24.90 -0.06 (-0.24%)
After hours: 7:58PM EST
|Bid||24.92 x 4000|
|Ask||24.95 x 1200|
|Day's Range||24.70 - 25.11|
|52 Week Range||22.47 - 41.99|
|Beta (3Y Monthly)||0.34|
|PE Ratio (TTM)||4.57|
|Earnings Date||Feb 26, 2019|
|Forward Dividend & Yield||1.51 (6.02%)|
|1y Target Est||30.27|
As Jeff Gennette, the CEO of Macy's, laid out, there simply wasn't good follow through after Black Friday at the venerable chain. When he cut numbers, he cited specific categories of weakness: women's sportswear, fashion jewelry (not fine jewelry, which did well) fashion watches and cosmetics.
CNBC's Jim Cramer explains that the retail sector has both winners and losers, and it pays to know the difference. The "Mad Money" host also sits down with VMware's Chief Operating Officer of Customer Operations. In the lightning round, Cramer comes out in support of two stocks that pay healthy dividends.
Nordstrom said Tuesday evening that it now expects its diluted earnings per share for fiscal 2018 to fall on the low end of a prior range of $3.27 to $3.37.
Compensation Advisory Partners Associate Ryan Colucci and Founding Partner Melissa Burek By John Jannarone 100x? 1000x? The ratio of CEO compensation to median employee income can be a staggering figure – one that some companies feared would cause uproar among staff and journalists when they were widely reported in public filings over the last year. […]
Last time I traded Macy's (NYSE:M) was off the price action before and after the May 2018 earnings reports. I won on two trades. First I went long on a dip to $29 per share which was then support. Then another long bet off the earnings beat that management delivered soon thereafter. Now Macy's stock is in trouble with is a completely different outlook. Today's I will argue against the rush to own the stock even after such a big fall. Before you send me your hate mail, let me explain. My issue is with the the company prospects, not the shorter term stock action. Those who want to trade it for the short term need not be bothered by my comments. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Even though the retail sector had a strong holiday season, somehow Macy's failed to capitalize on a U.S. consumer who is fully employed and on a spending spree. The stock collapsed last week when the company downgraded its own forecast. Since then it has not yet found footing. Usually candles of the size of that one from Jan. 10 are rarely a one day event. Those who tried to catch the falling machete lost some digits. So is now a better time to try and invest in Macy's stock? The short answer is No, there is no hurry yet. * 8 Dividend Stocks With Growth on the Horizon But to elaborate, I'd say that there are better opportunities to risk my money elsewhere -- even within the retail sector. I fail to see the catalyst that would turn Macy's into a must-own undervalued stock. Not after what management just told us. Even if it bounced now, M stock will not rally on its own so. It will need the general markets to be also rallying for it to move. It does happen that out-of-favor stocks can rebound alone, but not when the company basically told us that for the short term things are tough. I'd rather be long markets than risk my money on Macy's. The $29 prior support zone is likely to become forward resistance for months to come. Let me explain the reasons why I think that Macy's stock has a tough slog ahead of it before it becomes a viable long term risk. ### Reasons to Beware Macy's Stock Brick-and-mortar retailers like Macy's have never recovered from the decimation that Amazon (NASDAQ:AMZN) inflicted on them over the past decade. Last summer, experts in the media wrongly assumed that they had figured AMZN out. But I took issue to that then, and this downgrade is proof. Macy's management may be growing their online sales but I argue that it's actually killing them faster. Why? They are not taking back sales that they lost to AMZN, they are merely migrating their own foot traffic online. So in essence they are contributing to making their stores even more obsolete than they currently are. Moreover, bringing the sales online is one thing but doing it profitably is another. AMZN and Walmart (NYSE:WMT) before it both built their empires on thin margins so they are experts at it. M is still a novice and hence is inefficient. Macy's still hasn't figured out how to compete profitably