Stephen Guilfoyle says that an expanding economy would benefit consumer-discretionary stocks, but I have serious doubts about retail's ability to rebound at this time.
Yes, there will be a bottom eventually, as we won't see a future with no brick-and-mortar stores whatsoever. But that business is in the early stages of an evolution into whatever it will eventually become in an Internet world.
If you must be in retail, stick with the best there is in Home Depot (HD) , or (as silly as it seems), Wal-Mart Stores (WMT) . Wal-Mart is aggressively pushing the envelope on its own evolution.
As for the rest of the sector, an improving economy means more money spent on entertainment, vacations and merchandise -- and who else will benefit from all of that more than Walt Disney Co. (DIS) ? Disney's troubled ESPN unit might have to evolve as cable TV goes the way of bricks-and-mortar retailers, but content is king -- and so is family fun when there's enough money in the budget to include it. And need I even mention Star Wars?
(Click here to read more April Trading Strategies columns or here watch a replay of Jim Cramer's April 5 roundtable video with Douglas Borthwick, Stephen Guilfoyle, Peter Tchir and David Yoe Williams.)
