2 stocks that analysts say are the future of retail in 2025

The retail industry is constantly on the move and its success depends on the ability of companies to respond to changing consumer behaviour and economic fluctuations. In 2025, analysts focus their attention on two key brands...

In a recent conversation with retail experts from BMO Capital Markets and Barclays Consumer Discretionary, companies such as Nike and Gap emerged as the most interesting candidates for recovery. Simeon Siegel, Managing Director at BMO Capital Markets, highlighted the potential of Nike under new CEO Elliott Hill, while Adrienne Yih, Senior Analyst at Barclays, singled out Gap under Richard Dickson.

Nike $NKE

Nike is one of the most prominent players in athletic footwear, apparel and accessories. The company maintains a strong position thanks to its responsiveness to current challenges and a long-term strategy focused on innovation.

With the arrival of new CEO Elliott Hill, Nike is focusing on returning to the brand's roots of sport and authenticity. Despite short-term fluctuations, such as an 8% drop in sales in the fiscal second quarter, Nike continues to aggressively repurchase shares and increase dividends, making the brand a stable investment with growth potential.

Gap $GAP

Gap, known for its wide range of brands such as Old Navy, Banana Republic and Athleta, is undergoing a significant transformation under the leadership of Richard Dickson. The company has seen revenue growth of 2% in the past year, beating market expectations. Gap is focusing on improving its offerings and strengthening its online sales, which already account for 40% of total revenue. Analysts expect Gap to continue to grow, thanks to investments in its brands and strategic changes that could increase its value by up to 45%.

Both Nike and Gap are emerging as key brands whose ability to respond to current trends and adapt to change provides a solid foundation for their future growth.

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Source: Barchart