The company began expanding its Vendor Direct program during the first quarter and will be fully underway with the strategy by fall. Advisory Services Network LLC now owns 14,696 shares of the company's stock valued at $370,000 after buying an additional 2,253 shares during the period. Macy's's revenue for the quarter was up 1.8% on a year-over-year basis. Analysts only expected that same store sales would rise by 1.4%. However, the company beat that expectation by a wide margin, producing earnings in the amount of $0.48 per share.
"Macy's, Inc.'s results for the first quarter of 2018 reflect continuing momentum in the business".
The company said in a call discussing its quarterly results that most of the benefits of its strategic initiatives will be seen in the second half of the year. At 48 cents, the company's earnings per share were 12 cents higher than the FactSet consensus of 36 cents. Following the completion of the transaction, the chairman now directly owns 89,303 shares in the company, valued at approximately $2,598,717.30.
Institutional investors have recently added to or reduced their stakes in the stock. Zacks Investment Research lowered shares of Macy's from a "buy" rating to a "hold" rating in a report on Tuesday, May 8th. Finally, Morgan Stanley lowered shares of Macy's from an "equal weight" rating to an "underweight" rating and cut their price target for the stock from $29.71 to $25.00 in a report on Thursday, May 10th. The stock had a trading volume of 393,408 shares, compared to its average volume of 10,137,291. Also, CFO Karen M. Hoguet sold 67,515 shares of the business's stock in a transaction dated Thursday, March 1st. Apart From this, the company estimates that comparable sales were up 1.7 percent on an owned plus licensed basis. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link.
Get access to our daily newsletters, Best Stocks List, POWR Ratings, and much more! Following the sale, the chief financial officer now directly owns 67,515 shares in the company, valued at $1,984,265.85. The disclosure for this sale can be found here. Insiders sold 107,392 shares of company stock worth $3,173,164 over the last ninety days. The firm has a market capitalization of $9.03 billion, a PE ratio of 7.94, a PEG ratio of 0.96 and a beta of 0.73. The company has a debt-to-equity ratio of 1.04, a current ratio of 1.47 and a quick ratio of 0.45. Macy's has a one year low of $29.51 and a one year high of $30.10.
In the first quarter ended May 5, Macy's recorded company net income of $139 million, or 45 cents per diluted share, versus $78 million, or 26 cents per diluted share, in the year-before period.
Net sales in the first quarter of 2018 totaled $5.541 billion, a boost of 3.6 percent, contrast with sales of $5.350 billion in the first quarter of 2017. Analysts were looking for $5.4 billion and 37 cents respectively.
While it may be too soon to call a definitive turnaround, particularly in the midst of what CEO Jeff Gennette on Wednesday's earnings call described as "the most competitive retail environment I've ever seen", signs are hopeful for the company, which raised its projections for adjusted earnings per diluted share from $3.75 to $3.95 for the year, again surpassing analyst forecasts.