Macy's (NYSE:M) is an omnichannel retail that sells a range of merchandise, including men's, women's and children's apparel and accessories, cosmetics, home furnishings and other consumer goods.
Insider selling during the last 30 days
Here is a table of Macy's insider activity during the last 30 days.
| Name | Title | Trade Date | Shares Sold | Rule 10b5-1 | Current Ownership | Decrease In Ownership |
| Joel Belsky | EVP | March 19-25 | 11,875 | No | 3,599 shares + 7,500 options | 51.7% |
| Martine Reardon | CMO | Feb 28-Mar 20 | 12,495 | No | 5,505 shares | 69.4% |
| Jeffrey Kantor | Chairman of Macys.com | March 3-13 | 46,975 | No | 27,998 shares | 62.7% |
| Graig Weatherup | Director | March 12 | 20,000 | No | 6,000 shares | 76.9% |
| Karen Hoguet | CFO | March 3-11 | 80,564 | No | 191,284 shares | 29.6% |
| Dennis Broderick | EVP | March 3-7 | 30,037 | No | 21,397 shares | 58.4% |
| Terry Lundgren | CEO | March 3-4 | 595,138 | No | 415,688 shares | 58.9% |
| Peter Sachse | CSO | March 3 | 53,064 | No | 117,359 shares | 31.1% |
| Robert Harrison | COO | March 3 | 16,297 | No | 23,811 shares | 40.6% |
| Amy Hanson | EVP | March 3 | 69,845 | No | 26,218 shares | 72.7% |
| Julie Weiser | CMPO | March 3 | 53,064 | No | 67,759 shares | 43.9% |
| Jeffrey Gennette | CMO | March 3 | 53,064 | No | 25,671 shares | 67.4% |
| David Clark | EVP | Feb 27-Mar 3 | 85,990 | No | 8,791 shares | 90.7% |
| Tim Adams | CPBO | Feb 28-Mar 3 | 100,952 | No | 43,393 shares + 21,019 options | 61.0% |
| Marna Whittington | Director | March 3 | 20,000 | No | 34,834 shares | 36.5% |
| Sara Levinson | Director | Feb 28 | 15,500 | No | 0 shares | 100% |
There have been 1,264,860 shares sold by insiders during the last 30 days.
Insider selling by calendar month
Here is a table of Macy's insider activity by calendar month.
| Month | Insider selling / shares | Insider buying / shares |
| March 2014 | 1,039,689 | 0 |
| February 2014 | 225,171 | 0 |
| January 2014 | 0 | 0 |
| December 2013 | 28,014 | 0 |
| November 2013 | 468,212 | 0 |
| October 2013 | 0 | 0 |
| September 2013 | 0 | 0 |
| August 2013 | 0 | 0 |
| July 2013 | 351,446 | 0 |
| June 2013 | 47,200 | 0 |
| May 2013 | 140,250 | 0 |
| April 2013 | 189,666 | 0 |
| March 2013 | 840,997 | 7,125 |
| February 2013 | 0 | 0 |
| January 2013 | 0 | 0 |
There have been 3,330,645 shares sold, and there have been 7,125 shares purchased by insiders since January 2013. The month of March 2014 has seen the most insider selling.
Financials
Macy's reported the fiscal 2013 full-year, which ended February 1, financial results on February 25 with the following highlights:
| Revenue | $27.9 billion |
| Net income | $1.5 billion |
| Cash | $2.3 billion |
| Debt | $7.2 billion |
The 16 insiders sold their shares after these results.
Macy's had a negative quarterly revenue growth year-over-year in the fourth quarter.
Outlook
Macy's fiscal 2014 guidance is as follows:
| Comparable sales growth | 2.5%-3% |
| EPS | $4.40-$4.50 |
| Capital expenditures | ~$1.05 billion |
Competition
Macy's competitors include Dillard's (DDS), The Gap, Inc. (GPS), and Nordstrom (JWN). Here is a table comparing these companies.
| Company | M | DDS | GPS | JWN |
|---|---|---|---|---|
| Market Cap: | 21.17B | 3.89B | 17.92B | 11.85B |
| Qtrly Rev Growth (yoy): | -0.02 | -0.04 | -0.03 | 0.00 |
| Revenue: | 27.93B | 6.69B | 16.15B | 12.54B |
| Gross Margin: | 0.40 | 0.37 | 0.39 | 0.37 |
| EBITDA: | 3.78B | 809.20M | 2.62B | 1.78B |
| Operating Margin: | 0.10 | 0.08 | 0.13 | 0.11 |
| Net Income: | 1.49B | 323.70M | 1.28B | 734.00M |
| EPS: | 3.86 | 7.10 | 2.74 | 3.71 |
| P/E: | 15.03 | 12.47 | 14.66 | 16.84 |
| PEG (5 yr expected): | 1.10 | 0.72 | 1.07 | 1.43 |
| P/S: | 0.76 | 0.58 | 1.13 | 0.93 |
Macy's has the second-highest P/E ratio among these four companies.
Here is a table of these competitors' insider activities this year.
| Company | Insider buying / shares | Insider selling / shares |
| DDS | 0 | 5,000 |
| GPS | 0 | 430,862 |
| JWN | 0 | 88,632 |
Gap and Nordstrom have also seen intensive insider selling during the last 30 days.
Conclusion
There have been 16 different insiders selling Macy's, and there have not been any insiders buying Macy's during the last 30 days. All 16 of these insiders decreased their holdings by more than 10%. Macy's has an insider ownership of 0.30%.
Before going short Macy's, I would like to get a bearish confirmation from the Point & Figure chart. The two main reasons for the proposed short entry are negative revenue growth, and the intensive insider-selling activity.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
