In a new report, analysts at Wedbush took a look at softline retailers. With earnings in the space weak so far, analysts believe that expectations are extremely low for the companies that have yet to report. The report includes Wedbush’s top three stocks to buy before earnings.

Lowering The Bar

Of the 10 retailers that have reported so far, nine of the stocks have fallen following their respective reports. The disappointment has produced an average downside of 4.6 percent for shareholders. However, analysts believe the risk to the stocks that have yet to report will be limited.

“While the market appears to have taken the approach of selling first and asking questions later in response to softening top-line reports, we believe that the magnitude of risk is likely reduced going forward, at least for those retailers that manage to…

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