with AMZN online. They are stuck between a brick and a hard place. So something has to change, because whatever they are doing is not yet working. Those take time; hence the non-urgency to invest in it for the long term. Not all retail is the same. Yesterday morning we got more proof from Lululemon (NASDAQ:LULU) that this is not a general retail problem, it's a disaster unfolding in the traditional physical centers like Macy's and JC Penny (NYSE:JCP) to name two. LULU raised its outlook and the stock soared 5.73% on the headline. Macy's and JCP stocks fell -1.34% and -1.52% on the same day. Technically and up until last week, M stock had been performing better than the SPDR S&P Retail ETF (NYSEARCA:XRT). But now it's no longer a contest. Macy's stock is still sliding off last week news. LULU and stocks like Nike (NYSE:NKE) which control their own product lines are by far the most attractive to investors these days. Those two are up 80% and 20% respectively in the past year. I have nothing against Macy's the company. But I truly think that they have a big hole from which to dig out to compete in the new online trend at equal levels with AMZN, and they are doing it with a spoon. The stock could catch a bounce, but there is a good chance it falls closer to $22 per share -- especially if the indices decide to retest the February lows. They need to change their strategy. Meanwhile, the good news is that the long term charts show that price is approaching prior long-term pivot levels and those tend to lend support. So if I am already long Macy's it's probably too late to sell. But I am not in a hurry to buy it or add to a position here. Those who absolutely want to better do partial orders in case I am right about this. Click here and enjoy a free video and more of my market thesis and get an ongoing free copy of my weekly newsletters. Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. You can follow him as @racernic on Twitter and Stocktwits. Compare Brokers The post Macyas Stock Is Stuck Between Brick-and-Mortar and Cyberspace appeared first on InvestorPlace.
U.S. stock futures are trading mixed this morning following an unexpected earnings miss from banking giant J.P. Morgan (NYSE:JPM). This marks the first time in 15 quarters that JPM has fallen short of earnings estimates. Ahead of the bell, futures on the Dow Jones Industrial Average are down 0.07% and S&P 500 futures are higher by 0.13%. Nasdaq-100 futures have added 0.42%. In the options pits, put volume climbed above call volume even as overall activity levels remained subdued. Specifically, about 14.4 million calls and 15.4 million puts changed hands on the session. InvestorPlace - Stock Market News, Stock Advice & Trading Tips However, those puts didn't translate over to the CBOE, where the single-session equity put/call volume ratio fell back to 0.65. Meanwhile, the 10-day moving average climbed further to 0.65. Here were three stocks atop the most-actives list yesterday. Macy's (NYSE:M) continues to see large put volumes in the aftermath of its announcement slashing its profit forecast. Citigroup (NYSE:C) options were hot after yesterday's earnings release. Finally, Bank of America (NYSE:BAC) saw an uptick in options trading ahead of Wednesday's quarterly report. Let's take a closer look: ### Macy's (M) Macy's fell for a third straight day as sellers continue to dominate following last week's announcement of weak holiday sales and a lowering of their profit forecasts for the fiscal year 2018. With Monday's slide, M stock's year-to-date losses have now grown to 16%. * 8 Dividend Stocks With Growth on the Horizon From a charting perspective, there isn't much positive to highlight. Sellers are dominating the landscape and now control both the short-term and intermediate-term trends. As such, any strength in the stock over the coming days will create attractive entries for bear trades. On the options trading front, traders came after puts with a vengeance. Total activity swelled to 577% of the average daily volume, with 189,336 total contracts traded. 