Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, department store operator Macy's
With that in mind, let's take a closer look at Macy's business and see what CAPS investors are saying about the stock right now.
Macy's facts
|
Headquarters (Founded) |
Cincinnati (1820) |
|
Market Cap |
$7.36 billion |
|
Industry |
Department stores |
|
Trailing-12-Month Revenue |
$23.58 billion |
|
Management |
CEO Terry Lundgren (since 2003) CFO Karen Hoguet (since 1997) |
|
Trailing-12-Month Return on Equity |
(50%) |
|
1-Year Return |
115% |
|
Cash/Debt |
$489 million / $8.71 billion |
|
Competitors |
J.C. Penney
Nordstrom |
|
CAPS Members Bearish on M Also Bearish on |
Sears Holdings
Bank of America |
|
CAPS Members Bullish on M Also Bullish on |
Apple
Citigroup |
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 46% of the 692 members who have rated Macy's believe the stock will underperform the S&P 500 going forward. These bears include Prodders and CAPS All-Star DarthMaul09, who is ranked in the top 3% of our community.
In a pitch from last month, Prodders forecasted heavy rain on Macy's parade:
- The stock has almost tripled since March 5th
- Tired stores in need of refurbishment
- Way too much debt on the balance sheet
- Mis-positioned ... they try to be both luxury and value, and come off as neither
- Initial target is $10
In a pitch from late last week, DarthMaul09 also urged investors to start checking out:
The stock will likely fall as sales do not meet expectations. The S&P 500 will probably be supported by mutual fund managers trying to beautify their holdings prior to their year end report. So [Macy's] will likely fall relative to the S&P 500 within this next year. Adding to the stress on retailers is the realization that the unemployment rate is unlikely to come down any time soon and is more likely to keep rising until the administration changes its policies to help small businesses.
What do you think about Macy's, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!
