Retail could be one of the best contrarian plays out there, as long as investors steer clear of the nation’s department stores.
Eaton Vance chief equity investment officer Eddie Perkin is making that call.
“You have to be careful with the department stores. They’re struggling, and they’ll continue to struggle under the threat of Amazon and just general softness in retail,” Perkin said Wednesday on CNBC’s “Trading Nation.”
Earlier in the day, Perkin told CNBC that “department stores are heading to zero eventually.”
“The challenge is they have debt. They have a lot of assets that are losing money,” he added.
His comments come as some major names close more stores.
Nordstrom announced on Friday the closure a full-line store in a Washington, D.C., suburb. It was opened less than 15 years ago.
Not all of Wall Street shares Perkin’s view.