Zacks Research Has Pessimistic Outlook of Macy’s Q2 Earnings

Macy’s, Inc. (NYSE:M) – Stock analysts at Zacks Research lowered their Q2 2027 earnings per share estimates for shares of Macy’s in a research note issued to investors on Wednesday, April 1st. Zacks Research analyst Team now forecasts that the company will post earnings per share of $0.39 for the quarter, down from their prior forecast of $0.43. Zacks Research has a “Strong Sell” rating on the stock. The consensus estimate for Macy’s’ current full-year earnings is $2.39 per share. Zacks Research also issued estimates for Macy’s’ Q4 2027 earnings at $1.72 EPS, FY2027 earnings at $2.07 EPS, Q2 2028 earnings at $0.41 EPS and FY2028 earnings at $2.20 EPS.

Several other equities analysts have also commented on M. The Goldman Sachs Group raised their target price on shares of Macy’s from $16.50 to $22.00 and gave the company a “neutral” rating in a report on Friday, December 5th. Citigroup cut their price target on shares of Macy’s from $24.00 to $18.00 and set a “neutral” rating for the company in a report on Thursday, March 19th. Jefferies Financial Group reiterated a “buy” rating and set a $22.00 price target on shares of Macy’s in a research report on Wednesday, March 18th. TD Cowen decreased their price objective on shares of Macy’s from $21.00 to $20.00 and set a “hold” rating on the stock in a research note on Thursday, March 19th. Finally, Telsey Advisory Group restated a “market perform” rating and set a $20.00 price objective on shares of Macy’s in a research report on Wednesday. One research analyst has rated the stock with a Buy rating, ten have given a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, Macy’s presently has an average rating of “Reduce” and an average target price of $18.90.

Macy’s Stock Down 1.6%

M stock opened at $17.82 on Thursday. Macy’s has a 52 week low of $9.76 and a 52 week high of $24.41. The business has a 50-day simple moving average of $19.65 and a 200 day simple moving average of $20.14. The company has a quick ratio of 0.50, a current ratio of 1.49 and a debt-to-equity ratio of 0.50. The company has a market cap of $4.70 billion, a PE ratio of 7.68 and a beta of 1.51.

Macy’s (NYSE:M) last released its earnings results on Wednesday, March 18th. The company reported $1.67 earnings per share for the quarter, beating 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 firm had revenue of $7.92 billion during the quarter, compared to the consensus estimate of $7.48 billion. During the same period in the prior year, the company posted $1.80 EPS. The company’s revenue was down 1.7% compared to the same quarter last year.

Macy’s Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th were paid a dividend of $0.1915 per share. The ex-dividend date of this dividend was Friday, March 13th. This is a positive change from Macy’s’s previous quarterly dividend of $0.18. This represents a $0.77 annualized dividend and a yield of 4.3%. Macy’s’s payout ratio is presently 33.19%.

Insider Activity

In other news, EVP Danielle L. Kirgan sold 6,573 shares of the stock in a transaction dated Wednesday, April 1st. The shares were sold at an average price of $18.08, for a total value of $118,839.84. Following the completion of the transaction, the executive vice president owned 98,299 shares of the company’s stock, valued at approximately $1,777,245.92. This represents a 6.27% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Antony Spring sold 14,606 shares of the firm’s stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $18.08, for a total transaction of $264,076.48. Following the completion of the sale, the chief executive officer owned 437,238 shares in the company, valued at approximately $7,905,263.04. The trade was a 3.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 21,669 shares of company stock valued at $391,776. Insiders own 1.09% of the company’s stock.

Institutional Trading of Macy’s

Hedge funds have recently added to or reduced their stakes in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Macy’s by 38.3% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 162,989 shares of the company’s stock valued at $2,047,000 after acquiring an additional 45,149 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in shares of Macy’s by 5.3% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,116,170 shares of the company’s stock valued at $14,019,000 after acquiring an additional 55,821 shares in the last quarter. Focus Partners Wealth grew its position in Macy’s by 33.1% during the 1st quarter. Focus Partners Wealth now owns 58,197 shares of the company’s stock worth $731,000 after acquiring an additional 14,489 shares during the last quarter. Cetera Investment Advisers increased its holdings in Macy’s by 49.6% in the 2nd quarter. Cetera Investment Advisers now owns 24,300 shares of the company’s stock worth $283,000 after purchasing an additional 8,053 shares in the last quarter. Finally, Legal & General Group Plc increased its holdings in Macy’s by 1.6% in the 2nd quarter. Legal & General Group Plc now owns 687,280 shares of the company’s stock worth $8,014,000 after purchasing an additional 11,085 shares in the last quarter. Institutional investors and hedge funds own 87.36% of the company’s stock.

Key Stories Impacting Macy’s

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

• Positive Sentiment: Luxury business momentum — Bloomingdale’s and Bluemercury drove a strong finish to FY25 and are highlighted as a growth engine heading into FY26, supporting longer‑term top‑line improvement. Macy’s luxury business article
• Positive Sentiment: Recent quarter beat — Macy’s reported a March quarter that topped consensus on both EPS and revenue, demonstrating resiliency and giving analysts reasons to call the stock undervalued post‑earnings. Analyst reactions post-earnings
• Neutral Sentiment: Investor outreach — Macy’s is slated to present at the J.P. Morgan Retail Round Up, which gives management a forum to detail strategy and could provide a short‑term catalyst if guidance or KPIs are expanded. JP Morgan event release
• Neutral Sentiment: Telsey Advisory stance — Telsey reaffirmed a Market Perform rating and set a $20 price target (below prior $25), which implies upside from current levels but reflects tempered near‑term expectations. Telsey note (coverage)
• Negative Sentiment: Analyst estimate cuts and negative ratings — Zacks Research trimmed near‑term and FY27/FY28 EPS estimates and continues to carry a “Strong Sell” stance; downward revisions add selling pressure and raise short‑term earnings risk. Zacks coverage and estimates
• Negative Sentiment: Insider selling — CEO Antony Spring (14,606 shares), EVP Danielle Kirgan (6,573 shares) and a senior VP recently sold stock (SEC filings disclosed). Significant insider selling can be interpreted by the market as a signal of reduced insider conviction and likely contributed to downward pressure. CEO Form 4 EVP Form 4

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.