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Karen Finerman said on CNBC's "Fast Money" she stepped in both Walmart Inc (NYSE: WMT) and Target Corporation (NYSE: TGT). They're trading at about the market multiple and the disappointment about them spending capital on their business doesn't make sense to her because both companies have proven to be good stewards of capital.
Their return on invested capital has been good, said Finerman. These stocks are trading as they are not a reopening trade and they are going to benefit from the reopening, she added.
Tim Seymour has a long position in Walmart and he is a big believer in Walmart's e-commerce story. The stimulus is a massive windfall for Walmart and he expects the price to earnings multiple to move higher.
Guy Adami said the risk-reward for Walmart at its current price is very good.
The problem with Walmart and Costco Wholesale Corporation (NASDAQ: COST) is they're traded like bond proxies so when yields rise they trade lower, said Grasso. They can't raise prices so Grasso wants to own a retailer that has pricing power. He has a long position in Capri Holdings Ltd (NYSE: CPRI).
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