” of -$237 million on May 5, 2018.

That gave Sears a net income of -$424 million on the same day.

Sears actually achieved negative a “free cash flow” of $-1 billion on May 5, 2018.

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The Slow Death of General Electric

General Electric’s problems stem from its roots in the Old American economy. That economy is slowly dying and taking companies like GE with it.

Investors will wonder if today’s tech titans like Jeff Bezos and Elon Musk are building bureaucratic empires that are doomed to failure. General Electric started on the cutting-edge of innovation and ended up as mess of red tape, bureaucracy and micromanagement.

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CBS is dying while Netflix is Booming

The suspicion that nobody besides aging Baby Boomers is watching network TV is being provided correct. CBS also has serious problems because it had one only hit; The Amazing Race, and only one scripted show that experienced a ratings increase in the under 50 demographic Mom.

The ratings indicate that CBS is no longer capable of sustaining an audience. Investors will have to ask if CBS is sustainable or viable business. The ratings indicate it might not be.

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Can Macy’s escape the Department Store Death Spiral?

Macy’s revenues actually grew for the first time in quite a while in 1st Quarter 2018, Stockrow data indicates.
The revenue growth rate was 1.77% which does little make up for losses, but it is far better than the -6.13% negative growth rate reported in 4th Quarter 2017. That means Macy’s delivered an effective revenue growth rate of 7.9%, which is very good.

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