Monday, November 28, 2022

Macy's Comeback

Macy's was the best-performing stock on the dashboard I follow today, up 15%. The bricks-and-mortar retailer delivered a better-than expected report. Meanwhile, the worst stock on my list? One-time e-commerce high flier Wayfair, which fell 9.3%.

The contrast speaks to the shifting sentiment for high-growth tech stocks, but it also suggests department stores may not be finished. 

Macy's had net sales of $5.2 billion -- that was down 3.9% from a year ago but the company noted that it was up 1.1% from the same period in 2019, before the pandemic. Macy's raised its earnings guidance for the full year.

"The concept of a trusted one-stop shop is timeless," Macy's CEO Jeff Gennette said on the earnings call with investors. "It works, but only if it reflects the preferences and needs of our customer, and we have transformed our entire organization to do just that." 

Macy's shares are down just 13% in 2022. Wayfair has fallen 82%. 

You can read more about Macy's latest quarter here.

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