Fri, May 13, 8:54 AM
- Tongues are wagging over this mornings's fast April retail sales report, which comes amid a steady flow of weak earnings and lowered guidance from retailers like Macy's (NYSE:M), Kohl's (NYSE:KSS), and Nordstrom (NYSE:JWN), to name just three. So what's up?
- It turns out consumers are spending plenty, just not at traditional department stores, where sales are lower by 3% Y/Y through the year's first four months. In the meantime, sales at nonstore retailers are higher by 8.1%.
- Other areas of strength are building supplies up 9.7%, sporting goods up 7.4%, furniture up 5.6%, auto vehicle and parts up 4.5%, food services & bars up 7.4% (Shake Shack is ahead 5% this morning after strong results).
- Ten-year Treasury prices have given up their gains, with the yield now flat on the session at 1.745%.
- Consumer ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, PBJ, IYK, FXD, RHS, FDIS, FSTA, RCD, PMR, UGE, SZK, BITE, IBUY
Thu, May 12, 10:47 AM
- Department store stocks slump after Kohl's (KSS -11.2%) cites broad concerns over consumer spending to go along with a disappointing report on Q1 sales.
- The frank assessment from Kohl's included the stinger during the earnings call that "consumer aren't buying apparel" as spending goes toward restaurants and experiences.
- Damage in the sector includes losses for Sears Holdings (SHLD -4.9%), J.C. Penney (JCP -2.3%), Macy's (M -2.2%), Nordstrom (JWN -1.8%), and Dillard's (DDS -3.2%). Most of those names were already down sharply for the week,
- Previously: Operating margin shrinks at Kohl's (May 12)
- Previously: Consumer aren't buying apparel - Kohl's epipheny (May 12)
Wed, May 11, 9:12 AM
Wed, May 11, 8:20 AM
- Macy's (NYSE:M) says "continued weakness" in consumer spending levels for apparel impacted results in Q1 and will be a factor going forward. The company ended the quarter with momentum lagging after sales slowed sharply in mid-March.
- Comparable sales fell 5.6% during the quarter on an owned plus licensed basis and 6.1% on an owned basis.
- The company sees FY16 EPS of $3.15 to $3.40 vs. $3.80 to $3.90 prior and $3.80 consensus. Same-store sales are seen sliding 3% to 4% for the year.
- Shares of Macy's are down 7.38% premarket to $34.10. That decline is on top of a 6.7% dip in the week before the earnings release from the department store operator.
- Previously: Macy's beats by $0.04, misses on revenue (May 11)
Wed, May 11, 8:07 AM
Tue, May 10, 5:30 PM
Sat, Apr. 30, 11:08 AM
- Retail stocks slumped yesterday after a weak read on consumer spending. Notable companies with drops of over 2% included Target (NYSE:TGT), Costco (NASDAQ:COST), Urban Outfitters (NASDAQ:URBN), and Macy's (NYSE:M). Wal-Mart (NYSE:WMT) was down 3% to cut into what's been a sizable gain this year.
- The damage was inflicted after the personal consumption expenditures price index (ex-food/energy) gained only 0.1% in March to decelerate from February's level.
- SA contributor George Putnam hears all the noise about soft store traffic, but still makes the case that companies with good brands, relatively strong balance sheets, and decent dividends are attractive investments.
- A value screen of retail stocks indicates that many chain store names may be oversold due to the intense focus by investors on limp comparable-store sales growth (Y/Y) and F/X pressure - two trends seen by some analysts as reversing this year.
- Tailored Brands (NYSE:TLRD), Gap (NYSE:GPS), Buckle (NYSE:BKE), Steinmart (NASDAQ:SMRT), American Eagle Outfitters (NYSE:AEO), Macy's (M), GameStop (NYSE:GME), and Best Buy (NYSE:BBY) all made the cut of having a forward P/E of less than 12, a dividend yield of over 2%, and a balance sheet ratio above the sector average.
- Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, IYC, FDIS, SCC, RCD, UCC, PMR
Mon, Apr. 25, 9:34 AM
- Green Street Advisors estimates that the department store sector would have to close another 800 stores to match the level of sales per square foot it generated back in 2006.
- The closings number includes the hundreds of stores already shuttered by major players. Macy's is on the low end with only a 9% store reduction needed to meet the sales metric, while Sears is on the other end with a 43% slashing required to hit the mark.
- The full report on the department store sector is available from Green Street's website.
- Related stocks: JCP, KSS, SHLD, M, DDS, OTC:HBAYF, GMAN, BONT.
- Now read Macy's Expecting Continued Pressure In 2016
Thu, Apr. 21, 1:49 PM
- Harris names its top brands of 2016 based off of consumer polling and other measurements of brand strength over time.
- Category winners included Lexus (NYSE:TM), Macy's (NYSE:M), Regal Cinemas (NYSE:RGC), Hilton Hotels & Resorts (NYSE:H), Cabela's (NYSE:CAB), Pizza Hut (NYSE:YUM), Southwest Airlines (NYSE:LUV), and Dunkin' Donuts (NASDAQ:DNKN).
- Rapid risers in brand equity included Moe's Southwest Grill (Chipotle effect?), Netflix (NASDAQ:NFLX), and Sony (NYSE:SNE).
- Complete list of Harris Brands of the Year
Wed, Apr. 20, 9:32 AM
- Macy's (M) plans to launch a full Kelly Ripa line of furniture and accessories this summer. Some bedding and rug items are already available at select stores.
- Morning TV star Ripa follows a long line of celebrity endorsers used by the department store chain to promote products.
- The Kelly Ripa Home collection will be available online and in stores.
Tue, Apr. 12, 1:26 PM
- Macy's (M +0.1%) Chief Marketing Officer Martine Reardon will move on after 32 years with the company. She has been the CMO since 2012, a period in which the marketing department won many top awards.
- Reardon's retirement will be official on May 13.
- The company says a search for a replacement is underway. The hiring could be interesting with Macy's continuing to build out new concepts and acquisitions such as Backstage and Bluemercury.
- Now read The Macy's Dip Is A Must-Buy
Mon, Apr. 4, 1:46 PM
- Macy's (M -1.4%) hires a new executive vice president of real estate in a move that falls squarely in line with the top-priority goal to explore strategic real estate options.
- Douglas Sesler joins the company after stints at True Square Capital and Bank of America Merrill Lynch in real estate management roles.
- Now read Why Macy's Could Easily See 20% Upside Before Summer
Thu, Mar. 31, 7:43 AM| Thu, Mar. 31, 7:43 AM | 3 Comments
Tue, Mar. 22, 9:24 AM
- Macy's (NYSE:M) adds William Lenehan to its board, effective April 16.
- Lenehan is the CEO of Four Corners Property Trust which is the real estate investment trust that was spun off from Darden Restaurants.
- The common link between Macy's and Darden is the presence of Starboard Value behind the scenes. The hedge fund got its way in pressuring Darden to form a REIT.
Mon, Mar. 7, 12:46 PM
- Macy's (M +0.2%) says it amended its bylaws to add "proxy access" for added transparency.
- The new rule sets up proxy access for board nominee votes to any shareholder, or group of shareholders numbering less than 20, holding a stake of 3% or more.
- The change gives activist investors a little bit more power.
Fri, Feb. 26, 10:59 AM
Macy's, Inc. operates department stores. The company provides services through Internet under two brand names: Macy's and Bloomingdale's that sells wide range of merchandise, including men's, women's and children's apparel and accessories, cosmetics, home furnishings and other consumer goods. It... More
Industry: Department Stores
Country: United States
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