Jeff Bezos

Amazon has every single retailer in the US on notice.

The Jeff Bezos-led juggernaut is armed with a war chest of cash and it hasn’t been shy about throwing its weight around in the past couple months, disrupting every industry in sight.

Its $13.7 billion acquisition of Whole Foods threw the whole grocery industry into disarray, while Blue Apron‘s battered IPO price ended up as collateral damage. Its newly-announced partnership with Nike sent the likes of Dick’s Sporting Goods and Under Armour tumbling. Heck, even the payments industry is facing a major, Amazon-led shake-up.

But there are still a few bright spots, says RBC Capital Markets — companies whose existing business models have created a natural insulation from Amazon, as well as those that have been quick to adapt.

Here are four such corporations highlighted by RBC in a recent client note:


Ticker: KMX

Total return year-to-date: 2.8%

Rationale: “We believe KMX provides true scarcity value with solid comp momentum and a business model that will be difficult for Amazon or others to disintermediate.”

Source: RBC Capital Markets


Ticker: WMT

Total return year-to-date: 17%

Rationale: “We believe Walmart will ultimately be one of the best positioned retailers over the long-term due to its existing size, scale and technological improvements.”

Source: RBC Capital Markets

Best Buy

Ticker: BBY

Total return year-to-date: 40%

Rationale: “Best Buy has already weathered the worst of the ‘Amazon storm’ through price matching and substantial in-store/online improvements, and has now been steadily gaining market share … Best Buy has fought back against Amazon better than most.”

Source: RBC Capital Markets

See the rest of the story at Business Insider