Stocktwits Retail Therapy: Staples Defy Market Rout In Best Week Since February — Cracker Barrel, Signet And VF Steal The Show

• XLP rose 5% for its best week since February, while XLY slipped 0.35%.
• SPY fell 1.97% for its worst week since June, and QQQ dropped 5.5%, its worst in over a year.
• Cracker Barrel, Signet Jewelers and VF Corp. led the gainers, while Kandi, Six Flags and Newsmax led the decliners.

Defensive consumer names caught a bid last week as investors rotated out of a sharply weaker broader market. Cracker Barrel Old Country Store (CBRL), Signet Jewelers (SIG) and VF Corp. (VFC) were the standouts. Kandi Technologies (KNDI), Six Flags Entertainment (FUN) and Newsmax (NMAX) were among the laggards.

During the week of Oct. 12 to Oct. 16, the Consumer Staples Select Sector SPDR Fund (XLP) climbed 5%, its best weekly performance since February. The Consumer Discretionary Select Sector SPDR Fund (XLY) moved the other way, slipping 0.35%.

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The split came as the broader market struggled. The SPDR S&P 500 ETF Trust (SPY) fell 1.97%, its worst week since June. The tech-heavy Invesco QQQ Trust (QQQ) dropped 5.5%, its steepest weekly loss in more than a year.

Cracker Barrel, Signet, VF Corp. Among Leading Gainers

Cracker Barrel’s stock gained 20% over the week, adding to its 171% surge this year. A leadership shake-up and the reversal of a widely criticized brand overhaul have driven the rally. A costly logo redesign alienated the company’s core customers, and CEO Julie Felss Masino stepped down in August.

Industry veteran David Deno took over as CEO, and the company quickly scrapped the rebrand and returned to its classic heritage look. That decision helped trigger a short squeeze and restored investor confidence.

The operational numbers have also backed up the story. In its fiscal fourth quarter (Q4), Cracker Barrel posted adjusted earnings of $0.99 per share, far above Wall Street’s $0.18 estimate, on revenue of $849.3 million. Cost discipline and pricing adjustments lifted average guest checks, and the company strengthened its balance sheet with a $77 million sale-leaseback and the sale of its Maple Street Biscuit Company subsidiary. 

Signet Jewelers stock climbed 12.6% on deal news. According to a Bloomberg report, the retailer and luxury group Richemont are in advanced talks to join a consortium to buy diamond miner De Beers. The Global Diamond Consortium is led by former De Beers CEO Gareth Penny. It emerged in July as the preferred bidder and is negotiating with Botswana, which is looking to raise its stake to around 25%. 

Richemont and Signet would likely hold relatively minor stakes. Still, their involvement would be seen as a boost for natural stones. 

VF stock jumped 12% over the week after Truist upgraded the stock to ‘Buy’ from ‘Hold’ and lifted its price target to $20 from $14. Piper Sandler also upgraded the shares. Truist believes Vans is “poised to inflect” as fashion shifts away from the long-dominant athletic look. It also sees retailers like Foot Locker and JD Sports looking to fill assortment gaps left by Nike’s legacy lifestyle products. 

Barclays’ Adrienne Yih raised her price target to $24 from $23 and kept an ‘Overweight’ rating ahead of fiscal second-quarter (Q2) 2027 earnings on Oct. 28. 

Kandi, Six Flags, Newsmax Lead Declines

Kandi Technologies stock plunged 38% to a nearly six-year low as the company announced a 1-for-10 reverse stock split, effective Oct. 16. Before the split, the company had 103,002,499 ordinary shares outstanding, including 2,077,134 shares it repurchased in 2024.

Six Flags plummeted to a six-year low of 29% after a visitor’s death at its Georgia park sparked ride safety concerns. The stock drew a price target cut from UBS, which lowered its target to $18 from $27 while keeping a ‘Buy’ rating. The analyst said Q3 visitation softened in August before improving in September. 

Uncertainty around the incident at the company’s Georgia park prompted a modest cut to the valuation multiple. UBS now models a 2 to 3 percentage point decline in 2027 visitation and a $40 million to $50 million hit to EBITDA. 

Newsmax stock declined over 15% and received a cool reception from Freedom Capital, which initiated coverage with a ‘Hold’ rating and a $10 price target. The firm said the company appears well-positioned to be an election winner in 2026 and 2028, but the shares look fully valued. 

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