The grocery industry’s growth prospects appear appealing with the consistent demand for its products, solid consumer spending, and technological advancements. Given the industry’s resilient outlook, fundamentally sound grocery stocks Wal-Mart de México, S.A.B. de C.V. (WMMVY – Get Rating), Target Corporation (TGT – Get Rating), and Carrefour SA (CRRFY – Get Rating) could be ideal buys now.
Consumer spending in the U.S. increased to $15.46 trillion in the third quarter of 2023 from $15.34 trillion during the second quarter of 2023. Consumer spending has reached an all-time high in the third quarter, driven by rising disposable income and rapid population growth.
Moreover, consumer spending on groceries remained robust, given their inelastic demand, as people need food and household items on a regular basis.
The global grocery retail market is projected to reach $14.77 trillion by 2030, growing at a CAGR of 6.9% during the forecast period (2023-2030). Several consumer-oriented features of grocery retail stores, including fair price, quality, and variety of products combined with convenience, should drive the attractiveness of retail grocers among consumers.
The online grocery market has exceeded the overall market as more and more consumers prefer online grocery purchases. Online sales accounted for 11.7% of total weekly grocery spending in the last week of November 2023.
U.S. online grocery sales reached $8.10 billion in November, up 5.2% over November 2022’s online grocery sales, according to data from the monthly Brick Meets Click and Mercatus Grocery Shopping Survey.
Other essential aspects encouraging the evolution of the online grocery market are customized shopping experiences, growing demand for eco-friendly and locally sourced products, and faster deliveries. The online grocery market is projected to reach $3.39 trillion by 2033, expanding at a CAGR of 24.6% during the forecast period 2023 to 2033.
Given the industry’s promising prospects, let’s look at the fundamentals of the three best Grocery/Big Box Retailers stocks, starting with…
Continue reading at STOCKNEWS.com
