Macy’s Shares Jump on Earnings Beat and Strong Revenue Outlook

Core Viewpoint - Macy's Inc. reported strong fourth-quarter results that exceeded expectations, leading to a significant increase in share price despite ongoing tariff concerns [1] Group 1: Financial Performance - Adjusted earnings per share (EPS) for the fourth quarter were $1.67, surpassing the analyst consensus estimate of $1.56 [1] - Revenue for the quarter reached $7.6 billion, exceeding the estimate of $7.46 billion, although it represented a 1.7% decline year over year [1] - For fiscal year 2025, adjusted EPS was reported at $2.32, exceeding the prior guidance range of $2.00 to $2.20 [3] Group 2: Sales Performance - Comparable sales increased by 1.8% in the fourth quarter, with all brand segments showing strength [2] - Bloomingdale's achieved its strongest holiday performance on record, with comparable sales rising by 9.9% [2] - For the full fiscal year 2025, comparable sales increased by 1.5%, indicating a return to positive growth [3] Group 3: Future Guidance - For fiscal 2026, Macy's projected revenue between $21.4 billion and $21.65 billion, with a midpoint of $21.53 billion, exceeding the analyst consensus estimate of $21.11 billion [2] - Adjusted EPS guidance for fiscal 2026 is set between $1.90 and $2.10, with a midpoint of $2.00, which is below the consensus estimate of $2.21 [3]