Back to top

Image: Bigstock

Macy's (M) Stock Sinks As Market Gains: Here's Why

Read MoreHide Full Article

In the latest close session, Macy's (M - Free Report) was down 1.89% at $12.96. The stock trailed the S&P 500, which registered a daily gain of 0.03%. On the other hand, the Dow registered a loss of 0.03%, and the technology-centric Nasdaq decreased by 0.01%.

Shares of the department store operator have appreciated by 9.63% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 3.3%, and the S&P 500's gain of 3.46%.

Investors will be eagerly watching for the performance of Macy's in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on September 3, 2025. In that report, analysts expect Macy's to post earnings of $0.19 per share. This would mark a year-over-year decline of 64.15%. Simultaneously, our latest consensus estimate expects the revenue to be $4.74 billion, showing a 3.93% drop compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates project earnings of $1.81 per share and a revenue of $21.28 billion, demonstrating changes of -31.44% and -4.52%, respectively, from the preceding year.

Investors should also pay attention to any latest changes in analyst estimates for Macy's. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 1.57% rise in the Zacks Consensus EPS estimate. At present, Macy's boasts a Zacks Rank of #3 (Hold).

Looking at its valuation, Macy's is holding a Forward P/E ratio of 7.29. This indicates a discount in contrast to its industry's Forward P/E of 16.34.

The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 37, putting it in the top 15% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Macy's, Inc. (M) - free report >>

Published in