Yahoo Finance Macy's (M) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Macy's (M) closed at $21.52, marking a -0.6% move from the previous day. This change lagged the S&P 500's daily gain of 0.38%. Elsewhere, the Dow lost 0.04%, while the tech-heavy Nasdaq added 0.73%.
Heading into today, shares of the department store operator had gained 3.39% over the past month, lagging the Retail-Wholesale sector's gain of 5.06% and outpacing the S&P 500's gain of 3.19% in that time.
Investors will be hoping for strength from M as it approaches its next earnings release. In that report, analysts expect M to post earnings of $0.46 per share. This would mark a year-over-year decline of 22.03%. Our most recent consensus estimate is calling for quarterly revenue of $5.63 billion, up 1.02% from the year-ago period.
M's full-year Zacks Consensus Estimates are calling for earnings of $3.12 per share and revenue of $25.11 billion. These results would represent year-over-year changes of -25.36% and +0.57%, respectively.
Investors should also note any recent changes to analyst estimates for M. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. M is currently a Zacks Rank #3 (Hold).
Investors should also note M's current valuation metrics, including its Forward P/E ratio of 6.95. Its industry sports an average Forward P/E of 8.72, so we one might conclude that M is trading at a discount comparatively.
It is also worth noting that M currently has a PEG ratio of 0.93. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Regional Department Stores stocks are, on average, holding a PEG ratio of 0.93 based on yesterday's closing prices.
The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 224, which puts it in the bottom 13% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow M in the coming trading sessions, be sure to utilize Zacks.com.
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Macy's, Inc. (M) : Free Stock Analysis Report
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