Macy's (NYSE:M) Downgraded to Hold Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Macy’s from “buy” to “hold,” aligning with the broader analyst consensus. MarketBeat reports a consensus “hold” rating and an average price target of $22.78.
• Macy’s exceeded quarterly expectations, reporting $0.63 in EPS versus the $0.37 consensus and $5.06 billion in revenue. The retailer also raised its fiscal 2026 outlook to $2.15–$2.35 in EPS and approximately $21.7–$21.8 billion in revenue.
• Despite the strong results, near-term concerns remain: Macy’s projected a wider-than-expected third-quarter adjusted loss of $0.19–$0.23 per share, while softer comparable-sales expectations and turnaround execution risks weigh on sentiment.

Macy's (NYSE:M - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a note issued to investors on Saturday, Wall Street Zen reports.

Several other brokerages have also issued reports on M. Evercore set a $22.00 target price on Macy's in a research report on Thursday, June 4th. Zacks Research upgraded Macy's from a "hold" rating to a "strong-buy" rating in a research report on Monday, July 27th. UBS Group increased their price target on Macy's from $9.00 to $10.00 and gave the company a "sell" rating in a research note on Wednesday, August 26th. Citigroup raised their price objective on Macy's from $22.00 to $24.00 and gave the stock a "neutral" rating in a research report on Tuesday, August 25th. Finally, TD Cowen raised their price objective on Macy's from $20.00 to $25.00 and gave the stock a "hold" rating in a research report on Monday, June 22nd. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $22.78.

Macy's Trading Up 7.5%

Shares of NYSE M opened at $22.03 on Friday. The company has a debt-to-equity ratio of 0.49, a quick ratio of 0.44 and a current ratio of 1.59. Macy's has a 52-week low of $16.41 and a 52-week high of $26.58. The firm has a 50 day moving average price of $23.47 and a two-hundred day moving average price of $21.43. The stock has a market cap of $5.79 billion, a P/E ratio of 8.07 and a beta of 1.41.

Macy's (NYSE:M - Get Free Report) last released its quarterly earnings results on Thursday, September 10th. The company reported $0.63 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.37 by $0.26. The firm had revenue of $5.06 billion during the quarter, compared to the consensus estimate of $4.81 billion. Macy's had a net margin of 3.29% and a return on equity of 13.21%. The company's revenue for the quarter was up 1.1% on a year-over-year basis. During the same quarter last year, the firm earned $0.41 earnings per share. Macy's has set its Q3 2026 guidance at -0.230--0.190 EPS and its FY 2026 guidance at 2.150-2.350 EPS. As a group, equities analysts forecast that Macy's will post 2.29 EPS for the current year.

Insider Buying and Selling at Macy's

In related news, SVP Paul Griscom sold 10,077 shares of the business's stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $25.63, for a total value of $258,273.51. Following the transaction, the senior vice president owned 25,373 shares in the company, valued at $650,309.99. The trade was a 28.43% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Thomas Edwards, Jr. sold 16,419 shares of the company's stock in a transaction on Wednesday, June 24th. The shares were sold at an average price of $24.89, for a total transaction of $408,668.91. Following the sale, the executive vice president directly owned 20,000 shares in the company, valued at $497,800. This trade represents a 45.08% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 1.05% of the stock is owned by insiders.

Institutional Investors Weigh In On Macy's

Institutional investors and hedge funds have recently made changes to their positions in the business. Dimensional Fund Advisors LP grew its stake in Macy's by 2.0% during the first quarter. Dimensional Fund Advisors LP now owns 16,475,647 shares of the company's stock worth $298,035,000 after purchasing an additional 329,675 shares during the period. RWC Asset Management LLP boosted its holdings in shares of Macy's by 0.6% during the 4th quarter. RWC Asset Management LLP now owns 10,965,149 shares of the company's stock worth $241,782,000 after buying an additional 62,839 shares in the last quarter. State Street Corp boosted its holdings in shares of Macy's by 0.5% during the 2nd quarter. State Street Corp now owns 9,420,372 shares of the company's stock worth $111,547,000 after buying an additional 45,997 shares in the last quarter. California State Teachers Retirement System grew its position in shares of Macy's by 2,278.6% during the 2nd quarter. California State Teachers Retirement System now owns 7,184,304 shares of the company's stock worth $169,190,000 after buying an additional 6,882,269 shares during the period. Finally, Goldman Sachs Group Inc. grew its position in shares of Macy's by 67.5% during the 4th quarter. Goldman Sachs Group Inc. now owns 6,823,034 shares of the company's stock worth $150,448,000 after buying an additional 2,750,115 shares during the period. Institutional investors own 87.36% of the company's stock.

More Macy's News

Here are the key news stories impacting Macy's this week:

• Positive Sentiment: Macy’s exceeded analysts’ expectations for second-quarter earnings and revenue. Reported adjusted EPS was approximately $0.40 versus the $0.37 consensus, while revenue rose 1.1% year over year to roughly $4.9 billion. The company also reported growth across its major nameplates. Macy's Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: The retailer raised its fiscal 2026 outlook, projecting EPS of $2.15-$2.35 versus a $2.11 consensus and revenue of approximately $21.7-$21.8 billion, above the $21.1 billion consensus. Its sales outlook was supported by higher comparable sales expectations and continued demand from middle- and higher-income customers. Macy's Posts Strong Results and Raises Guidance
• Positive Sentiment: Management said premium merchandise and tariff refunds helped results. The improving sales trend and a roughly 3.5% dividend yield may appeal to income-focused investors if the turnaround continues and cash generation remains solid. Premium Goods Drive Sales Growth
• Neutral Sentiment: BTIG Research reaffirmed its “neutral” rating, indicating that the earnings improvement and valuation are balanced by execution risks in the ongoing turnaround. BTIG Research Rating
• Negative Sentiment: Despite the beat and guidance increase, investors initially focused on Macy’s projected third-quarter adjusted loss of $0.19-$0.23 per share, which is wider than the $0.12 consensus loss. Softer near-term comparable-sales expectations and broader market weakness also pressured sentiment. Macy's Stock and Fiscal 2026 Outlook

About Macy's

Macy's, Inc is an American omnichannel retailer that sells a broad range of merchandise through department stores, specialty stores and digital platforms. Its product offerings include apparel, accessories, beauty products, home furnishings, jewelry, furniture and other consumer goods.

The company operates through several well-known retail banners, including Macy's, Bloomingdale's and Bluemercury. Macy's serves customers primarily in the United States through its stores and e-commerce websites, while Bloomingdale's offers fashion, accessories, beauty and home merchandise through department stores, outlets and digital channels.

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