77% of the trading came from put options alone. The increased demand drove implied volatility higher, halting the post-earnings volatility crush. With implied volatility at 42%, it now sits at the 38th percentile of its one-year range. Premiums are now pricing in daily moves of 67 cents or 2.7%. ### Citigroup (C) Investors got their first look at how banks performed last quarter yesterday with Citigroup earnings. Despite reporting mixed results, Wall Street rewarded C stock with a solid 4% gain. The company said they raked in $1.61 of earnings per share on revenue of $17.1 billion. Analysts had been expected earnings of $1.55 per share on revenue of $17.59 billion. With yesterday's gains, Citigroup shares are now testing the underside of the declining 50-day moving average. This remains a precarious spot to deploy bullish plays, so I suggest waiting for a better entry if you're considering long trades. On the options trading front, calls outpaced puts on the session. Total activity climbed to 209% of the average daily volume, with 224,014 total contracts traded. Calls accounted for 59% of the day's take. With earnings now in the rearview mirror, implied volatility sunk like a stone to 29%. It now sits at the 31st percentile of its one-year range and premiums are pricing in daily moves of $1.08 or 1.8%. ### Bank of America (BAC) The rally in Citigroup boosted financials across the board yesterday, including Bank of America. The stock was up 1.3% and saw a slight boost to its options trading. BAC is scheduled to report its earnings on Wednesday before the opening bell. Bank of America's chart remains in the midst of a V-shaped recovery. But with it now wrestling with multiple resistance zones and the quarterly report looming tomorrow it's tough to make a case for a trade here. On the options trading front, calls ruled the roost. Total activity ticked higher to 110% of the average daily volume, with 454,256 total contracts traded. Calls contributed 55% to the day's tally. Implied volatility slipped on the day to 31% as uncertainty fell ahead of Wednesday's earnings release. Premiums are now pricing in an earnings move of 3% in the stock. As of this writing, Tyler Craig didn't hold a position in any of the aforementioned securities. Check out his recently released Bear Market Survival Guide to learn how to defend your portfolio against market volatility. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Companies That Could Post Decelerating Profits * 10 A-Rated Stocks the Smart Money Is Piling Into * Mizuho: 7 Long-Term Value Stocks to Buy Now Compare Brokers The post Tuesday's Vital Data: Macy's, Citigroup and Bank of America appeared first on InvestorPlace.
# Macy's Inc ### NYSE:M View full report here! ## Summary * Perception of the company's creditworthiness is negative and weakening * Bearish sentiment is moderate * Economic output in this company's sector is expanding ## Bearish sentiment Short interest | Positive Short interest is moderate for M with between 5 and 10% of shares outstanding currently on loan. The last change in the short interest score occurred more than 1 month ago and implies that there has been little change in sentiment among investors who seek to profit from falling equity prices. ## Money flow ETF/Index ownership | Neutral ETF activity is neutral. The net inflows of $10.98 billion over the last one-month into ETFs that hold M are not among the highest of the last year and have been slowing. ## Economic sentiment PMI by IHS Markit | Positive According to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Consumer Services sector is rising. The rate of growth is strong relative to the trend shown over the past year, and is accelerating. ## Credit worthiness Credit default swap | Negative The current level displays a negative indicator with a weakening bias over the past 1-month. M credit default swap spreads are rising towards their highest levels for the past 1 year, which indicates the market's more negative perception of the company's credit worthiness. Please send all inquiries related to the report to email@example.com. Charts and report PDFs will only be available for 30 days after publishing. This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Earnings season is upon us. For some, it'll be like Christmas morning. For others, they'll be devastated by poor earnings. In my opinion, the next month and a half will make or break this stock market.
The quarterly report at Macy's sent aftershocks through the retail industry, but somehow Bed Bath & Beyond avoided the sting.
Shares of Lululemon (LULU) soared as high as 8% in morning trading Monday after the yoga apparel powerhouse raised its Q4 earnings and revenue guidance.
