Macy’s, Inc. (NYSE:M)’s stock tumbled by 5% after the company reported its quarterly earnings which missed the analysts’ expectations. Macy’s reported a profit raise of 4% year-over-year to $292 million and its diluted earnings per share totaled $0.8. Discussing Macy’s, Inc. (NYSE:M)’s earnings and the company’s future in a program on CNBC, Matthew Boss, JPMorgan senior retail analyst, said that despite all the problems in earnings, Macy’s still has a bright future in the market as it has a complete strategy to follow.
“[…] I think Macy’s, Inc. (NYSE:M)’s is confident in their strategy. […] We spoke to the company this morning, I think, again, they remain confident in their strategy, less confident in their consumers, so I think they are taking an aggressive posture here into the back half, I think lowering the same store sales outlook makes a lot of sense, but they were able to maintain the profits for the year,” said Boss.
Macy’s, Inc. (NYSE:M) has said that it is expecting the same-store sales to increase 1.5 to 2 percent for the full year. The earlier prediction was around 2.5% to 3%
“I think Macy’s is your long term winner in department stores, they have the brands, they are spending money, even during a choppy economic backdrop right now, but moving forward with Omni channel, they have the online customer, so I think Macy’s continues to stand above their peers […],” said Boss.
According to Boss, Macy’s, Inc. (NYSE:M)’s has a clear cut edge on its competitors because it has the brands and online customer base. Boss said that Macy’s is far ahead of its rivals in online shopping and has experience in getting the traffic and user base. He is positive that by the end of 2015, Macy’s, Inc. (NYSE:M)’s will be doing much better than now in the markets.