Macy's, Inc. (NYSE:M) Given Consensus Recommendation of "Reduce" by Brokerages

Key Points

• Analysts have a consensus rating of "Reduce" on Macy's from 14 firms (2 sell, 11 hold, 1 buy) with an average 12‑month price target of $18.90.
• Top executives sold shares in early April to cover tax withholding—CEO Olivier Bron sold 7,228 shares and EVP Tracy M. Preston sold 5,271—and insiders have sold 94,967 shares (~$1.7M) in the last 90 days, leaving insiders with 1.05% ownership.
• Macy's beat the quarter (EPS $1.67 vs. $1.55; revenue $7.92B vs. $7.48B) though revenue was down 1.7% year‑over‑year, and the company raised its quarterly dividend to $0.1915 (annualized $0.77; yield 3.8%).

Shares of Macy's, Inc. (NYSE:M - Get Free Report) have been assigned a consensus rating of "Reduce" from the fourteen ratings firms that are currently covering the firm, MarketBeat.com reports. Two investment analysts have rated the stock with a sell rating, eleven have issued a hold rating and one has issued a buy rating on the company. The average twelve-month price objective among analysts that have updated their coverage on the stock in the last year is $18.90.

A number of equities research analysts have recently issued reports on M shares. TD Cowen reduced their price objective on Macy's from $21.00 to $20.00 and set a "hold" rating for the company in a report on Thursday, March 19th. Citigroup reduced their price objective on Macy's from $24.00 to $18.00 and set a "neutral" rating for the company in a report on Thursday, March 19th. JPMorgan Chase & Co. reduced their price objective on Macy's from $24.00 to $21.00 and set a "neutral" rating for the company in a report on Wednesday, March 18th. Wall Street Zen upgraded Macy's from a "hold" rating to a "buy" rating in a report on Saturday, April 18th. Finally, Weiss Ratings restated a "hold (c)" rating on shares of Macy's in a report on Friday, March 27th.

Insider Buying and Selling

In related news, CEO Olivier Bron sold 7,228 shares of the business's stock in a transaction that occurred on Monday, April 6th. The stock was sold at an average price of $17.92, for a total value of $129,525.76. Following the completion of the sale, the chief executive officer directly owned 21,590 shares in the company, valued at approximately $386,892.80. The trade was a 25.08% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Tracy M. Preston sold 5,271 shares of the business's stock in a transaction that occurred on Monday, April 6th. The shares were sold at an average price of $17.92, for a total value of $94,456.32. Following the completion of the sale, the executive vice president owned 28,773 shares of the company's stock, valued at approximately $515,612.16. This trade represents a 15.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders have sold 94,967 shares of company stock valued at $1,705,276. 1.05% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Macy's

Several institutional investors have recently made changes to their positions in M. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in Macy's by 38.3% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 162,989 shares of the company's stock valued at $2,047,000 after purchasing an additional 45,149 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in Macy's by 5.3% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,116,170 shares of the company's stock worth $14,019,000 after purchasing an additional 55,821 shares during the last quarter. Focus Partners Wealth lifted its stake in Macy's by 33.1% during the first quarter. Focus Partners Wealth now owns 58,197 shares of the company's stock worth $731,000 after purchasing an additional 14,489 shares during the last quarter. Cetera Investment Advisers lifted its stake in Macy's by 49.6% during the second quarter. Cetera Investment Advisers now owns 24,300 shares of the company's stock worth $283,000 after purchasing an additional 8,053 shares during the last quarter. Finally, Invesco Ltd. lifted its stake in Macy's by 160.5% during the second quarter. Invesco Ltd. now owns 4,283,107 shares of the company's stock worth $49,941,000 after purchasing an additional 2,639,132 shares during the last quarter. 87.36% of the stock is currently owned by institutional investors.

Macy's Trading Down 0.1%

Shares of NYSE:M opened at $20.21 on Thursday. Macy's has a 12-month low of $10.54 and a 12-month high of $24.41. The stock has a market cap of $5.33 billion, a PE ratio of 8.71 and a beta of 1.51. The business has a 50 day moving average of $19.11 and a 200-day moving average of $20.30. The company has a quick ratio of 0.50, a current ratio of 1.49 and a debt-to-equity ratio of 0.50.

Macy's (NYSE:M - Get Free Report) last issued its quarterly earnings data on Wednesday, March 18th. The company reported $1.67 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.55 by $0.12. Macy's had a return on equity of 14.22% and a net margin of 2.84%.The company had revenue of $7.92 billion during the quarter, compared to analysts' expectations of $7.48 billion. During the same quarter in the previous year, the company posted $1.80 earnings per share. The business's revenue was down 1.7% on a year-over-year basis. As a group, equities research analysts forecast that Macy's will post 2.09 earnings per share for the current year.

Macy's Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, April 1st. Investors of record on Friday, March 13th were paid a $0.1915 dividend. This represents a $0.77 annualized dividend and a dividend yield of 3.8%. This is an increase from Macy's's previous quarterly dividend of $0.18. The ex-dividend date was Friday, March 13th. Macy's's dividend payout ratio is presently 32.76%.

Macy's Company Profile

Macy's, Inc is a leading American omnichannel retailer operating under the Macy's brand, as well as specialty divisions Bloomingdale's and Bluemercury. The company's retail portfolio encompasses full-line department stores, fashion-focused specialty outlets and a high-end beauty chain, offering consumers a wide array of apparel, footwear, accessories, cosmetics and home furnishings. Through its integrated network of physical stores and digital platforms, Macy's seeks to deliver a seamless shopping experience that blends in-store service with online convenience.

The company's product assortment spans men's, women's and children's clothing, beauty and personal care products, housewares and home décor.

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