When Amazon.com (NASDAQ:AMZN) announced in 2017 that it would pay $13.7 billion to buy Whole Foods, my reaction was that, for another $10 billion, AMZN could have bought all the shares of Kroger (NYSE:KR) stock. Kroger, at that time, held about 10% of the U.S. grocery market, against less than 2% for Whole Foods. The big dog on that street was Walmart (NYSE:WMT), which had a 26% share of the sector. The market cap of KR stock this morning was $22.73 billion, barely one-sixth its fiscal 2018 sales. The market cap of Walmart stock, on the other hand, is equal to more than half of the company's sales. InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 A-Rated Stocks the Smart Money Is Piling Into Since AMZN bought Whole Foods, Kroger has been fighting Whole Foods (and by extension Amazon) with every fiber of its being, using a project KR calls "Restock Kroger." Recently, as part of that initiative, KR made a deal with Microsoft (NASDAQ:MSFT) to incorporate technology into two of its stores and make them more like AMZN's Amazon Go outlets. According to The Verge, the stores developed by Kroger and MSFT "are filled with digital shelf labels and image recognition cameras, and aim to create a retail environment that's easier for both customers and retail employees to navigate." But the whole story of KR stock is a little more complicated. ### Retail Is Complex A grocery store isn't just where food is sold. It's also a place to which food is supplied. The key to winning isn't just getting people to come in and buy the merchandise. Supplying stores at the lowest possible prices and keeping inventory losses to a minimum are also key parts of the business. Kroger has made a number of deals to boost its performance in those areas. It has become the U.S. licensee for Ocado, a British company that aims to make profitable online sales through automated warehouses. It also bought Home Chef, a meal-kit company. Warehouses like those designed by Ocado can break bulk efficiently and centrally. Meal kits like those of Home Chef reduce waste by sending people only what they need to cook a meal. Not all the competition in this space is taking place on the sales floor. ### The Macy's Problem The real problem for Kroger and owners of KR stock remains that no one knows what Kroger is. As I have written many times, Kroger is Mariano's in Chicago. It's Harris Teeter in North Carolina, and Ralph's in California. It's King Soopers in Colorado and Fred Meyer in Oregon. All these retail chains operate independently, as we learned when Kroger closed its Kroger-branded operations in North Carolina, whose workers were unionized, and replaced them with Harris Teeter stores, whose employees are not in unions. As a result, even some owners of KR stock may not know just how big Kroger is. It had sales of $122 billion in its last fiscal year and should come close to surpassing that total when it reports its Q4 results in March. Kroger easily covers the 14-cent quarterly dividend paid by KR stock. which currently has a dividend yield of almost 2% KR has the same problem that Federated Department Stores faced in the last century. Federated finally chose Macy's (NYSE:M) as its brand, and as recently as 2015, Macy's was doing well, until the performance of shopping malls tumbled. Kroger might do well to remember this history and consolidate itself under one brand name, rather than doing side deals like selling its convenience stores, which it did last year for $2.15 billion. ### The Bottom Line on KR Stock If Kroger had a single identity, its deals with MSFT, Ocado and Home Chef would have had much more of an impact on KR stock. But that's one big change that looks unlikely to happen, which is why KR stock is selling for 31% less than it did in late 2015, against a 26% gain by the S&P 500. KR stock has held up well in the current volatile market, and it's risen over the last six months. But KR stock is still a defensive play, appealing primarily to risk-off investors. That is sad because KR stock could be so much more. Dana Blankenhorn is a financial and technology journalist. He is the author of a new mystery thriller, The Reluctant Detective Finds Her Family, available now at the Amazon Kindle store. Write him at firstname.lastname@example.org or follow him on Twitter at @danablankenhorn. As of this writing he owned shares in MSFT and AMZN. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Key Emerging-Market Stocks to Buy for Contrarian Investors * 7 Stocks at Risk of the Global Smartphone Slowdown * 7 Pharmaceutical Stocks That Just Raised Prices This Year Compare Brokers The post Kroger Stock Could Be So Much More appeared first on InvestorPlace.
Janet Yellen, former chair of the Federal Reserve, made the comments Monday during the National Retail Federation's annual Big Show in New York.
It is a matter of introspection as to why these retailers did not deliver impressive numbers. Definitely, shifting shopping pattern from stores to online has been weighing on retailers.
Lululemon shares rose 3 percent in premarket trading after the company announced it was raising its revenue and earnings per share outlook for the fourth quarter.
Retail stocks are off to a hot start to 2019 despite mixed holiday sales numbers. Several Wall Street analysts weighed in on retail sales numbers from top stocks. Here’s a sampling of what they said. ...
Goldman Sachs says 2019 earnings growth could be as low as just 3 percent because of slow economic growth, a strong dollar and low oil prices.
Shares of retailers suffered broad, and in many cases a sharp selloffs Thursday, as a number of downbeat holiday-period sales reports sparked concerns over the health of the sector and consumer.
CNBC's Courtney Reagan reports from the National Retail Federation annual convention in New York City on the discussion among the retail industry's key players.