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Macy's (M) closed at $12.42 in the latest trading session, marking a +0.65% move from the prior day. This change lagged the S&P 500's 0.73% gain on the day. Meanwhile, the Dow experienced a drop of 0.64%, and the technology-dominated Nasdaq saw an increase of 1.61%.
Coming into today, shares of the department store operator had gained 9.01% in the past month. In that same time, the Retail-Wholesale sector gained 9.91%, while the S&P 500 gained 9.07%.
The investment community will be closely monitoring the performance of Macy's in its forthcoming earnings report. The company is scheduled to release its earnings on May 28, 2025. The company is predicted to post an EPS of $0.15, indicating a 44.44% decline compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.47 billion, down 7.72% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.04 per share and revenue of $21.22 billion, indicating changes of -22.73% and -4.81%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Macy's should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 3.77% downward. Right now, Macy's possesses a Zacks Rank of #4 (Sell).
Looking at valuation, Macy's is presently trading at a Forward P/E ratio of 6.04. For comparison, its industry has an average Forward P/E of 14.13, which means Macy's is trading at a discount to the group.
The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 196, which puts it in the bottom 21% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.