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5 Companies That Could Be Hurt By Higher Gas Prices

The last thing these stocks need is for consumers to turtle up

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Walmart

walmart 5 Companies That Could Be Hurt By Higher Gas PricesLast but not least, Walmart (WMT) could feel the sting from the gas spike. For the big-box discounter, having a less-affluent consumer base means its shoppers are likely feeling the recent uptick in gas prices more strongly.

Granted, you could argue that penny-pinched consumers might actually migrate to Walmart to save money. But I believe people are much more likely to simply cut back in the face of short-term fluctuations that actually change habits.

Plus, Walmart has already been lagging the market so far this year and is struggling to get any momentum. Its current-quarter earnings estimate has been sliding in the past few months, and expected full-year results have been coming down with it.

The company has pointed a finger at every imaginable factor — storms, cool temperatures, the payroll tax and more — meaning even the slightest uptick in gas prices and subsequent fall in spending is the last thing it needs.

As of this writing, Alyssa Oursler did not own a position in any of the aforementioned securities.


Article printed from InvestorPlace Media, http://investorplace.com/2013/07/5-companies-hurt-by-higher-gas-prices/.

©2014 InvestorPlace Media, LLC

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