WSM Stock Reflects Bright Near-Term Outlook
Analysts at BB&T Capital Markets initiate coverage of Williams-Sonoma Inc (NYSE: WSM) with a “hold” rating.
WSM is a premier multi-brand retailer and is adept at integrating its retail stores, catalogs and ecommerce websites. “The U.S. macroeconomic environment has rebounded over the last several months, which we believe will provide a tailwind to Williams-Sonoma’s near-term results. Given the rash of competitor store closings over the last few years, we believe Williams-Sonoma is poised to generate healthy near-term market share gains in a more benign competitive backdrop,” the analysts say.
“We believe Williams-Sonoma will be forced to rely more on its less-proven emerging concepts for future square footage growth because its core brands are fairly mature,” the analysts add. Following the recent ascend of WSM’s stock, the bright near-term prospects are already reflected in the share price.
