Macy's, Inc. (M) Hit a 52 Week High, Can the Run Continue?

Core Viewpoint - Macy's shares have shown significant performance, with an 8.2% increase over the past month and a 32.7% gain since the start of the year, outperforming both the Zacks Retail-Wholesale sector and the Zacks Retail - Regional Department Stores industry [1] Company Performance - Macy's has consistently exceeded earnings expectations, reporting an EPS of $0.09 against a consensus estimate of -$0.13 in its last earnings report [2] - For the current fiscal year, Macy's is projected to earn $2 per share on revenues of $21.4 billion, reflecting a -24.24% change in EPS and a -4% change in revenues [3] Valuation Metrics - Macy's currently trades at 11.2X current fiscal year EPS estimates, significantly lower than the peer industry average of 18.3X, and at 3.8X trailing cash flow compared to the peer group's average of 8.2X, indicating strong value potential [7] - The stock has a Value Score of A, Growth Score of B, and Momentum Score of A, resulting in a combined VGM Score of A, making it appealing for value investors [6] Zacks Rank - Macy's holds a Zacks Rank of 2 (Buy), supported by rising earnings estimates, suggesting potential for further price appreciation [8] Industry Comparison - The Retail - Regional Department Stores industry is performing well, ranking in the top 3% of all industries, providing favorable conditions for both Macy's and its peer Dillard's, which has a Zacks Rank of 1 (Strong Buy) [11]