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Motley Fool Hidden Gems Investing

Retail’s New Record and the Business of RVs

Motley Fool Hidden Gems Investing

The Motley Fool

Business, Investing

4.33.1K Ratings

🗓️ 15 May 2020

⏱️ 41 minutes

🧾️ Download transcript

Summary

Retail sales fall more than 16% in April. Uber and GrubHub explore a possible merger. Marriott and Under Armour tumble on disappointing earnings. Diagnostics company Quidel gets a big boost from the FDA. And DraftKings hits a new high. Motley Fool analysts Ron Gross and Jason Moser discuss those stories and weigh in on the best way to build a portfolio. Our analysts share a couple of stocks on their radar: Intellia Therapeutics and Axon Enterprise. Plus, Camping World CEO Marcus Lemonis talks about the business of RVs and shares some insights from his CNBC show, The Profit. Thanks to Molekule for supporting our show.   Get 10% off your first air purifier at http://www.molekule.com with code “fool10”.     Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

This week's Motley Full Money is brought to you by Molecule. Molecule is reimagining the future of clean air, starting with the air purifier.

0:08.0

For 10% off your first air purifier, go to molecule.com. That's m-o-l-e-k-u-l-e.com, and use the promo code full10 at checkout.

0:19.0

Thanks also to TD Ameritrade, everything's customizable these days, your trading platform can be too.

0:26.0

With think or swim, you can customize screeners, charting, and stock forecasts, so the market is always tailored to you.

0:33.0

You can get started at TD Ameritrade.com, slash think or swim.

0:38.0

Alright, let's do the show.

0:56.0

From Fool Global Headquarters, this is Motley Full Money. It's the Motley Full Money Radio Show. I'm Chris Hill joining me this week. Jason Moser and Ron Grosgood to see you as always, gentlemen.

1:07.0

Hey, you're welcome.

1:08.0

We've got the latest headlines from Wall Street, Marcus Lemones, host of the Prophet is our guest, and as always we've got some stocks on our radar.

1:16.0

We begin once again with the big macro. Retail sales in April fell more than 16%. The worst drop on record.

1:24.0

Ron, we're going to get to a few of the ripple effects in a minute, but consumer spending typically drives about 70% of America's economy.

1:33.0

I don't know how many more months like this we can take.

1:36.0

Yeah, brutal, but I mean, perhaps not surprising. We're all understay at home orders, or at least we were until recently,

1:43.0

36 million of us filing claims for unemployment. This has got to show up in the numbers. And some of the worst hit sectors or ones that we probably could have guessed clothing down almost 80% furniture down 60% not a lot of people buying furniture nowadays, although I will admit that I did.

2:01.0

I helped that number just a little bit.

2:03.0

Bars and restaurants not surprisingly down 30%. The one bright spot and we probably could have guessed this as well is non store retailers up about 8% for the period.

2:15.0

Obviously all of us shopping online, my family, certainly doing their part to help the Amazon and other e retailers of the world.

2:25.0

But this is a brutal number. That's why we're so many states are pushing to reopen. I just hope it's not too soon and we fall back, but the economy certainly needs to get to get kick started just a bit.

2:40.0

Yeah, Jason, from time to time when we talk about bricks and mortar retail, we talk about the different tiers for malls and sort of those tier one malls being a little bit safer and more stable than tier two or tier three.

2:53.0

I think everything's up for grabs now. Yeah, I think you're right. I mean, I don't think I mean this this environment really isn't discriminating for the most part. Now there is an exception there.

3:03.0

Ron, I thought that was pretty interesting. You guys got some furniture. We got some furniture too. We got an interesting like a recliner and we get this big ottoman. So yeah, maybe you know, I don't know. Maybe there's something there. But yeah, I mean, it was and it was a bad month for most, but not quite all. I mean, the non store retailers up 8.4% into that point on furniture.

3:21.0

You know, we saw some quarterly reports here with way fair and Etsy that that were both very encouraging. And I think really shine a light on the opportunity to exist with business models like those where they're just really virtual networks connecting suppliers with buyers.

...

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