When investors look back on the retail sector in 2017 they will no doubt recall the abject performances of Myer Holdings Ltd (ASX: MYR) and Retail Food Group Limited (ASX: RFG).
But it hasn't all been doom and gloom. In fact, these three retail shares have been amongst the best performers on the market. Here's why:
The Kogan.com Ltd (ASX: KGN) share price has climbed a massive 400% since the start of the year. A full-year result that smashed its prospectus forecasts and the market's expectations has largely been the catalyst for this increase. As has the diversification of its business. This year Kogan has announced its expansion into offering services such as health and pet insurance, NBN broadband, and mobile plans.
The Lovisa Holdings Ltd (ASX: LOV) share price is up 79% this year. The jewellery retailer has caught the eye this year with strong full-year profit growth of 75.5%. This was driven by a 10.3% increase in comparable store sales and the roll-out of 38 new stores. Since then Lovisa has continued its international expansion and opened its first store in the United States recently. I believe there is a huge opportunity for the company in this market, which could make it worth considering as a buy and hold investment.
The Noni B Limited (ASX: NBL) share price has jumped 48% in 2017. A solid full-year result and management's positive guidance for FY 2018 has largely been the catalyst for this charge higher. I'm a big fan of Noni B and believe the company's brands operate in a niche market which is less likely to be disrupted by online retailers like Amazon. Furthermore, the company caters to the mature side of the female fashion market, which I expect to become more and more lucrative over the next decade as Australia's population ages.
