In the latest trading session, Macy's (M) closed at $17.25, marking a -1.71% move from the previous day. This change lagged the S&P 500's daily loss of 0.87%.
Heading into today, shares of the department store operator had gained 2.87% over the past month, outpacing the Retail-Wholesale sector's gain of 1.76% and the S&P 500's gain of 1.61% in that time.
Wall Street will be looking for positivity from M as it approaches its next earnings report date. This is expected to be May 18, 2021. The company is expected to report EPS of -$0.43, up 78.82% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $4.4 billion, up 46% from the year-ago period.
M's full-year Zacks Consensus Estimates are calling for earnings of $0.76 per share and revenue of $20.84 billion. These results would represent year-over-year changes of +134.39% and +20.16%, respectively.
It is also important to note the recent changes to analyst estimates for M. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 6.2% higher. M is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that M has a Forward P/E ratio of 23.14 right now. This represents a no noticeable deviation compared to its industry's average Forward P/E of 23.14.
We can also see that M currently has a PEG ratio of 1.93. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Regional Department Stores industry currently had an average PEG ratio of 2.25 as of yesterday's close.
The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 5, which puts it in the top 2% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Macys, Inc. (M) : Free Stock Analysis Report
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