Macy's CEO Cautions That Discerning Shoppers May Lead to Holiday Uncertainty
Written by Emily J. Thompson, Senior Investment Analyst
Source: Benzinga
Updated: 4 day ago0mins
Macy's Financial Performance: Macy's reported quarterly sales of $4.713 billion, exceeding expectations, with a 2.5% increase in comparable sales. The company raised its fiscal 2025 earnings and sales outlook, reflecting confidence in its performance heading into the holiday season.
Strong Results from Subsidiaries: Bloomingdale’s achieved its best performance in over three years with an 8.8% increase in comparable sales, while Bluemercury also saw growth. Macy's Reimagine initiative showed positive results, outperforming the broader brand.
Cautious Outlook for Holiday Season: Despite strong results, Macy's expressed caution regarding consumer spending during the holiday season, noting that customers are becoming more selective and that higher tariffs may impact earnings.
Shareholder Returns and Financial Health: The company returned approximately $99 million to shareholders through dividends and share repurchases, and ended the quarter with $447 million in cash, maintaining a strong financial position with no significant long-term debt maturities until 2030.
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Analyst Views on M
Wall Street analysts forecast M stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for M is 15.70 USD with a low forecast of 6.00 USD and a high forecast of 19.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Analyst Rating
1 Buy
10 Hold
1 Sell
Hold
Current: 22.320
Low
6.00
Averages
15.70
High
19.00
Current: 22.320
Low
6.00
Averages
15.70
High
19.00
Evercore ISI
Michael Binetti
In Line
maintain
$14 -> $21
2025-12-05
New
Reason
Evercore ISI
Michael Binetti
Price Target
$14 -> $21
2025-12-05
New
maintain
In Line
Reason
Evercore ISI analyst Michael Binetti raised the firm's price target on Macy's to $21 from $14 and keeps an In Line rating on the shares. "Solid" Q3 results suggest "a promising holiday season ahead" from Macy's, the analyst tells investors in a post-earnings note. Guidance for Q4 same-store sales ranging from down 2.5% to flat is "conservative" and early indications from November suggest performance "might exceed these cautious projections," the analyst added.
Goldman Sachs
Neutral
maintain
$22
2025-12-05
New
Reason
Goldman Sachs
Price Target
$22
2025-12-05
New
maintain
Neutral
Reason
Goldman Sachs raised the firm's price target on Macy's to $22 from $16.50 and keeps a Neutral rating on the shares. The company delivered a "broad-based" Q3 beat and raised its guidance for FY25, the analyst tells investors. The firm steps away from this quarter "encouraged" by the sequential improvement in the business and believes continued positive comp growth will be key to driving stock outperformance.
UBS
Sell
maintain
$7 -> $8
2025-12-04
New
Reason
UBS
Price Target
$7 -> $8
2025-12-04
New
maintain
Sell
Reason
UBS raised the firm's price target on Macy's to $8 from $7 and keeps a Sell rating on the shares. Macy's is expected to continue ceding market share as it faces significant competitive disadvantages in price, product, and service, a view reinforced by its Q3 results, the analyst tells investors in a research note. Despite beating expectations, net sales still fell 0.6% year over year, and the company remains challenged in delivering profitable growth, suggesting earnings pressure ahead, UBS argues.
Citi
Neutral
maintain
$19 -> $24
2025-12-04
New
Reason
Citi
Price Target
$19 -> $24
2025-12-04
New
maintain
Neutral
Reason
Citi raised the firm's price target on Macy's to $24 from $19 and keeps a Neutral rating on the shares. The company reported solid Q3 results and issued a "conservative" outlook for Q4, the analyst tells investors in a research note. The firm believes Macy's is seeing a positive response to recent price increased and upped the price target to reflect its improved recent performance.
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About M
Macy's, Inc. is an omni-channel retail company. The Company operates stores, websites and mobile applications under three brands, Macy's, Bloomingdale's and Bluemercury, which sell a range of merchandise, including apparel and accessories (men's, women's and kids'), cosmetics, home furnishings and other consumer goods. The Company has stores in 43 states, the District of Columbia, Puerto Rico and Guam. Its operations are conducted through Macy's, Macy's Backstage, Macy's small format, Bloomingdale's, Bloomingdale's The Outlet, Bloomie's, and Bluemercury. In addition, Bloomingdale's in Dubai, United Arab Emirates and Al Zahra, Kuwait are operated under a license agreement with Al Tayer Insignia. The principal private label brands offered by the Company include Alfani, And Now This, Aqua, Bar III, Cerulean 6, Charter Club, Club Room, Epic Threads, first impressions, Giani Bernini, Holiday Lane, Home Design, Hotel Collection, Hudson Park, Ideology, I-N-C, jenni, JM Collection, and others.
About the author
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Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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