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Here's Why Macy's (M) Fell More Than Broader Market
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Macy's (M - Free Report) ended the recent trading session at $24.90, demonstrating a -1.97% change from the preceding day's closing price. This change lagged the S&P 500's daily loss of 0.06%. Meanwhile, the Dow experienced a drop of 0.11%, and the technology-dominated Nasdaq saw a decrease of 0.32%.
Shares of the department store operator have appreciated by 12.19% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 7.55%, and the S&P 500's gain of 3.42%.
Analysts and investors alike will be keeping a close eye on the performance of Macy's in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.35, marking a 14.63% fall compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $4.81 billion, indicating a 0.09% decline compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.19 per share and a revenue of $21.76 billion, representing changes of -5.6% and -0.6%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Macy's. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection remained stagnant. As of now, Macy's holds a Zacks Rank of #2 (Buy).
In terms of valuation, Macy's is currently trading at a Forward P/E ratio of 11.59. This signifies a discount in comparison to the average Forward P/E of 15.76 for its industry.
The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 103, putting it in the top 42% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
View the Zacks #1 Rank List
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Here's Why Macy's (M) Fell More Than Broader Market
Macy's (M - Free Report) ended the recent trading session at $24.90, demonstrating a -1.97% change from the preceding day's closing price. This change lagged the S&P 500's daily loss of 0.06%. Meanwhile, the Dow experienced a drop of 0.11%, and the technology-dominated Nasdaq saw a decrease of 0.32%.
Shares of the department store operator have appreciated by 12.19% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 7.55%, and the S&P 500's gain of 3.42%.
Analysts and investors alike will be keeping a close eye on the performance of Macy's in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.35, marking a 14.63% fall compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $4.81 billion, indicating a 0.09% decline compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.19 per share and a revenue of $21.76 billion, representing changes of -5.6% and -0.6%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Macy's. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection remained stagnant. As of now, Macy's holds a Zacks Rank of #2 (Buy).
In terms of valuation, Macy's is currently trading at a Forward P/E ratio of 11.59. This signifies a discount in comparison to the average Forward P/E of 15.76 for its industry.
The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 103, putting it in the top 42% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.