Shares of Macy's (M, Financial) fell by 4.81% following the release of the company's third-quarter results, which did not meet expectations. The stock is currently trading at $15.92.
Macy's Inc (M, Financial) has revised down its full-year guidance for key financial metrics, including gross margin, EBITDA margin, and earnings per share (EPS). The updated EPS guidance fell significantly below analyst forecasts, raising concerns about increased competitive pressures, higher discounting, or elevated supplier costs that might be affecting the company's profitability.
Currently, Macy's carries a price-to-earnings (P/E) ratio of 24.87, suggesting that the stock might be relatively overvalued compared to some of its peers. However, the price-to-book (P/B) ratio stands at 1.03, indicating that the stock is near its book value, which some investors might find appealing.
Despite the recent decline, Macy's GF Value stands at $18.06, implying that the stock might be modestly undervalued. To see more details, you can visit the GF Value page.
In terms of financial health, Macy's faces moderate challenges with an Altman Z-score of 2.5, which places it in the grey area, hinting at potential financial stress. On the positive side, the company's Beneish M-Score is -2.54, suggesting that Macy's is unlikely to be manipulating its financial statements.
Looking at growth metrics, Macy's has seen a decline in revenue per share over the past 12 months, while its 3-year revenue growth rate is 13.8%, placing it above the industry median. Nonetheless, the company needs to navigate through its challenges effectively to retain investor confidence and maintain its market position.
