AAL

Macy's Stock Soars After Upbeat Earnings, Blowout Same-Store Sales

Analyst upgrades could boost M stock even more

Managing Editor
May 16, 2018 at 10:20 AM
facebook X logo linkedin


Macy's Inc (NASDAQ:M) stock is up 6.7% to trade at $31.95 this morning, and earlier hit a fresh annual high of $32.74. The retail giant reported first-quarter adjusted earnings of 48 cents per share on revenue of $5.5 billion, numbers that surpassed analyst forecasts. More notably, same-store sales increased by 4.2%, crushing the 1.4% rise Wall Street expected. Macy's also raised its full-year guidance. 

Macy's is now on track to post its best single-session gain of 2018. M has tacked on over 26% this year, and is currently riding a six-month winning streak. Moreover, the shares have enjoyed strong support from the 50-day moving average in recent months.

Despite the recent charge up the charts, analysts remain hesitant to come aboard. Of the 11 brokerages in coverage, 10 rate the stock a "hold" or "strong sell." Furthermore, the equity's average 12-month price target of $29.79 now sits below the current perch. A round of overdue upgrades and/or price-target hikes could nudge the security even higher, especially after this impressive quarterly update.

It's no surprise then that short sellers have also piled on the retail name, with short interest tripling in the past year. The 46.80 million shares sold short represents 15% of Macy's total available float, and more than six days of pent-up buying power, at the average pace of trading. A continued surge could shake some of the weaker bearish hands loose, creating even bigger tailwinds for the security.

 

Two High-Octane Trade Ideas. One Simple Goal: Intraday Profits.

Dynamite Day Trading Signals delivers two same-day options trades every week — powered by proprietary intraday analysis and 43+ years of trading expertise.

But this isn’t just another stream of alerts.

It’s a structured plan with clear entry and exit points – designed for traders who want to act fast, trade smart, and wrap up gains before the closing bell.

No guesswork. No overnight exposure – Just two well-researched setups per week — whether you prefer buying premium or selling it.

And the results speak for themselves: subscribers have locked in +245.8% total profit over the last six months (since inception!).

👉 Start your one-month trial now for just $10, and be ready for the next trade alert.