Macy's (M) Beats Stock Market Upswing: What Investors Need to Know

Company Performance - Macy's closed at $11.13, reflecting a +1.09% increase from the previous day, outperforming the S&P 500's gain of 0.13% [1] - Over the past month, Macy's shares have declined by 19.28%, while the Retail-Wholesale sector and S&P 500 have decreased by 5.65% and 6.3%, respectively [1] Earnings Expectations - The upcoming earnings report is expected to show an EPS of$ 0.14, a decrease of 48.15% compared to the same quarter last year [2] - Revenue is projected at $4.47 billion, indicating a 7.86% decline from the equivalent quarter last year [2] Annual Estimates - For the annual period, earnings are anticipated to be$ 2.12 per share, down 19.7% from the previous year, with revenue expected to be $21.27 billion, reflecting a 4.6% decrease [3] Analyst Revisions - Recent changes in analyst estimates for Macy's are crucial as they indicate evolving short-term business trends, with positive revisions suggesting analyst optimism [3][4] Zacks Rank and Valuation - Macy's currently holds a Zacks Rank of 4 (Sell), with a Forward P/E ratio of 5.19, which is a discount compared to the industry average of 11.21 [5] - The Zacks Rank system has historically outperformed, with 1 stocks returning an average annual gain of +25% since 1988 [5] Industry Context - The Retail - Regional Department Stores industry is ranked 231 in the Zacks Industry Rank, placing it in the bottom 7% of over 250 industries [6] - The top 50% rated industries outperform the bottom half by a factor of 2 to 1, indicating the relative weakness of the current industry ranking [6]