Macy's Analysts Boost Their Forecasts After Upbeat Q2 Results

Core Insights - Macy's Inc. reported better-than-expected second-quarter earnings, with net sales of $4.81 billion, down 2.5% year over year, surpassing both consensus and management guidance [1][2] - The company raised its fiscal 2025 earnings guidance from $1.60-$2.00 to $1.70-$2.05, and sales guidance from $21 billion-$21.4 billion to $21.15 billion-$21.45 billion [3] Financial Performance - Adjusted earnings per share were 41 cents, exceeding the consensus of 18 cents and last year's 53 cents, and surpassing management's guidance of 15-20 cents [1][2] - The retailer's second-quarter performance was driven by the strongest comparable sales growth in 12 quarters, particularly in Macy's Reimagine 125 locations, Bloomingdale's, and Bluemercury [2] Stock Market Reaction - Following the earnings announcement, Macy's shares gained 4%, trading at $16.92 [3] - Analysts adjusted their price targets for Macy's, with Jefferies raising it from $14.5 to $18.5, while UBS raised it from $6 to $6.5 [8]